Legislature(2003 - 2004)
02/26/2003 01:35 PM Senate CRA
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ALASKA STATE LEGISLATURE
SENATE COMMUNITY AND REGIONAL AFFAIRS STANDING COMMITTEE
February 26, 2003
1:35 p.m.
MEMBERS PRESENT
Senator Thomas Wagoner, Chair
Senator Robin Taylor, Vice Chair
Senator Gary Stevens G
Senator Georgianna Lincoln
Senator Kim Elton
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
SENATE BILL NO. 38
"An Act relating to construction, plumbing, mechanical,
electrical, fire safety, and other safety codes adopted by state
agencies and municipalities; and providing for an effective
date."
HEARD AND HELD
SENATE BILL NO. 62
"An Act extending the termination date of the Alaska regional
economic assistance program; and providing for an effective
date."
MOVED SB 62 OUT OF COMMITTEE
SENATE BILL NO. 63
"An Act relating to municipal property taxation in annexed and
detached areas; and providing for an effective date."
MOVED SB 63 OUT OF COMMITTEE
CS FOR HOUSE CONCURRENT RESOLUTION NO. 2(MLV) am
Relating to the extension of the Alaska Railroad to Fort Greely
to serve the anti-ballistic missile launch facility.
HEARD AND HELD
HOUSE BILL NO. 58
"An Act relating to the reinstatement of Native corporations;
and providing for an effective date."
MOVED HB 58 OUT OF COMMITTEE
CS FOR HOUSE BILL NO. 68(JUD)
"An Act relating to the jurisdiction of the office of victims'
rights."
MOVED HCS 68 (JUD) OUT OF COMMITTEE
PREVIOUS ACTION
SB 38 - No previous action to record.
SB 62 - No previous action to record.
SB 63 - No previous action to record.
HCR 2 - No previous action to record.
HB 58 - No previous action to record.
HB 68 - No previous action to record.
WITNESS REGISTER
Senator Gene Therriault
Alaska State Capitol, Room 111
Juneau, AK 99801-1182
POSITION STATEMENT: Sponsor SB 38
Mary Jackson
Staff to Senator Wagoner
Alaska State Capitol, Room 427
Juneau, AK 99801-1182
POSITION STATEMENT: Introduced SB 62 and SB 63
Meilani Schijvens
Administrative Assistant, Southeast Conference
P.O. Box 21989,
Juneau, AK 99802-1989
POSITION STATEMENT: Testified on SB 62
Sue Cogswell
Representative,
Prince William Sound Economic Development District
No address provided
POSITION STATEMENT: Testified on SB 62
Wanetta Ayers
Executive Director
Southwest Alaska Municipal Conference
3300 Arctic Blvd., Suite 203
Anchorage, AK 99503
POSITION STATEMENT: Supports SB 62
Jim Carter
Executive Director
Kenai Peninsula Economic Development District
14896 Spur Hwy
Kenai, AK 99611
POSITION STATEMENT: Supports SB 62
David Leone
Special Assistant to the Mayor
Fairbanks North Star Borough Economic Development Commission
P.O. Box 71267
Fairbanks, AK 99707-1267
POSITION STATEMENT: Testified on SB 62
Mary Griswold
Box 1417
Homer, AK 99603
POSITION STATEMENT: Testified on SB 63
Representative Bob Lynn
Alaska State Capitol, Room 415
Juneau, AK 99801-1182
POSITION STATEMENT: Sponsor HCR 2
Colonel Craig Campbell
Adjutant General/Commissioner
Department of Military &
Veterans Affairs
PO Box 5800
Ft Richardson, AK 99505-0800
POSITION STATEMENT: Testified on HCR 2
Pete Hallgren
Delta Junction City Administrator
Delta Junction, AK 99737
POSITION STATEMENT: Testified on HCR 2
Larry Labolle
Staff to Representative Richard Foster
Alaska State Capitol, Room 410
Juneau, AK 99801-1182
POSITION STATEMENT: Introduced HB 58
Representative Ralph Samuels
Alaska State Capitol, Room 412
Juneau, AK 99801-1182
POSITION STATEMENT: Sponsor HB 68
Steve Branchflower
Office of Victims Rights
No address provided
POSITION STATEMENT: Testified on HB 68
ACTION NARRATIVE
TAPE 03-4, SIDE A
CHAIR THOMAS WAGONER called the Senate Community and Regional
Affairs Standing Committee meeting to order at 1:35 p.m. Present
were Senators Gary Stevens, Elton and Chair Wagoner. Senators
Lincoln and Taylor arrived momentarily.
The first order of business to come before the committee was SB
38.
SB 38-ADOPTION OF SAFETY CODES
CHAIR WAGONER announced there was a work draft committee
substitute (CS) in the packets. The hearing was intended to be
informational; members could address questions to the sponsor,
but public testimony would be taken at a later time. The bill
would not move from committee that day. He asked for a motion to
adopt the draft and for the sponsor to explain the substitute.
SENATOR GARY STEVENS made a motion to adopt CSSB 38 as the
working document.
There being no objection it was so ordered.
SENATOR GENE THERRIAULT, sponsor of SB 38, apologized for not
having the CS available sooner.
Last session a number of bills were introduced regarding
building code issues, but none came to fruition. A Fairbanks
group approached him this year and asked him to push the issue
to a final resolution. [See sponsor statement in committee
file.]
In Alaska, construction safety codes are divided between two
departments. Fire, building, and mechanical contracting codes
are under the jurisdiction of the fire marshal at the Department
of Public Safety (DPS) while the electrical and the plumbing
codes are housed in the Department of Labor (DOL). Recently the
fire marshal elected to switch from the Uniform Code family to
the International Code family, which triggered a number of
problems.
The CS proposes to move the mechanical codes in with the other
building trade codes and to leave the building and fire codes
with the Department of Public Safety. Individuals performing
plumbing, electrical and mechanical job functions must all
participate in continuing training to maintain certification
where building and fire codes have design phase public safety
application. Further justifying the switch is that information
from the Department of Community and Economic Development
Division of Occupational Licensing regarding statutes and
regulations for mechanical administrators indicates plumbing job
functions are a subset of mechanical functions. Meshing code
requirements from two departments is problematic at best.
To save project time and money, the CS allows any project
started under the international mechanical code to continue
under those codes to completion. Additionally, the workforce is
allowed time to retrain because new safety codes would not take
effect until three years after adoption.
Understandably, turf battles exist between departments, between
segments of organized labor, and between individuals that write
the codes. Because the complexities of the issue are extensive,
it is time for legislators to understand the implications of the
issue and make a policy decision.
He asked if there were any questions.
SENATOR ELTON asked whether the CS adequately addresses turf
battles to get away from conflicts that may extend to the
authority of plumbers to outside the building into areas that
are traditionally handled by other sectors of the labor market.
The CS shifts the mechanical code authority to the Department of
Labor, but it doesn't necessarily change the relationship
plumbers may have with individuals that are doing underground
work outside a building. He asked if that was correct.
SENATOR THERRIAULT said it was not his intent to shift duties
individuals could perform.
SENATOR ELTON referred to the transition period addressed in the
CS and asked how a transition period was handled when the
Department of Public Safety shifted from Uniform to
International Codes.
SENATOR THERRIAULT replied he wasn't certain and that would be a
good question to address to the department directly. The
authority by which DPS adopted the International Code was
challenged, but the statute was confusing because it refers to
the uniform code and the courts interpreted the word "uniform"
to be generic saying it spoke of a code not specifically the
Uniform Code. If there was a transition period, part of it might
have been used up by the litigation during which time people
weren't sure whether to retrain or not. Other areas in statute
speak specifically of the Uniform Code, which points out the
need to clarify terminology.
SENATOR ELTON asked whether the statutory conflicts were
addressed in the CS.
SENATOR THERRIAULT admitted they weren't addressed but could be
depending on the legislative policy call.
SENATOR ELTON commented the letter from the City of Fairbanks
was strongly worded and he wondered whether the CS addresses the
concern that local government should have the authority to
establish practices they think are best for themselves.
SENATOR THERRIAULT replied it was his intent to preserve local
control as much as possible. He did want the fire marshal to
respond to the impact of allowing local control.
SENATOR LINCOLN said she had similar concerns about the
resolution from the City of Fairbanks. Since the bill would be
heard in this committee again, she said she would submit a list
of questions to the sponsor's office. She hoped some of the
concerns could be incorporated in an amendment.
SENATOR STEVENS asked for assurance there was no intent to
reduce or consolidate inspectors in the plan.
SENATOR THERRIAULT said the intent was to move the authority to
oversee and adopt a particular set of codes from one department
to another.
He advised occupational licensing has expressed concerns and
would like to be included in further discussions.
CHAIR WAGONER announced the bill would be held in committee and
the public could get a copy of the CS by contacting his office.
SB 62-AK REGIONAL ECONOMIC ASSISTANCE PROGRAM
CHAIR WAGONER asked Mary Jackson to introduce SB 62.
MS. MARY JACKSON, staff to Senator Wagoner, explained SB 62 is
the companion bill to HB 79 and extends the termination date of
the Alaska Regional Economic Assistance Program, which is the
funding source for the Alaska Regional Development Organizations
(ARDOR) program from 2003 to 2008. HB 79 was on the House floor
and would move to the Senate on February 28, 2003. If SB 62 were
to pass from committee that day it would move to the Finance
Committee and be heard simultaneously with HB 75.
In the packets there is a sectional analysis, a list of the
thirteen programs, and a series of questions and answers
regarding the ARDOR program. [See bill file.]
She asked whether there were any questions.
SENATOR LINCOLN asked whether HB 75 had exactly the same
language.
MS. JACKSON replied the language was the same. Although someone
could have asked for reconsideration in order to make a change,
when she left her office a short time ago that had not happened.
SENATOR LINCOLN said she is a big supporter of ARDORs.
SENATOR TAYLOR asked whether Legislative Budget and Audit had
done an audit since this was a sunset issue.
MS. JACKSON wasn't aware of one having been done.
SENATOR ELTON commented the ARDOR is one of the best ways to get
value for the dollar on regional economic development.
Previously he suggested shifting money from the commissioner's
office to make sure some of the economic development decisions
are made in the regions. Although he was not suggesting that
now, he did want it clear this is one of the few state programs
that meets market test. They leverage the money they receive
five fold, which is seldom seen in governmental programs.
Increasing the money given to this program is a sound
investment.
CHAIR WAGONER called for public testimony.
MEILANI SCHIJVENS, Southeast Conference Administrative Director,
urged members to authorize and fully fund the ARDOR program. She
gave the following testimony.
ARDORS use the seed money provided by the state to
build on - leveraging approximately 5 times as much
money for business assistance, infrastructure
development, community assistance, and other
functions.
ARDORS regionally address and support the vast
diversity of economic challenges and opportunities in
our huge state. Here in Southeast, the Southeast
Conference focuses on infrastructure issues, primarily
the AMHS, and the regional electrical inter-tie - In
other areas of the state,
ARDORS are very involved with business assistance,
because that need is unfilled. The NW Arctic ARDOR,
for example, developed an innovative revolving loan
fund utilizing PFD payments as loan guarantees.
ARDORS supply a useful resource to the state and
federal government when it comes to dealing with
regional or multi-regional issues. The South West
AK Municipal Conf ARDOR was designated by the federal
government to disburse over $30 million in Stellar sea
lion regulation mitigation money, and was successful
in getting it done on time with an administrative
overhead under 1%. We work to keep leaders from
across the state informed on regional issues and
problems. Southeast Conference, for example, helps
facilitate meetings of the Southeast Conference of
Mayors, the Southeast Conference of Chambers, and
provides information to the Southeast Caucus.
The Southeast Conference has been around for 45 years.
We have over 100 members, including 29 Southeast
communities. We have 9 committees, and 90 volunteers
who volunteered approximately 10,000 hours this last
year. We leverage 15 times the value of the ARDOR
grant in funding for projects around the region.
Our Ardor was instrumental in obtaining a federal
authorization for a regional electric inter-tie, with
the help of then Senator Frank Murkowski and we are
hard at work on the next steps of that project. For
the last 10 years, we have been working with the state
on a low cost method of collecting household hazardous
waste around the region. Each year we collect
approximately 13,000 gallons of hazardous material
that could have ended up in our ground water or
landfills. All at a very low cost to the state -
approximately $1 per gallon.
ARDORS help bring people in remote regions together.
Our annual meeting in September held on Prince of
Wales Island, attracted more that 200 leaders from
across the region, where collectively they decided to
pursue a whole range of regional projects.
SENATOR GARY STEVENS expressed his overwhelming support of the
ARDOR program.
MS. SUE COGSWELL, representative of the Prince William Sound
Economic Development District, briefly outlined the projects
they are involved in and advised they leveraged $1.5 million in
state funds into over $6 million in Prince William Sound
projects. She urged passage of SB 62.
WANETTA AYERS, Executive Director of the Southwest Alaska
Municipal Conference (SWAMC), spoke in favor of SB 62 on behalf
of the 54 communities and 131 members of SWAMC. SWAMC received
ARDOR designation in 1989 and that funding has provided about 25
percent of their funding over the last few years. They are also
federally designated and save Southwestern Alaska communities
hundreds of thousands of dollars annually by reducing the local
match requirement for many federally funded projects.
Their mission is to increase economic opportunities and improved
quality of life by providing education, networking, and
communication. She noted SWAMC was selected to administer a $30
million Stellar Sea Lion Mitigation Fund. They not only operated
in a timely manner, they kept administrative cost to less than
one percent.
CHAIR WAGONER stated that was the second time he heard the
administrative costs were less than one percent and thought
others could learn from the example.
MR. JIM CARTER, Executive Director of the Kenai Peninsula
Economic Development District (KPEDD), testified in support of
SB 62 and explained the KPEDD ARDOR has been fostering economic
development since 1988. In the next several years they will be
doing everything possible to encourage oil and natural gas
exploration and development on Cook Inlet.
SENATOR TAYLOR complimented him on successful project
management.
MR. DAVID LEONE, Fairbanks North Star Borough Economic
Development Commission representative echoed support of SB 62.
He described ARDORs as an excellent method of fostering a
partnership between state and regional efforts to bring about
economic development. He encouraged expanded use of this
successful model.
There was no further testimony on SB 62.
CHAIR WAGONER asked for a motion to move the bill from
committee.
SENATOR TAYLOR made a motion to move SB 62 and accompanying
fiscal note from committee with individual recommendations.
There being no objection, it was so ordered.
SB 63-MUNICIPAL ANNEXATIONS AND DETACHMENTS
CHAIR WAGONER asked Ms. Jackson to introduce SB 63.
MS. MARY JACKSON explained the bill has to do with municipal
annexations and detachments and came before the Legislature last
year as a result of the Homer annexation. Pieces of property
were annexed and current statute does not define when those
newly annexed properties should be assessed for tax purposes.
The Local Boundary Commission (LBC) has reviewed the legislation
and approved it with suggested additions. However, there are new
LBC members and professional courtesy suggests that new body
should be given the opportunity to review and comment on the
bill. This could be done during the March 2003 meeting.
The former LBC recommended extending the time frame for property
assessment to include many incorporations, not just annexed
properties.
She noted Mr. Bockhorst and Mr. Van Sant were available to
answer questions and Ms. Griswold had testimony she wanted to
deliver.
MS. MARY GRISWOLD, Homer resident, spoke in support of SB 63 and
asked the committee to amend the bill as recommended by the LBC.
Current statutes are confusing and unclear regarding the ability
to levy property taxes during the initial period following
incorporation, annexation, or detachment. "The best way to
promote an orderly efficient economical transition plan is to
set simple straight forward ground rules. If everyone involved
in a proposed annexation understands that revenue streams will
shift on January 1 following an effective date, everyone can
plan accordingly."
SIDE B
2:20 pm
SENATOR TAYLOR asked if Homer tried to impose a tax out of
sequence.
MS. GRISWOLD replied they did, but that wasn't the issue here
and Homer wouldn't be affected.
CHAIR WAGONER said he would move the bill from committee and the
LBC could address comments during a State Affairs Committee
hearing.
SENATOR TAYLOR made a motion to move SB 63 and attached fiscal
note from committee with individual recommendations.
There being no objection, it was so ordered.
HCR 2-EXTEND ALASKA RAILROAD TO FT. GREELY
CHAIR WAGONER announced the Department of Military and Veterans
Affairs (DMVA) asked him to make changes to this resolution. He
hasn't had time to discuss those changes with the sponsor or to
draft an amendment so they would take no action that day.
SENATOR ELTON asked whether public testimony would be taken when
the committee substitute was heard. If so, he would hold his
questions until that time.
CHAIR WAGONER said public testimony would be taken later and
agreed holding questions until the CS was drafted was a good
idea.
REPRESENTATIVE BOB LYNN asked for favorable consideration of HCR
2 to extend the Alaska Railroad about 70 miles from Eielson AFB
near North Pole to the Fort Greely anti-ballistic missile launch
facility near Delta Junction. He noted letters of support in the
packets from General Pat Gamble, President of the Alaska
Railroad, Brigadier General Craig Campbell, Commissioner of the
Department of Military & Veterans Affairs and former
Representative Jeannette James.
Extending the railroad would help support and maintain the
missile site, mining and agricultural operations and increase
the economic development of the North Pole to Delta Junction
area. It would also take the railroad 70 miles closer for an
eventual connection to the Lower 48 through Canada and bring
great benefit to Alaska.
SENATOR TAYLOR asked why the language, "and continue from thence
to the Canadian border." was absent from the resolution.
REPRESENTATIVE LYNN replied it was to keep the resolution simple
and free of other issues.
SENATOR TAYLOR said, "In deference to your request, I'll do the
same."
SENATOR ELTON understood missiles and missile components would
necessarily travel by air and wondered what effect that would
have on the economic viability of the rail extension.
REPRESENTATIVE LYNN didn't know whether missiles and missile
components would or would not be carried by rail, but rail would
be used to build the infrastructure.
SENATOR ELTON asked whether there was an existing right of way
and if not, what needs to be done to create a right of way.
REPRESENTATIVE LYNN replied that question would be better
addressed when a bill is introduced.
CHAIR WAGONER called for teleconferenced testimony.
COMMISSIONER CRAIG CAMPBELL, Department of Military & Veterans
Affairs, advised the department supports the legislation, but
they are encouraging the Senate to amend the resolution. The
amendment would better define some of the issues raised during
the House debate. He said Senator Elton's question was good
because the long range plan envisioned by the DMVA is for a
larger use operation than to simply transport missiles to Fort
Greely. Missiles will be transported by air, but improving and
supporting the airfield would be done by rail. The Army is also
looking at developing the range near Fort Greely for the Striker
Brigade and the brigade vehicles would be transported by rail.
The Governor is looking at rail expansion for economic
development in the Delta area and the department would support
rail expansion for mining, agricultural, and industrial
development that may be available. The department supports
enlarging the resolution to include some of the specifics of
reasons why extension from the Eielson AFB to Fort Greely makes
economic sense for both Fort Greely and the region.
SENATOR STEVENS asked how far it was from Fort Greely to the
US/Canada border and the distance from the border to the
railhead in Canada.
COMMISSIONER CAMPBELL didn't know and suggested the question be
directed to the railroad.
SENATOR ELTON said since the mission is broader than service to
the new missile sites, it would be helpful if he had a better
understanding of the manpower and logistical needs from the
military standpoint.
COMMISSIONER CAMPBELL said he would address the request with the
Army and the DMVA. The development of Fort Greely is happening
rapidly with the increase of the missile defense program there
as well as the potential for the training operations of the
Striker Brigade. The military is very interested in the Fort
Greely area for what it can provide for national security as
well as for the state.
SENATOR TAYLOR commented there should still be a right of way
for the pipeline between Haines to Eielson AFB even though the
pipe is no longer useful.
COMMISSIONER CAMPBELL admitted he knew nothing about the current
status of that line.
MR. PETE HALLGREN, City Administrator for the City of Delta
Junction, agreed with the comments made by Commissioner
Campbell.
There was no further testimony.
CHAIR WAGONER announced HCR 2 would be held in committee.
HB 58-REINSTATEMENT OF NATIVE CORPS
LARRY LABOLLE, staff to Representative Foster, explained the
bill provides a window of opportunity for the reinstatement of
village corporations that have been involuntarily dissolved. In
many villages, when they are notified their incorporation is due
to expire, they don't know to make a renewal application and
once the grace period passes, the corporation is involuntarily
dissolved. Creating new corporations is problematic because the
new corporation wouldn't have the same assets or the same status
as before. The cleanest way to address the difficulty is to open
a one time opportunity for reinstatement. Creating a permanent
stipulation in statute isn't the answer because this would
tamper with the corporate laws of the State of Alaska.
Currently the Savoonga, the Paimiut and the Tununrimiut Rinit
Native Corporations, have been involuntarily dissolved.
SENATOR TAYLOR commented this was a continuing problem.
MR. LABOLLE said, "The good news is the list gets shorter each
time."
SENATOR GARY STEVENS asked if the three organizations were small
and probably without ready access to counsel.
MR. LABOLLE said that was true.
SENATOR TAYLOR made a motion to move HB 58 and attached fiscal
note from committee with individual recommendations.
There being no objection, it was so ordered.
HB 68-OFFICE OF VICTIMS' RIGHTS: INCLUDE MUNIS
REPRESENTATIVE RALPH SAMUELS, co-sponsor, explained the bill
clarifies language of the 22 Legislature. The Office of Victims'
Rights was created by the 22 Legislature in an effort to give
victims an independent voice in the criminal justice system. The
difficulty regarding HB 68 arose after the shooting of former
Commissioner Glen Godfrey and his wife Patty. The family
contacted the victims' rights office so they would have a voice
in the debacle over the 911 call in Anchorage. Conflict arose
because the city attorney adopted the view that municipalities
weren't specifically covered in the statute and therefore
wouldn't release information on other cases to the victims'
rights office. This legislation specifically includes
municipalities in the definition of a justice agency.
REPRESENTATIVE SAMUELS said he was available for questions and
Mr. Branchflower was on line to respond to questions as well.
CHAIR WAGONER asked Mr. Branchflower if he would like to
testify.
MR. STEVE BRANCHFLOWER from the Office of Victims' Rights
replied Representative Samuels' presentation adequately and
correctly justified the legislation.
Since and because of the 911 debacle in Anchorage, the municipal
assembly adopted a resolution wherein they acknowledge the
Office of Victims' Rights does have oversight over the
municipality. Subsequently they promulgated Ordinance 2003-2
where as a matter of law, they have accepted jurisdiction of the
office.
He urged passage of the legislation.
There was no further testimony.
CHAIR WAGONER called for a motion to move the legislation.
SENATOR TAYLOR made a motion to move CSHB 68 (JUD) \D version
and accompanying fiscal note from committee with individual
recommendations.
There being no objection, it was so ordered.
There being no further business to come before the committee,
Chair Wagoner adjourned the meeting at 3:00 pm.
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