Legislature(1997 - 1998)

01/20/1998 08:16 AM House STA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
        HOUSE STATE AFFAIRS STANDING COMMITTEE                                 
                   January 20, 1998                                            
                      8:16 a.m.                                                
                                                                               
                                                                               
MEMBERS PRESENT                                                                
                                                                               
Representative Jeannette James, Chair                                          
Representative Ethan Berkowitz                                                 
Representative Fred Dyson                                                      
Representative Kim Elton                                                       
Representative Mark Hodgins                                                    
Representative Ivan Ivan                                                       
Representative Al Vezey                                                        
                                                                               
MEMBERS ABSENT                                                                 
                                                                               
All members present                                                            
                                                                               
COMMITTEE CALENDAR                                                             
                                                                               
* HOUSE BILL NO. 309                                                           
"An Act naming the Robert B. Atwood Building."                                 
                                                                               
     - MOVED HB 309 OUT OF COMMITTEE                                           
                                                                               
HOUSE BILL NO. 264                                                             
"An Act providing for a negotiated regulation making process; and              
providing for an effective date."                                              
                                                                               
     - MOVED CSHB 264(STA) OUT OF COMMITTEE                                    
                                                                               
HOUSE JOINT RESOLUTION NO. 5                                                   
Proposing an amendment to the Constitution of the State of Alaska              
relating to freedom of conscience.                                             
                                                                               
     - HEARD AND HELD                                                          
                                                                               
(* First public hearing)                                                       
                                                                               
PREVIOUS ACTION                                                                
                                                                               
BILL: HB 309                                                                   
SHORT TITLE: NAMING ATWOOD BLDG IN ANCHORAGE                                   
SPONSOR(S): REPRESENTATIVE(S) COWDERY                                          
                                                                               
Jrn-Date    Jrn-Page           Action                                          
01/12/98      2025     (H)  READ THE FIRST TIME - REFERRAL(S)                  

01/12/98 2025 (H) STATE AFFAIRS

01/20/98 (H) STA AT 8:00 AM CAPITOL 102 BILL: HB 264 SHORT TITLE: NEGOTIATED REGULATION MAKING SPONSOR(S): REPRESENTATIVES(S) JAMES, Berkowitz, Cowdery, Kemplen Jrn-Date Jrn-Page Action 04/25/97 1343 (H) READ THE FIRST TIME - REFERRAL(S) 04/25/97 1343 (H) STATE AFFAIRS, FINANCE 04/26/97 (H) STA AT 10:00 AM CAPITOL 102 04/26/97 (H) MINUTE(STA) 04/28/97 1383 (H) COSPONSOR(S): BERKOWITZ 04/30/97 1427 (H) COSPONSOR(S): COWDERY, KEMPLEN 05/06/97 (H) STA AT 8:00 AM CAPITOL 102 05/06/97 (H) MINUTE(STA) 05/08/97 (H) STA AT 8:00 AM CAPITOL 102 05/08/97 (H) MINUTE(STA)

01/15/98 (H) STA AT 8:00 AM CAPITOL 102

01/15/98 (H) MINUTE(STA)

01/20/98 (H) STA AT 8:00 AM CAPITOL 102 BILL: HJR 5 SHORT TITLE: CONSTIT AMNDMNT: FREEDOM OF CONSCIENCE SPONSOR(S): REPRESENTATIVE(S) MARTIN Jrn-Date Jrn-Page Action

01/13/97 22 (H) PREFILE RELEASED 1/3/97

01/13/97 22 (H) READ THE FIRST TIME - REFERRAL(S)

01/13/97 23 (H) STATE AFFAIRS, JUDICIARY, FINANCE 02/25/97 (H) STA AT 8:00 AM CAPITOL 102 02/25/97 (H) MINUTE(STA) 02/27/97 (H) STA AT 8:00 AM CAPITOL 102 02/27/97 (H) MINUTE(STA)

01/20/98 (H) STA AT 8:00 AM CAPITOL 102 WITNESS REGISTER REPRESENTATIVE JOHN COWDERY Alaska State Legislature Capitol Building, Room 416 Juneau, Alaska 99801 Telephone: (907) 465-3879 POSITION STATEMENT: Sponsor of HB 309. LEW WILLIAMS, JR. 755 Grant Street Ketchikan, Alaska 99901 Telephone: (907) 225-5431 POSITION STATEMENT: Testified in support of HB 309. KATIE HURLEY P.O. Box 870157 Wasilla, Alaska 99687 Telephone: (907) 376-5736 POSITION STATEMENT: Testified in support of HB 309. KEITH GERKEN, Architect Division of General Services Department of Administration P.O. Box 110210 Juneau, Alaska 99811-0210 Telephone: (097) 465-2250 POSITION STATEMENT: Provided information on HB 309. WILLIAM TOBIN, Editor The Voice of The Times 2130 Lord Baranof Drive Anchorage, Alaska 99517 Telephone: (907) 248-3265 POSITION STATEMENT: Testified in support of HB 309. FULLER COWELL, Publisher Anchorage Daily News 18536 Osprey Circle Anchorage, Alaska 99516 Telephone: (907) 345-7079 POSITION STATEMENT: Testified in support HB 309. GLORIA ALLEN, Music Teacher; Theater Producer; Arts Activist 2625 Kelsan Circle Anchorage, Alaska 99508 Telephone: (907) 277-5844 POSITION STATEMENT: Testified in support HB 309. VIC FISCHER, P.O. Box 201348 Anchorage, Alaska 99520 Telephone: (907) 276-7626 POSITION STATEMENT: Testified in support of HB 309. LEE GORSUCH, Chancellor University of Alaska, Anchorage 5247 East 147th Avenue Anchorage, Alaska 99516 Telephone: (907) 345-6065 POSITION STATEMENT: Testified on behalf of himself in support of HB 309. WALTER WILCOX, Legislative Assistant to Representative Jeannette James Alaska State Legislature 130 Seward Street, Suite 222 Juneau, Alaska 99801 Telephone: (907) 465-6819 POSITION STATEMENT: Provided information on HB 264. DOUGLAS K. MERTZ Prince William Sound Regional Citizens Advisory Council 319 Seward Street Juneau, Alaska 99801 Telephone: (907) 586-4004 POSITION STATEMENT: Provided suggested amendments to HB 264. DEBORAH BEHR, Assistant Attorney General Legislation and Regulations Section Office of the Attorney General Department of Law P.O. Box 110300 Juneau, Alaska 99811 Telephone: (907) 465-3600 POSITION STATEMENT: Provided information on the proposed CS for HB 264. KIRSTEN SHELTON, Lobbyist Alaska Conservation Voice P.O. Box 22151 Juneau, Alaska 99802 Telephone: (907) 463-3366 POSITION STATEMENT: Testified on CS for HB 264, provided suggested amendments. REPRESENTATIVE TERRY MARTIN Alaska State Legislature Capitol Building, Room 502 Juneau, Alaska 99801 Telephone: (907) 465-3783 POSITION STATEMENT: Sponsor of HJR 5. PATRICK DALTON P.O. Box 1413 Delta Junction, Alaska 99737 Telephone: (Not provided) POSITION STATEMENT: Testified on HJR 5. KENNETH JACOBUS 425 "G" Street, Suite 920 Anchorage, Alaska 99501 Telephone: (907) 227-3333 POSITION STATEMENT: Testified on HJR 5, provided suggested amendments. ACTION NARRATIVE TAPE 98-2, SIDE A Number 0001 CHAIR JEANNETTE JAMES called the House State Affairs Standing Committee meeting to order at 8:16 a.m. Members present at the call to order were Representatives James, Berkowitz, Dyson, Elton, and Ivan. Representatives Hodgins and Vezey joined the meeting at 8:45 a.m. HB 309 - NAMING ATWOOD BLDG IN ANCHORAGE Number 0040 CHAIR JAMES announced the committee would be addressing HB 309, "An Act naming the Robert B. Atwood Building," sponsored by Representative Cowdery. Number 0050 REPRESENTATIVE JOHN COWDERY came forward to present the following sponsor statement: "HB 309 allows the state's recently acquired Bank of America Building in Anchorage to be renamed in the honor of one of Alaska's great leaders, Robert B. Atwood. "Bob Atwood lived in Alaska for over 61 years. He began his career in the newspaper business and Bob spent over 50 continuous years as publisher of The Anchorage Times. His endeavors, accomplishments and influence reached all corners of Alaska. His priorities were not focused himself, but on the bettering of the community and the state. "Atwood emerged in many facets of the state. He was instrumental in the battle for statehood. He worked hard to promote infrastructure development, not only in his community but the entire state. He tirelessly promoted the presence of the military in Alaska. Atwood was an advocate for education, promoting the Journalism and Media Departments at Alaska Pacific University and the University of Alaska. From the statehood era to present-day education, Atwood has left his mark and impression in the minds of all generations. "Some people talk about other people. Some people talk about things. Great people talk about ideas. A man full of ideas and dreams for the state he loved. Robert B. Atwood never stopped doing good for Alaska. His spirit remains. This great man, Bob Atwood, has earned the honor for a State building to hold his name." Number 0220 REPRESENTATIVE COWDERY favored passing the bill without amendments. He believed the Bank of America Building owners could be approached and asked if they would relinquish their name in honor of this bill. He said, "If they didn't, at least we could come back in the year 2002, I believe." Number 0232 LEW WILLIAMS, JR., testified via teleconference from Ketchikan. Mr. Williams read his testimony: "I began running Alaska newspapers in Wrangell in 1946. I retired as publisher of the Ketchikan Daily News in 1990 after owning and/or running newspapers in Juneau, Wrangell, Petersburg, Sitka and Ketchikan over a career of 44 years. I currently serve on the Board of Regents of the University of Alaska. "I have known Bob Atwood since 1946. And I am currently editing a history of Alaska newspapers authored by his late wife, Evangeline. "Bob Atwood was chairman of the Alaska Statehood Committee in the 1950s which successfully lobbied for the legislation that created the State of Alaska. For that reason alone, there's justification for naming the building at 550 West Seventh Avenue, Anchorage, for the man. We already have named state facilities for other prominent fighters for Alaska statehood such as Gruening, Bartlett, and Egan. And it's appropriate to commemorate Atwood's contribution. "In addition, Atwood was a major contributor to the economy and to education in Alaska. He editorially supported development of resources and made a school of journalism and communications at the University of Alaska, Anchorage possible with his annual endowments of $50,00 to $100,000 a year in the past 17 years. "He similarly contributed to Alaska Pacific University, was one of its founders, and served on its board of trustees. He also supported other public and private organizations for the benefit of the entire state and his community. "He was one of the founders, with this retired publisher of the Alaska Newspaper Association, in an effort to improve newspaper performance in Alaska. He was recognized nationally as a leader in the newspaper field by his service as a judge for the Pulitzer Prizes and as an officer in various national newspaper organizations. "Although the newspapers I operated may have disagreed with Atwood and his Anchorage Times on Alaska issues, on occasions we agreed most of the time. And I have always found Atwood a true Alaska pioneer and Alaska promoter. And unlike some who made their fortune in the state and left, Atwood maintained his home in Alaska and continued to contribute to the betterment of the state after he retired from the newspaper business. His estate still contributes to Alaska's universities. "Renaming the Bank of America Building in Anchorage the Robert B. Atwood Building is very appropriate." Number 0487 KATIE HURLEY testified via teleconference. She presented her statement: "I spent 12 years in the office of Governor Gruening. I am proud to come before you to tell you what I know of Robert B. Atwood's contribution to Alaska. When Ernest Gruening became Governor in 1939 he was 52; he joined Bob Bartlett, 35 who was Secretary of Alaska (the same as Lieutenant Governor). Robert Atwood was 32 and the publisher and editor of the Anchorage Times. These three men with their background of working journalism became friends and enthusiastic advocates for Alaska and worked together in cause for statehood. These three men when they were together made work exciting; they were full of ideas and visions. Of course, they didn't always agree, but in my memory they never disagreed in public. In those early years, Gruening had plenty of critics, but Bob Atwood saw the leadership he was providing and gave his programs editorial support. Often having to endure the wrath of the opposition as a result. "The 1945 legislature called for a referendum on statehood at the next election. At the time there were only two newspapers reporting the statehood cause - the Anchorage Times and the Ketchikan Chronicle. On October 8, 1946 the vote was 9,630 for and 6,822 against. Bob Atwood's strong support was the key to that victory. Chambers of Commerce were opposed; the absentee fishing interests were against it. Parenthetically, it was not until Bill Snedden bought the Fairbanks News Miner in 1954 that that paper came out in support of statehood now. "In 1949, former Governor Gruening urged the legislature to act affirmatively to hasten statehood. In early March, with three weeks left in the 90-day session, legislation was introduced to create the Alaska Statehood Committee. Eleven members, no more than six of them of the same political party. It passed the Senate with one dissenting vote and the House with two dissenting votes and one absent. Robert Atwood was one of the 11 appointed by Gruening. He was elected chairman and took the job seriously. He served as chairman until statehood was achieved in 1959 when the committee dissolved in accordance with the law. "In 1950, Delegate Bartlett's statehood bill was passed by the House of Representatives. The fight became real. Bob Atwood was tireless and dedicated in leading the committee, testifying along with many other Alaskans, gathering and publishing facts, traveling, all put on his own dime, to further the cause. Everyone was frugal in those days; long distance calls were a luxury; people wrote long letters; sent telegrams in emergencies. Atwood supported editorially the passage of an income tax and other progressive taxes. 'It was important to show Washington, D.C. we have the ability to govern ourselves,' he said. "In 1995, when the legislature called for a constitutional convention, the work of the Statehood Committee became intense. Through Atwood's fine leadership, an amazing amount of research and planning took place in those few months, April through November when the convened. Looking back it seems unbelievable -- all accomplished with telephones, typewriters, carbon paper and mimeograph machines. But we did have leaders like Robert B. Atwood. "On January 3, 1984, at the celebration of the twenty-fifth anniversary of statehood at the University of Alaska, the 55 delegates and 6 others were honored as founders of statehood. Three posthumously - Bartlett, Gruening, and Diamond. Robert B. Atwood was one of the six and the only Alaskan who was not an elected official." Number 0789 KEITH GERKEN, Architect, Division of General Services, Department of Administration, stated, "We have no problem with the legislature, we simply want to point out that there is a specific lease provision between the state and the Bank of America Corporation that requires the building to be named the Bank of America Building for the term of that lease. That's a contractual obligation that the state inherited when the state bought the building last July. It was a provision that was negotiated previously with the (indisc.) of the Equitable Life Insurance Company and the bank - back in I believe in 1993. Therefore, (indisc.) the building leases and their provision are incumbent upon the state. So, it is our belief that, until the Bank of America lease is terminated, or expires in 2002, that we will not be able to change that name; at least without the Bank of America's preparation of agreement. We've had no specific discussion with them about that, but it is our impression that they believe there is some economic value in that that they would attach to having their name on the building." Number 0870 UNIDENTIFIED SPEAKER said, "As the sponsor mentioned, 2002 would be when that provision would naturally expire unless their corporation chooses to move out sooner. We proposed that amendment of the bill would be acknowledging the existence of that lease provision so that it would be clear that that is good." Number 0894 REPRESENTATIVE ETHAN BERKOWITZ asked if the Bank of America believed there is good will attached to having the bank name out in public on a regular basis. Number 0910 MR. GERKEN responded he was not sure. He stated, "We did not have specific discussions with them about what they would want to change the name. When we talked to them last summer about their lease, they modified their use of the building - they reduced their space in the building since last summer. During those conversations we raised the issue about, 'Would you be willing to eliminate that provision about the naming of the building?' And, they said, 'Yes, for some money.' And so we took it no further than that." Number 0941 REPRESENTATIVE BERKOWITZ suggested they convey there is good bipartisan cross section of the community whose goodwill toward the Bank of America would be affected by this in this regard. He said he would be happy to convey that message. Number 0951 REPRESENTATIVE KIM ELTON asked what happens if we pass the law as drafted - saying that we changed the name. It would appear to me that if we do that that the Bank of America could have an action against the state by saying, "You're violating - the legislature by enacting this law renaming the building has violated a portion of our lease or our contract agreement." He indicated they may be subject to a legal action. Representative Elton asked if that was an appropriate interpretation? Number 0989 MR. GERKEN responded he probably could not answer that. It was his impression that contract law takes precedence. And if the bill passed and became law, before they could change the name of the building, they would look into that. He said, "Because we wouldn't want to do it - cause the state to have action against it. My assumption is that if the bill passes it is - and if the state attorneys would say that the contract and lease has precedence, that you cannot override that contract with this piece of legislation that we would not formally change the name until that lease expired or was terminated." Number 1030 REPRESENTATIVE ELTON acknowledged, which means then that your department would be operating in violation of the law. Number 1040 MR. GERKEN responded, it's important for the contract - and which takes precedence is something the Department of Law would have to define. Number 1046 CHAIR JAMES indicated there are a lot of laws that are put on the books that are not implemented because regulations aren't drafted. She said, "It appears to me that based on the statement by Representative Cowdery, that we could do this and the contract law would be superseding it - and then whenever it's available, two-way if possible, (indisc.) should have a conversation with the Bank of America Building and get their permission, or the other is to wait until the rent - lease is over and at which time this then would become effective. It seems to me we can't do something if there is an impairment there. But I don't think that discourages the interest of this statute. Would you concur with those statements." Number 1093 MR. GERKEN replied in the affirmative. They would either come to an agreement with the Bank of America to delete that provision to name the building, or would wait until their lease expired. Number 1111 REPRESENTATIVE COWDERY stressed there is no effective date on the bill. He said, "That's why I mentioned the year 2002 as a possibility - if we can't get it changed. I don't think there would be any violations anyplace - to the bill I have written." Number 1135 REPRESENTATIVE ELTON stated his impression is, if a bill has no effective date, that the effective date is 90 days after it is signed. Number 1142 CHAIR JAMES agreed. She stated had they put in an effective date it might have had a little more thrust. She said, "Because we're not the only ones that has something to say about this building we can only say what we as a state want to do about it. And if there is another party that has an interest, we have to agree to that. We don't have 100 percent control." Number 1175 REPRESENTATIVE DYSON asked Representative Cowdery if he had an objection to this proposed amendment being attached to Section 1 of the bill. Number 1197 REPRESENTATIVE COWDERY was opposed to amendments at that time. He believed the Bank of America was approachable. He said, "Talk to them before we make amendments or things like this. My hope and impression the bill will become (indisc.) in the year 2002...." Number 1235 REPRESENTATIVE DYSON stated, "If you had been open to this, I would have suggested adding the phrase 'or negotiated settlement to the proposed language here.' But, if you don't want to add the amendment, that's fine." CHAIR JAMES repeated Representative Berkowitz's statement, we do have some stock in this issue. Number 1268 REPRESENTATIVE ELTON said, "A question of Representative Cowdery talking about an amendment that isn't before us, and I don't know if you're more comfortable if I move the [proposed] amendment so we can talk about it." Number 1278 CHAIR JAMES responded she was not comfortable with it. Number 1289 REPRESENTATIVE ELTON indicated he remained a little uncomfortable and wanted to address the [proposed] amendment with Representative Cowdery. Number 1290 CHAIR JAMES said she believed they waived to talk about the [proposed] amendment because it had not been moved forward. Number 1291 REPRESENTATIVE ELTON explained the [proposed] amendment allows two things to happen. One, it gives legal authority to a negotiation with the former owners - because it allow for the termination of that signage language. And it is accomplishes, legally in law, that it becomes effective 90 days after the bill is signed - if passed. He indicated it accomplishes what the sponsor wants to accomplish. That the name of the building would change in the year 2002. Representative Elton believed without the amendment they may be putting themselves in the awkward position of creating a law that can't be enforced because of a contract provision. Number 1357 REPRESENTATIVE ELTON continued, "The other thing it could do is, if people stared calling the building the Atwood Building, it seems to me it could - that law - on it's face gives an action by the former owner against the state. So I think that we accomplish what you want to accomplish and we protect ourselves through the adoption of the amendment." Number 1365 REPRESENTATIVE COWDERY believed it could be approached within the next 90 days by the legislature, or the state, as well as individuals who support the Bank of America. Number 1386 CHAIR JAMES indicated is was the first committee of referral and asked what the next committee of referral is. Number 1392 REPRESENTATIVE COWDERY said he believes the Senate has a similar bill that would be heard later that day. He pointed out there wouldn't be a fiscal impact unless an amendment was added which could be possible. Number 1438 REPRESENTATIVE BERKOWITZ suggested they hold HB 309 to give the sponsor an opportunity to speak with the former owners of Bank of America. He said maybe they would see fit to recognize Mr. Atwood's efforts on their behalf. Number 1452 MR. COWDERY replied that he preferred not to hold the bill in committee. Number 1460 CHAIR JAMES stated she supports moving the bill out of committee in its current form. Number 1490 REPRESENTATIVE BERKOWITZ said he understands Chair James' desire to move the bill and there's probably not much he can do to impede its progress. Representative Berkowitz pointed out that he believes the bill proccess should be clean and he'd feel more comfortable knowing what Bank of America has to say. Number 1516 CHAIR JAMES stated they would all like to know what the Bank of America would say. She said if there is an opportunity for Representative Cowdery to get his bill to the Senate before the Senate bill gets to the House, she would like to help him out. Number 1550 REPRESENTATIVE ELTON jokingly said, "I want to beat the Senate too, and I want to do it in a manner that I feel comfortable with and that is clean and that nobody can come back and point fingers and say in our haste we overlooked a couple of things. In light of that, I move Amendment 1." Number 1588 REPRESENTATIVE ELTON concluded, "This allows us to continue the discussion with Bank of America so we don't need to have them today, and it allows for the name to change at the expiration of the term of the lease. So, with that, I'd encourage members to vote in favor of the amendment so that we can beat the other side." Number 1602 REPRESENTATIVE BERKOWITZ pointed out the [proposed] amendment would give the legislature the opportunity to retract it by the time it gets to the floor, if it proves unnecessary. Number 1618 REPRESENTATIVE COWDERY indicated the bill would be heard in the House Rules Committee before it goes to the floor. Number 1630 REPRESENTATIVE IVAN stated it was just a matter of timing. He believed the committee as a whole would consider any change(s), if necessary, on the floor. He said it's just technical matters that that they were dealing with and didn't believe it was controversial. Number 1658 CHAIR JAMES asked if there was objection of advancing the proposed amendment. A vote was taken on the following amendment: Section 1 is amended to read: Sec.35.40.110. Robert B. Atwood Building. The state office building at 550 West Seventh Avenue in Anchorage is named the Robert B. Atwood Building [.] subject to the termination or expiration of existing name and signage provisions contained in the lease between the Bank of America and the State of Alaska. Representatives: Dyson, Ivan and James voted no. Representatives: Berkowitz and Elton voted to pass the amendment. The motion failed. Number 1709 WILLIAM TOBIN, Editor, The Voice of the Times testified via teleconference from Anchorage: "I am Bill Tobin, and editor of the The Voice of the Times - and for some 30 years an editor and an executive of the old Anchorage Times. Prior to that I was for more than 17 years a newsman, correspondent, regional executive and bureau chief for the Associated Press - including a four-year assignment in Juneau that spanned the last two years of Alaska's territorial history and the first two years of statehood. "As such, my friendship with Bob Atwood dates to my arrival in Alaska in 1956 - and includes, of course, not only those 30 years as his colleague at The Times but also a continued close friendship after his sale of The Times and until his death a year ago. "I am very grateful to members of the legislature for their consideration of this bill to name in his honor the new state office building in Anchorage. "In my view, it would be a fitting tribute to a great Alaskan - and prove for generations yet to come a continuing reminder of the men and women whose courage and dedication and relentless belief in Alaska's future made statehood possible. "I came to the territory when the battle for statehood was still being waged - here at home, in Washington, and across the land. I was privileged to come to know all of those who were in the front ranks of the battle. That included, of course: Atwood, Bartlett, Egan, Gruening, Snedden and many others of their stature. "As an editor and publisher of The Times, Bob Atwood's editorials fired the furnace of the statehood engine. As chairman of the Alaska Statehood Committee, he was the organizer, the planner, the fund-raiser, the chief executive officer for the whole campaign. He led countless trips to Washington [D.C.], lobbying Congress and developing the eventual successful strategy that produced that great day when The Times proclaimed in a giant-size headline: 'We're In.' "For that alone, Bob Atwood is deserving of the lasting honor that would be bestowed by enactment of this bill. "But Bob Atwood did more. He was a builder, a visionary, a prophet when it came to the future of Alaska and Anchorage. "Bob Atwood's 60 years in Alaska will be recognized by generations to come as one of the most remarkable eras in the state's history. "We would not be where we are today without the efforts of Bob Atwood, Bill Egan, Ernest Gruening, Bob Bartlett and other pioneer leaders of their day. All of them respected Bob Atwood, were devoted to him, recognized him as a leader, and walked the trail that he carved toward the future. "Putting his name on the state's newest office building, in the heart of the city he loved and served, is the right and proper thing to do." Number 1847 FULLER COWELL, publisher of the Anchorage Daily News, testified via teleconference from Anchorage. He said, "Thank you for this opportunity to add my voice with those of (indisc.) in favor of renaming the Bank of America Building in honor of publisher Bob Atwood. As a young apprentice press (indisc.) in Fairbanks, I watched Bob Atwood demonstrate his dedication to journalism and confidence in Alaska's economy by installing the first multi- million dollar metro-sized off-set newspaper press in Alaska back in 1969. As the young publisher of the Cordova Times, back in the mid 1970s, I benefited from Bob Atwood's generosity by coming to Anchorage to listen to world class journalism by Benjamin Bradley, editor of the Washington Post. These seminars were funded primarily through contribution from Mr. Atwood's Anchorage Times.' Over the years hundreds of inspiring young Alaskan journalists have had exposure to some of America's best. Contemporary journalist, through his funding of The Atwood Chair of Journalism at the University of Alaska Anchorage. Finally, for the record I would like to send a copy of last Saturday's editorial in the Anchorage Daily News supporting the legislation to honor Mr. Atwood in this fashion. Mr. Atwood moved large for Alaska's history. It is altogether fitting that the state building which moved large on Anchorage's skyline should be named in his honor." Number 1928 GLORIA ALLEN, Music Teacher; Theater Producer; Arts Activist, testified via teleconference from Anchorage. She stated, "I met Bob 22 years ago and he was a very very special friend. He'll be remembered for his many contributions to our community. But his contributions to the arts was extraordinary. With his wife Evangeline he either helped start, or certainly continued to help maintain many of the arts organizations. Supporting them throughout his life to the very end. His loyal support, as well as his financial support was enormous. He was always there for those of us troubling in the arts. Without his influence and support many arts organizations would not have survived. And he certainly helped establish his standard of excellence for the arts during his (indisc.) in Anchorage. He made it possible for people like myself to remain active in the arts in Alaska and always saw to it that the local artists were given appropriate attention in his newspaper The Anchorage Times. He was a great community spirited person, he remained involved until the end of his life with the Chamber of Commerce, his rotary, his military community. And I can think of no one more deserving for such an honor than Robert Atwood (indisc.) Alaska." Number 2004 VIC FISCHER, testified via teleconference from Anchorage. He presented the following statement: "I'm testifying on behalf of three living Anchorage delegates to the Alaska Constitutional Convention, each of whom also served in the Alaska territorial legislature: Seaborn J. Buckalew, Jr., Steve McCutcheon, and myself, Victor Fischer. The three of us enthusiastically support naming the new building for Bob Atwood. "As you know, the state constitution was written as part of Alaska's fight for statehood. And as others have pointed out, statehood was Bob Atwood's biggest cause. There was not one person who so fervently and outspokenly argued for statehood as Bob Atwood. As a individual, as a publisher, and as chairman of the official Alaska Statehood Committee, Atwood devoted endless energy to bringing self-governance to Alaska. He fully deserves to be remembered and honored for this tremendous contribution to Alaska. "Statehood was an overriding, nonpartisan goal, and the fight was waged together, on a completely bipartisan basis. Bob Atwood, a Republican, worked shoulder to shoulder with Democrats Bob Bartlett, Alaska's Delegate to Congress, and Ernest Gruening, our Territorial Governor, in providing the leadership and drive for statehood, in which each of us participated. It was a long, tough battle, and was glorious when we finally did become a state. Bob Atwood was there all the way. "In Addition to acknowledging Bob Atwood's contribution to statehood and his total dedication to Anchorage, Steve McCutcheon, Judge Buckalew, and I also considered Bob Atwood a good friend. We were sad when he left us, but we will be glad to see his name emblazoned on Anchorage's state office building." Number 2082 LEE GORSUCH, Chancellor, University of Alaska, Anchorage, testified via teleconference from Anchorage. "I'm the chancellor of the University of Alaska, Anchorage, but am appearing here this morning as a citizen of Alaska and a resident of Anchorage. (Indisc.) generally reserves the opportunity of moralizing it's great achievements and large city virtues by using the occasions of statutes and buildings as a way of memorializing those achievements and virtues. It's a very customary practice, therefore, I think the consideration under HB 309 is quite appropriate. "While Bob has not been one known as an elected official, none the less, he did dedicate his life and his profession to the advancements of societies overall good. As others who have already testified and indicated, his contributions to Alaska statehood are perhaps unparalleled. His life has also been characterized by those who appreciate the civic virtues of love of country, of valor, courage and commitment. All of which Bob personified. "About two years ago we had the opportunity at the university of providing a (indisc. - noise) celebrating the life and contribution of Bob Atwood while he was still alive. And during that time I had the opportunity to say a few words to Bob. He physically was a big man, he had big ideas, and big dreams. He came to Alaska and made big contributions. He was successful in building a big wallet. But because he had a big heart he also gave big contributions, not the least of which were to the University of Alaska, Anchorage, as Fuller Cowell just described in creating the Robert Atwood chair of journalism which brings distinguished journalists to the state of Alaska to prepare our students who wish to carry on the mantel of profession of first class journalism. For those of us who know Bob there is a tinge of irony that the state office building would carry his name since bureaucracy was often times the subject of his criticism and not serving the public interest better. While that tinge of irony is - brings a (indisc.) smile to all of us who know Bob well, my personal view is that actually gets to the yin and yang of life. That there is a need to bring a balance in our views to the social realities that we each confront. I strongly encourage and support your favorable consideration of HB 309. It serves societies purpose, it's not simply in honor of Bob but it's an honor of the civic virtues and his great contributions to the state of Alaska." Number 2211 CHAIR JAMES urged the sponsor to diligently search for answers to the questions that were discussed that morning and indicated solutions could be addressed in the House Rules Committee. Number 2234 REPRESENTATIVE ELTON urged support of the bill. He noted, for the record, "I found it interesting that the people who testified - most of the people who testified in favor of this bill and this honor for Robert Atwood are probably deserving of having a building named after themselves also. So, I don't think we're going to have a problem with this bill. But, I wanted to put it on the record that I don't think we've had a much longer, or more distinguished list of people testifying (indisc.) in front of this committee." Number 2267 REPRESENTATIVE BERKOWITZ made a motion to move HB 309 out of committee with individual recommendations. There being no objection, HB 309 was moved from the House State Affairs Standing Committee. HB 264 - NEGOTIATED REGULATION MAKING Number 2300 CHAIR JAMES brought up the next order of business which was HB 264, "An Act providing for a negotiated regulation making process; and providing for an effective date," sponsored by Representative James. Number 2315 WALTER WILCOX, Legislative Assistant to Representative James, Alaska State Legislature, came before the committee. He identified CSHB 264(STA), 0-LS0910\F, Bannister, 1/15/98, as the working document. Mr. Wilcox indicated Section 09.65.235 relates to civil immunity and can be found on page 7 of the old and new draft. Number 2375 REPRESENTATIVE ELTON moved to adopt Version F. There being no objection, Version F was before the committee. Number 2401 DOUGLAS MERTZ testified in behalf of the Prince William Sound Region Citizens Advisory Council (RCAC) which is a nonprofit organization formed in the aftermath of the Exxon Valdez spill. Number 2425 MR. MERTZ stated there were some specific problems the RCAC found to be quite serious and contrary to the intent of the bill. Mainly the committee makeup is of members of the regulated profession - it does not include members of the public. [TAPE 98-2, SIDE B WAS NOT RECORDED ON] TAPE 98-3, SIDE A Number 0001 MR. MERTZ indicated there is no provision to provide notice that a committee is being formed. He referred the Open Meetings Act and noted the public does not have the right to participate or say anything. The bill states the committee members serve at the pleasure of the head of the agency. For example, if a commissioner had a particular bias or private agenda he could boot a member off the committee without stating a reason. Subject to the Open Meetings Act he said, "The Open Meetings Act doesn't apply to non- decision making committees within an agency." He suggested making a simple technical amendment making it clear. Mr. Mertz provided the following suggested text for amendments: Number 0170 "Regarding notice of proposed formation of a regulations committee, insert, 'The agency shall request nominations to the committee through notices in newspapers of general circulation at least fourteen days before making appointments to the committee.' "Regarding fair and balanced makeup of regulations committees, insert, 'The membership of a negotiated regulation making committee shall fairly reflect the main interests and viewpoints regarding the subject of the regulations.' "Regarding the right of the public to participate, insert, 'The committee shall permit public testimony at its meetings.' "Regarding termination of a committee member, insert, 'May be removed by the had of the agency for good cause.' "Regarding applicability of the Open Meeting Act, insert, 'Notwithstanding anything in those sections to the contrary.' Number 0245 CHAIR JAMES made it clear that it was a volunteer program which is intended to eliminate disputes. She pointed out the purpose of negotiated rulemaking would automatically not do those things even though it says they can or can't. Number 0443 MR. MERTZ responded the golden rules of legislative interpretation is intent is meaningless unless you actually required it. He said the intent of the bill is clear, yet, nowhere does it 'require'. The way it is written it could be abused, if a commissioner wanted to use it to stack the process in favor of a particular viewpoint. Number 0525 CHAIR JAMES indicated there is a cost involved because HB 309 has no fiscal notes. That means, while an agency determines that they are going to use this process, they know that they have to get the money somewhere else because they are not going to be able to tap their budget. Number 0524 MR. MERTZ made reference to the increasing cost of newspaper advertising. The commissioner still would have the discretion of who to appoint. But, at least people would be notified and could make the request to be on the committee. Number 0586 REPRESENTATIVE BERKOWITZ noted he too was concerned about the notice requirement. He pointed out, if you look at the Administrative Procedure Act, that notice is required as is. Number 0613 MR. MERTZ responded that notice is only required in the formal regulations promulgating process, and under this bill there would have to be notice of a meeting. But, you should have soliciting to prevent a stacked and biased committee. Number 0645 REPRESENTATIVE ELTON stated one of the impediments to using this process is going to be cost. He agreed notice prior to the formation of a committee makes sense and recognized that legal notice is a large source of revenue for many newspapers. Number 0663 REPRESENTATIVE ELTON said, There may be some ways that a good manager can't take, for example: that all agencies now have a home page which they could notice perhaps a potential formation of one of these committees. Number 0687 REPRESENTATIVE ELTON made reference to Mr. Mertz [written] comment that nothing in the bill requires that a committee's makeup be fair and representative of the broad range of interests. He pointed out in HB 264, page 2, lines 13 and 14, that the agency shall consider whether, "(2) there are a limited number of unidentifiable interests that are held by more than one person and that will be significantly affected by the regulation." And goes on to say, "there is a reasonable likelihood that a committee can be convened with a balanced representation of persons who can adequately represent the interest identified under (2) of this section." Number 0772 REPRESENTATIVE ELTON believed that accomplishes one of Mr. Mertz's concerns, and construed this bill has added a new step that does help to do that, and takes some of the discretion of the manager away. That is what this accomplishes. Number 0788 MR. MERTZ referred to legal battles of interpretation of statutes. He said, One of the main rules is you can have an intent stated but the intent is not operative. You also need something that puts the standard into law. He said, "It would be perfectly legal here for a commissioner, or head of an agency, to go through this process, identify the interests and needs, and so on, and still appoint a committee that represents only one interest - that would be legal. Bear in mind also, there is no judicial review." He believed the way to put the commissioner on the spot, to appointing a fair committee, is to point to 'the committee shall be fair and representative of the interests.' This intent becomes mandatory law. Without it, it is not required. Number 0897 REPRESENTATIVE ELTON stated he thought the intent was already codified in law by saying the members of this committee can adequately represent the interests identified under (2) which are that there are varied interests and the commissioner, or the agency director is required to make a finding that those different interests be there. He did not believe that gave the manager more latitude than Mr. Mertz's proposed language. Number 0928 MR. MERTZ said he believed the law is very clear that intent language like this is not mandatory. If there is any question about whether the standard is mandatory, then make it mandatory. Number 0944 REPRESENTATIVE MARK HODGINS said, "I see this bill as coming forward as a step for folks to begin to get into the process. They are not making a decision that is binding, they are making an advice type decision. That binding decision will be made later on and there is a mechanism that brings that into the public's comment period. I don't think we should unduly restrict by adding extra commitments that this committee would have to do to start this process. While I do agree with some of the things that you brought forward, if this was a binding committee I would say yes, but this is not a binding committee." Number 1009 DEBORAH BEHR, Assistant Attorney General, Legislation and Regulations Section, Department of Law, reiterated Representative Hodgins' statement that the intent of HB 264 is to provide more public input into the process in a less bureaucratic manner, and less costly, and avoiding delay. Some of the suggestions made were discussed by the administrative committee and were rejected because of concerns about delay, bureaucracy and cost. Number 1064 MS. BEHR said, "This is an advisory process, this is a (indisc.), anything that comes down has to go through the entire Administrative Procedure Act which includes lots of public notice - lots of opportunities to comment. There are lots of checks in the process through people being able to go to the commissioner and ask for members to be added, to go to the regulation review committee and ask for review of the situation, go to the governor, to go to any elected official and ask for some review of it." Number 1084 MS. BEHR referred to page 6, lines 4 through 6 of the proposed committee substitute and said a regulation that goes through negotiated rulemaking process is given no greater (indisc.) than any other regulation when it goes to the court. It is still subject to judicial review. Number 1111 MS. BEHR stated the original bill did have a notice of formulation of the committee, however, the House Special Committee on Administrative Regulation Review decided that was not necessary in a state like Alaska. If a person wanted notice of it they could send a letter to the commissioner. If there is a problem, it is going to be subject to the Open Meetings Act, the commissioner can always add someone later. Number 1139 MS. BEHR continued, a formal notification process is costly and also a delay. If you are going to have a meeting, you have to give people the opportunity to provide their name and background and repeated that they decided that this wasn't necessary. There is a more informal process that meets the same goal. She stated they also agreed that the committee should be balanced. Number 1162 MS. BEHR addressed a second concern regarding fair representation of all interests. She said that it is difficult to determine whether someone is fair or not. Ms. Behr indicated she believes the standards in the bill are helpful because they are balanced. For example, it would be difficult for her to give legal advice to the commissioner as to who is a fair person and who is not. Number 1188 MS. BEHR believed the participation in the process is an absolute essential element of any successful regulation. The public participation is guaranteed in the Administrative Procedure Act. Again, any citizen can write a letter to this committee or to the commissioner and say please look at it. If the commissioner believes the committee is not looking into it - they serve at the pleasure of the commissioner - the commissioner can say you better look at it or we'll find someone who will. Number 1228 MS. BEHR mentioned if there is a problem, there are "checks" done. She pointed out they have to come back and report to the legislature in five years as to whether or not it is working. She stated changes could be made at that point. Number 1242 MS. BEHR believed that the bill is clear on the Open Meeting Act change. She suggested the committee members contact their legal counsel if they had any questions on that. Number 1253 MS. BEHR responded to the concern of pleasure or cause. She said, "These are limited duration committees -- It's not like somebody who's going to be there for three years or four years. In order for me to be able to successfully work with getting someone off the (indisc.), I have to generally have a history. And I have to be able to prove a history. What typically happens is someone doesn't come to meetings and they have a good excuse. We have to build a pattern for that. And in order to get a pattern - by that time the committee process will be overlooked. These committees, I don't think will last for more than a year, maybe longer. At that point we -- essentially what you're doing is setting up where there is no way to remove someone who is not doing a good job." Number 1302 MS. BEHR concluded, the check and balance is for example, if the commissioner is acting inappropriately, they know how to get to the legislature, governor and regulation review committee. Number 1314 REPRESENTATIVE BERKOWITZ stated Ms. Behr indicated a person receives notice after they have discovered that the rulemaking is implied - that something is already going on. He believed that was not the type of adequate notice that Nebraska, Montana and the federal statutes envisioned. Number 1341 MS. BEHR agreed that they have these provisions. However, the statutes are not being used that much because of the bureaucratic steps that are in it. In a small state like Alaska, it is very hard to keep a meeting hidden and she could not see no reason why a commissioner would want to keep it hidden. Number 1357 MS. BEHR said, "The goal of the state is to get a consensus, and since they are not being funded more money for this it doesn't help us to set up some veil of secrecy. Also, all the meetings have to be noticed to the public. So the first time there is a notice - that someone has some objection to the makeup of the committee they could certainly come to the commissioner, or the governor, or the regulation review committee and handle it that way." Number 1382 REPRESENTATIVE BERKOWITZ noted one of the other goals is designed to foster public confidence in the process by making the process more open and available. If there is an appearance that any cloaking is going on that destroys that intent. Number 1394 MS. BEHR assured Representative Berkowitz if the commissioner asked, she will tell them to give as much public notice as possible. Number 1400 CHAIR JAMES said, "It is a different piece of legislation than we're use to having, because it's a volunteer process. And that's the only way we can keep the cost down and also encourage public support." The net results of the regulations would be more effective and more workable. Number 1468 REPRESENTATIVE ELTON noted there are no rules in the Open Meeting Act, or any other references, to preclude a member of one of these committees from voting over teleconference. Number 1489 MS. BEHR said it was her understanding that voting over teleconference is allowed. Number 1511 KIRSTEN SHELTON, Lobbyist, Alaska Conservation Voice, came before the committee. She agreed with HB 264, but had suggestions. She said their greatest concern is the selection of participants is too discretionary - the measure says to guarantee the participation of all interested parties. No time is warranted to develop a consistent, reliable methodology that would address this concern. MS. SHELTON suggested the bill should be made clear that consensus agreement may be altered, if as a result of public comments. MS. SHELTON asked for clarifying procedures for appointing conveners and facilitators and stipulations regarding funding. MS. SHELTON suggested more extensive public notice be given regarding the formation of a committee. Ensure that certain rules that pertain to expansion of the committee be retained. MS. SHELTON said, "And the possibility of developing a pilot project to pre-test the negotiated regulation making." Number 1625 CHAIR JAMES stated if there was a fiscal note on HB 264, it is dead. She said when the regulations go through the public process, someone may come forward with an interest they have that is overwhelming - and the regulations could be changed. This committee is goal as opposed to process oriented. Amendments could be made in 1999. Number 1730 MR. WILCOX said they are trying to bring the public into the regulation making process. People in Alaska feel regulations have become unfairly forced upon them - regulations they had no part in making or do not understand. The tyranny of regulations is what people are so upset about in the state of Alaska. He noted all the fiscal notes from the departments were zero. Number 1837 REPRESENTATIVE ELTON said he is supportive of this effort and referred to Mr. Wilcox's statement, "the tyranny of regulations." He said we see this in federal and state law, and in federal and state regulations - that those who are most likely to organize and participate in the process are those who have - what could be construed as a direct economic benefit. He explained there is a tie between the rule, the regulation, or the law - and their economic benefit. Some of us can not (indisc.) in economic benefits - by rule or by regulation - may be to protect our health, safety, and the opportunity their children may have in the future. Representative Elton said they had to define those who have a valid public interest - more broadly than those who have an economic interest. Representative Elton said this gives us an opportunity to try new ways to do that. Number 1916 CHAIR JAMES clarified that the public, that Mr. Wilcox hears from, believes the regulations are tyrannical. Number 1955 REPRESENTATIVE ELTON responded sometimes those who define those regulations as tyrannical have a direct economic interest in those regulations. He said some times it is easier to organize around an economic interest than it is to organize around another interest, amorphous such as public health. Number 2015 REPRESENTATIVE MARK HODGINS made the motion to move CSHB 264 out of committee with individual recommendations and attached zero fiscal notes. There being no objection, CSHB 264 moved from the House State Affairs Committee. HJR 5 - CONSTIT AMNDMNT: FREEDOM OF CONSCIENCE Number 2025 CHAIR JAMES announced the next order of business would be HJR 5, "Proposing an amendment to the Constitution of the State of Alaska relating to freedom of conscience," sponsored by Representative Martin. Number 2039 REPRESENTATIVE TERRY MARTIN said the supreme court has subjugated freedom of conscience - only a statutory right versus a constitutional right -- But the U.S. Constitution, and many other states, guarantee it. The court(s) has also put freedom of religion with freedom of conscience. Historically, freedom of conscience was more superior. Should freedom of conscience be a constitutional right rather than a statutory right. Number 2168 PATRICK DALTON testified via teleconference from Delta Junction. Mt. Dalton quoted from Revelation, chapter 13 versus 16, 17 and 18, stating we are commanded not to receive a mark on the forehead or hand. He believed a national identification number [social security number] is a step in that direction. Mr. Dalton wondered how the freedom of conscience would impact him if it comes to the point where he is required to violate his religious beliefs. Number 2261 CHAIR JAMES asked Mr. Dalton, since he had not taken his social security number, if he had no interest in social security rights or benefits. Number 2292 MR. DALTON indicated he ran into a lot of discrimination recently and didn't believe he would be able to receive his Alaska permanent fund any longer. He was taxed $300, or more out of the permanent fund, and believed there is no recourse to get it back from Internal Revenue Service. Number 2331 REPRESENTATIVE MARTIN stated for a couple years he did not get a dividend check because he did not believe in the Permanent Fund Dividend Program. But, he receives it now because he contributes it to a charity - that was his freedom. He recognized, in a way, Mr. Dalton was expressing his freedom of conscience. Representative Martin noted, however, Mr. Dalton must suffer the consequences accordingly. Number 2350 CHAIR JAMES stated nothing in this life is free, but we do have some freedoms and we can choose. Number 2369 KENNETH JACOBUS testified via teleconference from Delta Junction. He said he testified on HJR 5 before. Since he testified, the supreme court decided Mat-Su Coalition for Choice v. Valley Hospital Association, - it is even more clear that things are out of balance in the state of Alaska. He indicated Alaska is now the most pro-abortion state in the United States. The Alaska Supreme Court and Valley Hospital stated that the Alaska Constitution protects abortion more broadly than the U.S. Constitution protects abortion. Under the supreme court decision, unwilling participants may be forced to perform abortions. The supreme court also said, in Footnote 18, that a person's own religious belief cannot be a compelling state interest because that could violate the establishment clause. Number 2400 MR. JACOBUS said Valley Hospital will have to pay approximately $150,000 in attorney's fees, to the other side, plus their own attorney's fees because they relied on state statutes. The state is also going to lose the parental notification and partial birth abortion laws in judicial review based on the Alaska Constitution. Number 2424 MR. JACOBUS indicated the legislature needs to allow the people to vote on two issues relating to the Alaska Constitution. Put freedom of conscience into the constitution so that Alaskans will not be forced to violate their conscience. Most important the subjection of abortion needs to be taken out so that the constitution is made neutral. TAPE 98-3, SIDE B Number 0001 REPRESENTATIVE ELTON believed the issue of life support has a different opinion as a matter of conscience. He asked if this applies much more broadly than pro-life, pro-choice. Number 0015 MR. JACOBUS agreed. He pointed out that he is not necessarily concerned about pro-life, pro-choice. Mr. Jacobus stressed he is concerned about keeping the constitution neutral - and not have it support one side or the other. He said there are gray areas in this, but believed a person's right to be protected in their own beliefs is so important that the gray areas could be settled later. Number 0043 CHAIR JAMES stated she had struggled over our constitutional rights of freedom of religion - including keeping government and religion separated in public schools. Chair James asked if freedom of conscience is a stronger statement than freedom of religion. Number 0079 MR. JACOBUS responded it is a stronger statement of your right to protect yourself against being forced to do something that you do not want to do. Number 0095 MR. JACOBUS concluded there are two different concepts, one of which is protected, one of which is not protected right now. Number 0104 REPRESENTATIVE BERKOWITZ asked Mr. Jacobus to point out the language indicating that an individual can be compelled to do something against his conscience in the Valley Hospital case. Number 0110 MR. JACOBUS stated that was his belief as to what the effect of the position is. He noted there was no specific language in opinion that states that - that was the logical exception of the opinion. Number 0118 REPRESENTATIVE BERKOWITZ asked for clarification - that is not part of the opinion. Number 0127 MR. JACOBUS commented that the result of the opinion makes Valley Hospital do things which are against the consciences of the members of the Board of Valley Hospital. The opinion does not have broad language which says any person may be ordered by the government to violate their conscience. Number 1146 REPRESENTATIVE BERKOWITZ said he is concerned with freedom of conscience. He asked what impact it would have on the subsistence debate. MR. JACOBUS replied that he did not know. Number 0158 CHAIR JAMES indicated HJR 5 would be brought up at the next House State Affairs Committee meeting. ADJOURNMENT Number 0166 CHAIR JAMES adjourned the House State Affairs Standing Committee meeting at 10:00 a.m.

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