Legislature(1993 - 1994)

04/26/1993 09:17 AM Senate FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
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                             MINUTES                                           
                    SENATE FINANCE COMMITTEE                                   
                         April 26, 1993                                        
                            9:17 a.m.                                          
                                                                               
  TAPES                                                                        
                                                                               
  SFC-93, #70, Side 1 (150-end)                                                
  SFC-93, #70, Side 2 (end-050)                                                
                                                                               
  CALL TO ORDER                                                                
                                                                               
  Senator Drue  Pearce,  Co-chair,  convened  the  meeting  at                 
  approximately 9:17 a.m.                                                      
                                                                               
  PRESENT                                                                      
                                                                               
  In  addition  to  Co-chair  Pearce,  Senators  Jacko, Kelly,                 
  Rieger, and Sharp were present.  Senators Kerttula and Frank                 
  arrived while the meeting was in progress.                                   
                                                                               
  ALSO  ATTENDING:     Representative  Gail  Phillips;   Chris                 
  Christensen,  Staff  Counsel, Court  System, Administration,                 
  Judicial  Branch; Juanita  Hensley, Chief,  Driver Services,                 
  Division  of Motor  Vehicles,  Department of  Public Safety;                 
  John Abshire, Deputy Commissioner, Department of Labor; Mike                 
  Greany,  Director,   and  Nancy  Slagle,   Fiscal  Analysts,                 
  Legislative  Finance  Division;   and  aides  to   committee                 
  members.                                                                     
                                                                               
  SUMMARY INFORMATION                                                          
                                                                               
  CSHB 67(FIN) - An  Act  relating   to  eligibility  for  and                 
                 payments of                                                   
  (efd fld)      public assistance.                                            
                                                                               
                 Scheduled but not heard.                                      
                                                                               
  SCSHB 178 -    An Act adding  children under  the age of  21                 
                 who are                                                       
  (HES)          eligible for adoption  assistance because  of                 
                 special  needs  to   the  optional   Medicaid                 
                 coverage  list  and  revising  the  order  of                 
                 priority   in   which  groups   eligible  for                 
                 optional  Medicaid  coverage  are eliminated;                 
                 and providing for an effective date.                          
                                                                               
                 Senator Rieger MOVED to ADOPT SCSHB 178(HES).                 
                 No objections  being raised,  it was  ADOPTED                 
                 and REPORTED OUT of committee with six fiscal                 
                 note   for  DH&SS:  #270   -  $55.8;  #229  -                 
                 $1,165.7; #229 - $35.4;  #230 -$499.6; #243 -                 
                 $25.1; #252  - +$35.4.   Co-chairs Frank  and                 
                 Pearce,  Senators  Kelly,  Jacko, Rieger  and                 
                                                                               
                                                                               
                 Sharp signed "do pass."  Senator Kerttula was                 
                 temporarily absent  from the meeting  and did                 
                 not sign.                                                     
                                                                               
  CSHB 151 -     An  Act  relating  to  payment  by   indigent                 
                 persons for                                                   
  (FIN)          services of representation  and court  costs;                 
                 providing  for  stays  of  enforcement  of  a                 
                 judgment during the pendency of an  appeal of                 
                 a   conviction;   allowing    petitions   for                 
                 remission,   reduction,   or    deferral   of                 
                 judgment;  permitting  a  court to  remit  or                 
                 reduce a judgment or to  change the method of                 
                 payment; and providing for an effective date.                 
                                                                               
                 SCSCSHB 151(FIN) work draft  "O" was ADOPTED.                 
                 Testimony  was  heard  by Chris  Christensen,                 
                 Staff Counsel, Court  System, Administration,                 
                 Judicial Branch.  SCSCSHB 151(FIN) work draft                 
                 "O" was REPORTED OUT of  committee.  Later in                 
                 the  meeting  the  committee   RESCINDED  its                 
                 action.    Discussion  was  had  by  Senators                 
                 Rieger, Frank and Mr. Christensen.   Co-chair                 
                 Frank  MOVED  to  ADOPT CSHB  151(FIN).    No                 
                 objections  being  raised, CSHB  151(FIN) was                 
                 ADOPTED and  REPORTED OUT  of committee  with                 
                 two  zero  fiscal  notes  for  the  Dept.  of                 
                 Administration,  #1631  and #43,  and  a zero                 
                 fiscal note  for the Alaska Court System, and                 
                 a  fiscal note for  the Dept.  of Law  with a                 
                 revenue  of  +$500.0.    Co-chairs Frank  and                 
                 Pearce,  Senators  Kelly,  Jacko   and  Sharp                 
                 signed  "do  pass."     Senators  Rieger  and                 
                 Kerttula signed a "no recommendation."                        
                                                                               
  SCSCSHB 102 -  An Act relating to the Alaska Labor Relations                 
  (L&C)          Agency; and providing for an effective date.                  
                                                                               
                 Testimony was heard from John Abshire, Deputy                 
                 Commissioner, Department of  Labor.   SCSCSHB
                 102(L&C) was REPORTED OUT of committee with a                 
                 "do pass,"  and a  zero fiscal  note for  the                 
                 Dept. of  Labor.  Co-chairs Frank and Pearce,                 
                 Senators  Rieger,  Jacko,  Kelly,  and  Sharp                 
                 signed  "do pass."   Senator  Kerttula signed                 
                 "no recommendation."                                          
                                                                               
  HJR 11 -       Proposing an amendment to the Constitution of                 
                 the  State  of Alaska  relating to  repeal of                 
                 regulations by the legislature.                               
                                                                               
                 Testimony was heard in support of HJR 11 from                 
                 Representative Gail Phillips,  prime sponsor.                 
                 Senators  Kerttula,  Frank, Rieger  and Kelly                 
                                                                               
                                                                               
                 also spoke in  support.  HJR 11  was REPORTED                 
                 OUT  of  committee  with a  "do  pass."   All                 
                 members present  signed "do pass."   (Senator                 
                 Frank was temporarily absent from the meeting                 
                 and did not sign.)                                            
                                                                               
  CSSB 99(JUD) - An  Act  relating  to   the  powers,  duties,                 
                 financial administration,  and operations  of                 
                 certain   state   agencies,   including   the                 
                 duration and  renewal of  licenses issued  by                 
                 the Alcoholic Beverage Control  Board, duties                 
                 of and fees  charged by the office  of public                 
                 advocacy, student loan fees,  compensation of                 
                 hunting   and   fishing    license   vendors,                 
                 Department  of  Labor   fees  and   licensing                 
                 periods, police standards fees, motor vehicle                 
                 registration and insurance and the definition                 
                 of  `vehicle',  program  receipts accounting,                 
                 risk  management  administration,  receipt of                 
                 donations  and   charging  of  fees   by  the                 
                 Department of Natural Resources,  coverage of                 
                 persons  under  Medicaid,  and  revising  the                 
                 order of  priority for  coverage of  optional                 
                 medical  services  under  Medicaid;  amending                 
                 Alaska Rule of  Probate Procedure 16(d);  and                 
                 providing for an effective date.                              
                                                                               
                 CSSB 99(FIN) work  draft "O" dated April  26,                 
                 1993 was ADOPTED.   Amendments 11 through  14                 
                 and a  letter of  intent was  ADOPTED.   CSSB
                 99(FIN)  work  draft  "O"   as  amended  with                 
                 seventeen fiscal  notes was  REPORTED OUT  of                 
                 committee with a "do  pass."  Co-chairs Frank                 
                 and Pearce, Senators Rieger,  Jacko and Sharp                 
                 signed  "do   pass."    Senators   Kelly  and                 
                 Kerttula signed "no recommendation."                          
                                                                               
                                                                               
  SENATE CS FOR HOUSE BILL NO. 178(HES):                                       
                                                                               
       An Act  adding children  under the  age of  21 who  are                 
       eligible  for  adoption assistance  because  of special                 
       needs  to  the  optional  Medicaid  coverage  list  and                 
       revising the order of priority in which groups eligible                 
       for  optional  Medicaid  coverage  are eliminated;  and                 
       providing for an effective date.                                        
                                                                               
  CO-CHAIR  DRUE  PEARCE  announced  that SCSHB  178(HES)  was                 
  before the  committee and asked  Senator Rieger to  speak to                 
  the bill.                                                                    
                                                                               
  SENATOR STEVE RIEGER spoke in support  of the bill and MOVED                 
  for passage of SCSHB 178(HES) from committee with individual                 
                                                                               
                                                                               
  recommendations  with   accompanying  fiscal   notes.     No                 
  objections being  heard, it  was REPORTED  OUT of  committee                 
  with  a  "do  pass,"  and  with  six  fiscal  note  for  the                 
  Department of Health & Social Services: #270 - $55.8; #229 -                 
   $1,165.7; #229 - $35.4; #230 -$499.6;  #243 - $25.1; #252 -                 
  +$35.4.  Co-chairs Frank and  Pearce, Senators Kelly, Jacko,                 
  Rieger and Sharp  signed "do  pass."   Senator Kerttula  was                 
  temporarily absent from the meeting and did not sign.                        
                                                                               
                                                                               
  CS FOR HOUSE BILL NO. 151(FIN):                                              
                                                                               
       An  Act  relating to  payment  by indigent  persons for                 
       services of  representation and court  costs; providing                 
       for  stays  of  enforcement of  a  judgment  during the                 
       pendency  of  an  appeal   of  a  conviction;  allowing                 
       petitions  for  remission,  reduction, or  deferral  of                 
       judgment;  permitting  a  court to  remit  or  reduce a                 
       judgment  or  to  change  the  method of  payment;  and                 
       providing for an effective date.                                        
                                                                               
  CO-CHAIR STEVE FRANK MOVED for  adoption of SCSCSHB 151(FIN)                 
  work draft "O".  No objections  being heard, it was ADOPTED.                 
  Co-chair Frank said the Supreme Court was in support of this                 
  version of the bill.   It provided for reimbursement  to the                 
  state  for the  cost of  public  defenders by  those persons                 
  receiving the service.                                                       
                                                                               
  CHRIS    CHRISTENSEN,    Staff   Counsel,    Court   System,                 
  Administration, Judicial  Branch, confirmed that HB  151 was                 
  introduced  at  the  request  of  the  Supreme  Court.    He                 
  explained that when a  person is charged with a  crime, they                 
  are entitled  to an  attorney.   Up until  1990, a  person's                 
  indigencey  was  determined  at  the  time  the  lawyer  was                 
  appointed.  The  fact that  the person might  have a  future                 
  income  was  not taken  into  consideration.   In  1990, the                 
  Alaska Supreme  Court found that  other states which  give a                 
  person a free public defender, may  charge the person out of                 
  future  earnings.   This  process  was  upheld in  the  U.S.                 
  Supreme Court in 1974.  He went on to explain that this bill                 
  did away with  a three year  moratorium.  The original  bill                 
  said that any person, convicted or  not, would be ordered to                 
  repay the cost  of their public defender  representation but                 
  in the House version a person would only have to pay if they                 
  were convicted.   In this  Senate version, SCSCSHB  151(FIN)                 
  any  person, convicted  or not,  would be  ordered to  repay                 
  costs.                                                                       
                                                                               
  Senator Frank  MOVED for  passage of  SCSCSHB 151(FIN)  work                 
  draft "O" from committee with individual recommendations and                 
  accompanying fiscal notes.   No  objections being heard,  it                 
  was REPORTED OUT of committee with a "do pass."                              
                                                                               
                                                                               
  Later in the  meeting, Co-chair Frank MOVED to RESCIND prior                 
  committee  action   reporting  out   of  committee   SCSCSHB
  151(FIN).    No  objections being  heard,  prior  action was                 
  RESCINDED.  Co-chair Pearce announced that CSHB 151(FIN) was                 
  before   the  committee.     Co-chair   Frank  invited   Mr.                 
  Christensen to rejoin the members at the table.                              
                                                                               
  In answer to Co-chair Frank, Mr. Christensen said  that CSHB
  151(FIN) would  only apply  to persons  convicted but  would                 
  still  do away  with the  three year  moratorium.   Co-chair                 
  Frank MOVED for  adoption of CSHB 151(FIN).   Senator Rieger                 
  OBJECTED for discussion  purposes.  Senator Rieger  asked if                 
  the  bill   would  only  apply  to  criminal   cases.    Mr.                 
  Christensen  said  that  the  bill  only  applied  to  court                 
  appointed  public  defenders  for criminal  cases.   Senator                 
  Rieger REMOVED his  objection.  No further  objections being                 
  heard, it was ADOPTED.                                                       
                                                                               
  Co-chair  Frank  MOVED  for passage  of  CSHB  151(FIN) from                 
  committee with individual  recommendations and  accompanying                 
  fiscal  notes.  No  objections being heard,  it was REPORTED                 
  OUT with a "do pass" and with  two zero fiscal notes for the                 
  Department of Administration,  #1631 and #43, a  zero fiscal                 
  note for the Alaska Court System, and a fiscal  note for the                 
  Department  of  Law with  a revenue  of +$500.0.   Co-chairs                 
  Frank and Pearce, Senators Kelly, Jacko and Sharp signed "do                 
  pass."   Senators    Rieger   and   Kerttula    signed   "no                 
  recommendation."                                                             
                                                                               
                                                                               
  SENATE CS FOR CS FOR HOUSE BILL NO. 102(L&C):                                
                                                                               
       An Act relating  to the Alaska Labor  Relations Agency;                 
       and providing for an effective date.                                    
                                                                               
  JOHN ABSHIRE, Deputy Commissioner, Department of Labor, said                 
  that SCSCSHB 102(L&C)  would add another three  member panel                 
  to the  existing  three member  panel  of the  Alaska  Labor                 
  Relations Agency.  This  would enable the board to  hear the                 
  cases in a  more timely manner.   The Governor will  appoint                 
  the chair  of the board from one of  the public members.  He                 
  noted that a  zero fiscal note  for the Department of  Labor                 
  accompanied  the  bill.    In  answer to  Co-chair  Pearce's                 
  question regarding the  zero fiscal  note, Mr. Abshire  said                 
  that the case load for the board would remain the same.                      
                                                                               
  Senator Rieger MOVED  for passage  of SCSCSHB 102(L&C)  with                 
  individual recommendations and the accompanying fiscal note.                 
  No objections being  heard, it was  REPORTED OUT with a  "do                 
  pass" and a  zero fiscal note  for the Department of  Labor.                 
  Co-chairs Frank  and Pearce, Senators Rieger,  Jacko, Kelly,                 
  and Sharp  signed "do pass."   Senator  Kerttula signed  "no                 
  recommendation."                                                             
                                                                               
                                                                               
  HOUSE JOINT RESOLUTION NO. 11:                                               
                                                                               
       Proposing an amendment to the Constitution of the State                 
       of  Alaska  relating to  repeal  of regulations  by the                 
       legislature.                                                            
                                                                               
  REPRESENTATIVE GAIL PHILLIPS, prime sponsor  of HJR 11, said                 
  that the resolution  would allow  the legislature to  repeal                 
  regulations.   She  said that  there  was support  for  this                 
  resolution around the state.  Senators Kerttula, Rieger, and                 
  Kelly spoke in support  of HJR 11.  Representative  Phillips                 
  said  there was  a need  to educate  the  public and  that a                 
  commitment had been received from the  Lt. Governor that the                 
  question placed on the ballot would be worded so it could be                 
  more easily understood by the general public.                                
                                                                               
  Senator Kerttula MOVED for passage  of HJR 11 from committee                 
  with  its  accompanying fiscal  note.   No  objections being                 
  heard, it  was REPORTED OUT  with a  "do pass" and  a fiscal                 
  note for the Department of Elections  in the amount of $2.2.                 
  All members  present signed "do  pass."  (Senator  Frank was                 
  temporarily absent from the meeting and did not sign.)                       
                                                                               
                                                                               
  CS FOR SENATE BILL NO. 99(JUD):                                              
                                                                               
       An  Act  relating  to  the  powers,  duties,  financial                 
       administration,   and   operations  of   certain  state                 
       agencies,  including   the  duration  and   renewal  of                 
       licenses  issued  by  the  Alcoholic  Beverage  Control                 
       Board,  duties of  and  fees charged  by the  office of                 
       public  advocacy, student  loan  fees, compensation  of                 
       hunting  and  fishing  license  vendors, Department  of                 
       Labor fees  and  licensing  periods,  police  standards                 
       fees, motor vehicle registration and insurance and  the                 
       definition of `vehicle',  program receipts  accounting,                 
       risk  management  administration, receipt  of donations                 
       and  charging  of  fees by  the  Department  of Natural                 
       Resources,  coverage  of  persons  under Medicaid,  and                 
       revising the order of priority for coverage of optional                 
       medical services  under Medicaid; amending  Alaska Rule                 
       of  Probate  Procedure  16(d);  and  providing  for  an                 
       effective date.                                                         
                                                                               
  Co-chair Pearce announced  that CSSB 99(FIN) work  draft "O"                 
  was before the committee.  She  said that section 74 on page                 
  23  had been  added providing  for temporary  fees in  state                 
  parks.    It  would  temporarily  raise admission  fees  for                 
  visitor centers or historic sites to  $5 for anyone over ten                 
  years  of age.   After regulations are  written the division                 
                                                                               
                                                                               
  would bring the  fees to the  national average.   Discussion                 
  was  held  by  Co-chairs  Frank,  Pearce and  Senator  Kelly                 
  regarding admission  fees.   Co-chair Pearce  outlined other                 
  changes to CSSB 99(FIN).                                                     
                                                                               
  Senator Kelly  MOVED an  amendment to  section 74,  page 23,                 
  adding  the  words "up  to" before  the  words "$5  for each                 
  person..."  No objections being heard, it was ADOPTED.                       
                                                                               
  Senator Sharp MOVED  for adoption of amendment 11 as amended                 
  (copy on file).  Co-chair Frank questioned the Department of                 
  Public  Safety regarding the  impact of amendment  11 on law                 
  enforcement.                                                                 
                                                                               
  JUANITA HENSLEY, Chief, Driver  Services, Division of  Motor                 
  Vehicles, Department of Public Safety, said she had not been                 
  able to  speak to the  Commissioner regarding the  impact of                 
  amendment 11 on law enforcement.  She said that if the plate                 
  requirement  was  reduced to  one  plate it  would  save the                 
  department  approximately  $60.0  a  year.    Senator  Kelly                 
  questioned this amendment as a policy change.  Senator Sharp                 
  agreed to  rescind this  amendment on  the floor  if it  was                 
  found to  impact law  enforcement.   Discussion  was had  by                 
  Senators Frank, Rieger and Kelly regarding amendment 11.                     
                                                                               
                          Recess 9:50am                                        
                        Reconvene 11:00am                                      
                                                                               
  Co-chair Pearce announced  that amendment 11 was  before the                 
  committee.    Senator  Sharp  said that  an  answer  had not                 
  arrived from the Department of Public Safety regarding their                 
  support  of  the amendment.    Senator Kelly  maintained his                 
  OBJECTION to amendment 11.   Co-chair Pearce called for show                 
  of hands and the amendment was ADOPTED on a vote of  5 to 1.                 
  (Senators Frank, Pearce,  Jacko, Sharp  and Rieger voted  in                 
  support.  Senator  Kelly was opposed.  Senator  Kerttula was                 
  temporarily absent from the meeting and did not vote.)                       
                                                                               
  Co-chair Frank MOVED for adoption  of amendment 12 (copy  on                 
  file).  No objections being heard, it was ADOPTED.                           
                                                                               
  Senator Jacko  MOVED for adoption  of amendment 13  (copy on                 
  file).  No objections being heard, it was ADOPTED.                           
                                                                               
  Senator Kelly MOVED for adoption  of conceptual amendment 14                 
  (copy on file).  No objections being heard, it was ADOPTED.                  
                                                                               
  End SFC-93 #70, Side 1                                                       
  Begin SFC-93 #70, Side 2                                                     
                                                                               
  Senator Rieger MOVED for  adoption of a letter of  intent as                 
  amended.  No objections being heard, it was ADOPTED.                         
                                                                               
  Co-chair Pearce noted  that section 33 would change  a court                 
                                                                               
                                                                               
  rule and would require  a two-thirds vote on the floor.   If                 
  the bill does not pass the floor, section 33  could be voted                 
  on separately.                                                               
                                                                               
  Senator Rieger  MOVED for passage of CSSB 99(FIN) as amended                 
  from   committee   with   individual   recommendations   and                 
  accompanying fiscal  notes.   CSSB 99(FIN)  as amended  with                 
  seventeen fiscal notes (copies on file) was REPORTED  OUT of                 
  committee with  a "do  pass."  Co-chairs  Frank and  Pearce,                 
  Senators Rieger, Jacko and Sharp signed "do pass."  Senators                 
  Kelly and Kerttula signed "no recommendation."                               
                                                                               
  ADJOURNMENT                                                                  
                                                                               
  The meeting was adjourned at approximately 11:15 a.m.                        
                                                                               

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