02/14/2025 03:15 PM House LABOR & COMMERCE
| Audio | Topic | 
|---|---|
| Start | |
| HB34 | |
| HB20 | |
| Adjourn | 
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | HB 34 | TELECONFERENCED | |
| *+ | HB 20 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
                    ALASKA STATE LEGISLATURE                                                                                  
          HOUSE LABOR AND COMMERCE STANDING COMMITTEE                                                                         
                       February 14, 2025                                                                                        
                           3:17 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Zack Fields, Co-Chair                                                                                            
Representative Carolyn Hall, Co-Chair                                                                                           
Representative Ashley Carrick                                                                                                   
Representative Robyn Niayuq Burke                                                                                               
Representative Dan Saddler                                                                                                      
Representative Julie Coulombe                                                                                                   
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative David Nelson                                                                                                     
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 34                                                                                                               
"An Act establishing the Alaska Innovation Council; and relating                                                                
to financial disclosures for members of the Alaska Innovation                                                                   
Council."                                                                                                                       
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
HOUSE BILL NO. 20                                                                                                               
"An Act relating to fees for paper documents; and relating to                                                                   
unfair trade practices."                                                                                                        
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
OVERVIEW: DEPARTMENT OF HEALTH, CHILD CARE UPDATE                                                                               
                                                                                                                                
     - REMOVED FROM AGENDA                                                                                                      
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB  34                                                                                                                  
SHORT TITLE: AK INNOVATION COUNCIL                                                                                              
SPONSOR(s): REPRESENTATIVE(s) HOLLAND                                                                                           
                                                                                                                                
01/22/25       (H)       PREFILE RELEASED 1/10/25                                                                               
01/22/25       (H)       READ THE FIRST TIME - REFERRALS                                                                        
01/22/25       (H)       L&C, FIN                                                                                               
01/29/25       (H)       L&C AT 3:15 PM BARNES 124                                                                              
01/29/25       (H)       <Bill Hearing Canceled>                                                                                
02/10/25       (H)       L&C AT 3:15 PM BARNES 124                                                                              
02/10/25       (H)       Heard & Held                                                                                           
02/10/25       (H)       MINUTE(L&C)                                                                                            
02/14/25       (H)       L&C AT 3:15 PM BARNES 124                                                                              
                                                                                                                                
BILL: HB  20                                                                                                                  
SHORT TITLE: PROHIBIT FEES FOR PAPER DOCUMENTS                                                                                  
SPONSOR(s): REPRESENTATIVE(s) SADDLER                                                                                           
                                                                                                                                
01/22/25       (H)       PREFILE RELEASED 1/10/25                                                                               
01/22/25       (H)       READ THE FIRST TIME - REFERRALS                                                                        
01/22/25       (H)       L&C, JUD                                                                                               
02/14/25       (H)       L&C AT 3:15 PM BARNES 124                                                                              
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
JON BITTNER, Executive Director                                                                                                 
Alaska Small Business Development Center                                                                                        
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Gave invited testimony in support of HB 34.                                                              
                                                                                                                                
NORRIS KRUEGER, PhD, Executive Director                                                                                         
Leadership Council Member                                                                                                       
Ecosystem Builder                                                                                                               
Boise, Idaho                                                                                                                    
POSITION STATEMENT:  Testified in support of and answered                                                                     
questions during the hearing on HB 34.                                                                                          
                                                                                                                                
LAURA ODEN, Owner/Founder                                                                                                       
Pandere Shoes                                                                                                                   
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of and answered                                                                     
questions during the hearing on HB 34.                                                                                          
                                                                                                                                
REPRESENTATIVE DAN SADDLER                                                                                                      
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  As prime sponsor, presented HB 20.                                                                     
                                                                                                                                
NOAH WILKINS, Intern                                                                                                            
Representative Dan Saddler                                                                                                      
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  As intern to Representative Saddler, prime                                                               
sponsor of HB 20, gave the sectional analysis.                                                                                  
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:17:07 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ZACK  FIELDS  called   the  House  Labor  and  Commerce                                                             
Standing   Committee    meeting   to    order   at    3:17   p.m.                                                               
Representatives  Coulombe,  Saddler,  Burke, Carrick,  Hall,  and                                                               
Fields were present at the call to order.                                                                                       
                                                                                                                                
                  HB 34-AK INNOVATION COUNCIL                                                                               
                                                                                                                                
3:17:26 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced that the  first order of business would                                                               
be HOUSE BILL NO. 34,  "An Act establishing the Alaska Innovation                                                               
Council;  and relating  to financial  disclosures for  members of                                                               
the Alaska Innovation Council."                                                                                                 
                                                                                                                                
CO-CHAIR  FIELDS  announced  the  committee  would  hear  invited                                                               
testimony.                                                                                                                      
                                                                                                                                
3:18:05 PM                                                                                                                    
                                                                                                                                
JON   BITTNER,   Executive   Director,  Alaska   Small   Business                                                               
Development Center (ASBDC), gave  invited testimony in support of                                                               
HB 34.  He began by stating  that ASBDC has been in operation for                                                               
over 30 years,  with 8 offices around Alaska.   He stated ASBDC's                                                               
goal is  to help  start and support  small businesses  in Alaska.                                                               
He stated that  approximately 99 percent of  businesses in Alaska                                                               
qualify  as small  businesses under  the definition  used by  the                                                               
Small  Business Administration  (SBA).   He explained  that ASBDC                                                               
provides  a  variety of  services  to  support small  businesses,                                                               
including  individual advising,  workshops, training,  the Alaska                                                               
State Small Business Credit Initiative  (SSBCI), the Tribal SSBCI                                                               
consortium, and various buy-local programs.                                                                                     
                                                                                                                                
MR. BITTNER  stressed the importance of  small businesses, noting                                                               
that small  businesses in Alaska  drive new job creation  and the                                                               
existing  workforce.   He  asserted  that  small businesses  help                                                               
diversify  the economy,  making it  more stable  and robust.   He                                                               
stated that ASBDC  approves of any efforts to  focus attention on                                                               
how to support small businesses  in communities across the state.                                                               
He stated that ASBDC supported HB 34.                                                                                           
                                                                                                                                
3:20:32 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS opened public testimony on HB 34.                                                                               
                                                                                                                                
3:21:38 PM                                                                                                                    
                                                                                                                                
NORRIS  KRUEGER,  PhD,  Executive  Director,  Leadership  Council                                                               
Member, Ecosystem  Building Leadership Network  (EBLN), testified                                                               
in support  of HB 34.   He stated  that the biggest  complaint he                                                               
hears from  innovators is that  governments are not  listening to                                                               
them.   He asserted  that, if  executed well, HB  34 would  be an                                                               
inexpensive  way  to   both  guide  policy  and   give  voice  to                                                               
innovators in Alaska.  He shared  that he was involved in efforts                                                               
in Idaho  to create  a similar  innovation plan  approximately 20                                                               
years   ago,    called   the    Idaho   State    Innovation   and                                                               
Entrepreneurship Strategy.  He shared  an anecdote about Canada's                                                               
efforts  to  focus  on  innovation   policy.    He  concluded  by                                                               
reiterating that [HB 34] is "a  huge opportunity for a very small                                                               
amount of money  to make a real difference for  the people ... in                                                               
the  trenches  ...  whether  a  start-up  founder  [or]  a  small                                                               
business owner."                                                                                                                
                                                                                                                                
DR.  KRUEGER,  in  response to  a  question  from  Representative                                                               
Saddler regarding credentials, stated that  he has a research PhD                                                               
in entrepreneurship, and  he is on the leadership  network of the                                                               
EBLN.   Additionally, Dr. Krueger  said he mentors  start-ups and                                                               
advocates  for  innovation-friendly  policies at  the  state  and                                                               
national level.                                                                                                                 
                                                                                                                                
3:28:33 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER  asked what  benefits small  businesses in                                                               
Alaska would receive with the passage of HB 34.                                                                                 
                                                                                                                                
3:28:52 PM                                                                                                                    
                                                                                                                                
DR.  KRUEGER  responded  that  a dozen  major  surveys  of  small                                                               
business owners  concluded that small business  owners would like                                                               
to be  heard, as opposed to  being told what to  do by government                                                               
entities.   He  offered an  anecdote to  Google Mapping,  arguing                                                               
that too often  in economic planning, every  "route" is carefully                                                               
planned without  a destination, whereas,  in Google  Mapping, the                                                               
beginning and end of a journey are clearly defined.                                                                             
                                                                                                                                
3:31:18 PM                                                                                                                    
                                                                                                                                
LAURA ODEN,  Owner/Founder, Pandere  Shoes, testified  in support                                                               
of  HB 34.   She  explained that  Pandere Shoes  makes expandable                                                               
footwear  for individuals  with medical  conditions.   She stated                                                               
that she has  owned multiple businesses and been  involved in the                                                               
startup community  in Alaska for 10  years.  She stated  that she                                                               
had mentored and counseled many start-ups in Alaska.                                                                            
                                                                                                                                
MS.  ODEN  emphasized  the inconsistency  in  support  for  small                                                               
businesses/start-ups in  Alaska.   She offered  appreciation that                                                               
the  Alaska  Innovation  Council  would  have  stakeholders  with                                                               
dedicated  annual meetings.   She  opined that  Alaska businesses                                                               
could use  intentional planning and  support on the  state level.                                                               
She is in support of HB 34.                                                                                                     
                                                                                                                                
3:33:33 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  COULOMBE  asked  which types  of  supports  small                                                               
businesses in Alaska need the most.                                                                                             
                                                                                                                                
MS. ODEN  responded that she understood  that [identifying needed                                                               
types  of  support] to  be  a  function  of the  proposed  Alaska                                                               
Innovation  Council.   She  provided  some  personal examples  of                                                               
support:   having the right person  to talk to; having  the right                                                               
person to network  with; and financial support.   She offered her                                                               
belief that one of the  biggest needs for small businesses/start-                                                               
ups is access  to loans.  She stated, for  example, that a person                                                               
could get a $150,000 loan for a start-up but not a $15,000 loan.                                                                
                                                                                                                                
3:35:01 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER  asked whether support requested  would be                                                               
"advice" or  "money."   Further, he  questioned what  the council                                                               
could  offer  that  current public  and/or  private  institutions                                                               
cannot.                                                                                                                         
                                                                                                                                
MS.  ODEN  replied  that  entrepreneurs are  always  in  need  of                                                               
advice, money, and  people.  She said she is  unsure what type of                                                               
support the council  would offer via the state.   She stated that                                                               
she could  offer what her business  needs but could not  speak to                                                               
every small business in Alaska.                                                                                                 
                                                                                                                                
3:37:12 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS,  after ascertaining that  there was no  one else                                                               
who wished to testify, closed public testimony on HB 34.                                                                        
                                                                                                                                
CO-CHAIR FIELDS announced that HB 34 was held over.                                                                             
                                                                                                                                
            HB 20-PROHIBIT FEES FOR PAPER DOCUMENTS                                                                         
                                                                                                                                
3:37:26 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS announced that the  final order of business would                                                               
be  HOUSE  BILL NO.  20,  "An  Act  relating  to fees  for  paper                                                               
documents; and relating to unfair trade practices."                                                                             
                                                                                                                                
3:37:51 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE DAN  SADDLER, Alaska  State Legislature,  as prime                                                               
sponsor, presented HB 20.   He began that, historically, utility,                                                               
gas, or insurance  bills were typically bills paid  via mail with                                                               
a  paper check.    He  continued that,  with  the  advent of  the                                                               
Internet, many transactions have been  made online.  He described                                                               
some  advantages  of  online payment:    automation,  efficiency,                                                               
decreased costs, and increased profit margins.                                                                                  
                                                                                                                                
REPRESENTATIVE  SADDLER   continued  that  many   businesses  are                                                               
essentially requiring  transactions to  be done  online or  pay a                                                               
fee, which can be variable.   He provided an example, noting that                                                               
it is common to  pay a few hundred dollars annually  in fees.  He                                                               
asserted that older  individuals, who are less  likely to conduct                                                               
online transactions and  more likely to be on  fixed incomes, are                                                               
disproportionately  affected by  paper fees.   Further,  he noted                                                               
that  Internet connectivity  in Alaska  is unreliable,  and those                                                               
with inconsistent Internet access could face higher fees.                                                                       
                                                                                                                                
REPRESENTATIVE  SADDLER   stated  that   HB  20   would  prohibit                                                               
businesses  from  charging  customers different  rates  based  on                                                               
paperless versus  paper transaction  statements.  He  stated that                                                               
it  poses  no  cost  to  the state  and  no  additional  cost  to                                                               
businesses.  He concluded by  asserting that HB 20 would generate                                                               
significant benefits to consumers/constituents.                                                                                 
                                                                                                                                
3:40:42 PM                                                                                                                    
                                                                                                                                
NOAH WILKINS,  Intern, Representative  Dan Saddler,  Alaska State                                                               
Legislature, as  intern to Representative Saddler,  prime sponsor                                                               
of HB 20, gave the  sectional analysis [included in the committee                                                               
file], which read as follows [original punctuation provided]:                                                                   
                                                                                                                                
     Section 1: Page 1, lines 3-11                                                                                            
     Section 1 amends AS 21.36 by adding a new section, AS                                                                      
     21.36.525, which prohibits insurers from                                                                                   
        charging an additional fee or different rate for                                                                        
       individuals who prefer to receive paper copies of                                                                        
     invoices,                                                                                                                  
     statements and other documents.                                                                                            
                                                                                                                                
     This  section does  not,  however,  prevent an  insurer                                                                    
     from charging a fee for providing duplicate copies of                                                                      
     any documents previously provided.                                                                                         
                                                                                                                                
     Section 2: Page 1, lines 12-15, & page 2, lines 1-4                                                                      
     Section 2 amends  AS 45.45 by adding a  new section, AS                                                                    
     45.45.940, which prohibits businesses from                                                                                 
     charging  an additional  fee or  a  different rate  for                                                                    
     individuals who prefer to receive paper copies of                                                                          
     invoices, statements and other documents.                                                                                  
                                                                                                                                
     This  section does  not,  however,  prevent a  business                                                                    
     from charging a fee for providing duplicate copies of                                                                      
     any documents previously provided.                                                                                         
                                                                                                                                
     Section 2  defines "business" by  the meaning  given in                                                                    
     AS 43.70.110, which states a business is "a for                                                                            
     profit  or nonprofit  entity  engaging  or offering  to                                                                    
     engage  in a  trade,  a service,  a  profession, or  an                                                                    
     activity                                                                                                                   
     with  the  goal of  receiving  a  financial benefit  in                                                                    
     exchange  for the  provision of  services, or  goods or                                                                    
     other                                                                                                                      
     property."                                                                                                                 
                                                                                                                                
     Section 3: Page 2, lines 5-6                                                                                             
     Section 3  adds to the  list of unlawful  business acts                                                                    
     and practices in Title 45 to include violations of AS                                                                      
     45.45.940, established in Section 2 of this bill.                                                                          
                                                                                                                                
3:42:50 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CARRICK   asked  whether  there  are   any  state                                                               
departments that charge for receiving  paper documents.  Further,                                                               
she  asked  whether state  departments,  should  they charge  for                                                               
receiving paper  documents, would  be covered under  the proposed                                                               
legislation.                                                                                                                    
                                                                                                                                
3:43:10 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER responded that HB 20 is narrowly focused                                                                 
on businesses, and the State of Alaska does not fall under that                                                                 
definition.                                                                                                                     
                                                                                                                                
[HB 20 was held over.]                                                                                                          
                                                                                                                                
3:43:57 PM                                                                                                                    
                                                                                                                                
CO-CHAIR FIELDS set amendment deadlines for SB 15, HB 49, and HB
74 for 10:00 a.m. on Monday, February 17.                                                                                       
                                                                                                                                
3:44:38 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no further business before the committee, the House                                                                 
Labor and Commerce Standing Committee meeting was adjourned at                                                                  
3:44 p.m.                                                                                                                       
| Document Name | Date/Time | Subjects | 
|---|---|---|
| HB 20 version N.pdf | HL&C       2/14/2025 3:15:00 PM | HB  20 | 
| HB 20 Sponsor Statement version N 1.31.25.pdf | HL&C       2/14/2025 3:15:00 PM | HB  20 | 
| HB 20 Sectional Analysis version N 1.31.25.pdf | HL&C       2/14/2025 3:15:00 PM | HB  20 | 
| HB 20 Supporting Document - ADN Article 2.4.25.pdf | HL&C       2/14/2025 3:15:00 PM | HB  20 | 
| HB020-DCCED-DOI-02-13-25.pdf | HL&C       2/14/2025 3:15:00 PM | HB  20 | 
| HB 34 Public Comment Received 2.14.25.pdf | HL&C       2/14/2025 3:15:00 PM | HB  34 |