Legislature(1999 - 2000)

04/28/1999 09:06 AM Senate FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
MINUTES                                                                                                                         
SENATE FINANCE COMMITTEE                                                                                                        
April 28, 1999                                                                                                                  
9:06 AM                                                                                                                         
                                                                                                                                
                                                                                                                                
TAPES                                                                                                                           
                                                                                                                                
SFC-99 #113, Sides A and B                                                                                                      
                                                                                                                                
                                                                                                                                
CALL TO ORDER                                                                                                                   
                                                                                                                                
Co-Chair John Torgerson convened the meeting at                                                                                 
approximately 9:06 A.M.                                                                                                         
                                                                                                                                
                                                                                                                                
PRESENT                                                                                                                         
                                                                                                                                
In addition to Co-chair Torgerson, Senators Sean Parnell,                                                                       
Randy Phillips, Dave Donley, Gary Wilken, Al Adams, Pete                                                                        
Kelly and Lyda Green were present when the meeting was                                                                          
convened.                                                                                                                       
                                                                                                                                
Also Attending:  EDDY JEANS, Manager, School Finance                                                                            
Section, Department of Education; MEL KROGSENG, staff to                                                                        
Senator Robin Taylor; JOHN KIMMEL, staff to Senator Robin                                                                       
Taylor; BRETT HUBER, staff to Senator Rick Halford;  CAROL                                                                      
CARROLL, Director, Division of Support Services, Department                                                                     
of Natural Resources; WALTER SAMSON, NANA Regional                                                                              
Corporation; PAUL ANDERSON, Mayor pro tem, City of                                                                              
Petersburg; aides to committee members and other members of                                                                     
the Legislature.                                                                                                                
                                                                                                                                
Attending via Teleconference:  NANCY WELCH, Regional                                                                            
Manager, Northern Region Office, Division of Land,                                                                              
Department of Natural Resources, Fairbanks; MAX LOWE,                                                                           
President, Alaska Snowmobile Alliance, Anchorage; LANCE                                                                         
STEVENS, Anchorage;  BRYAN MERRELL, Anchorage; TIM                                                                              
BORGSTROM, Alaska Economic Development, Anchorage;  HARVEY                                                                      
HARRIS, Glennallen;  MICHAEL EASTHAM, Homer; DALE                                                                               
BONDURANT, Kenai; HOWARD DAVIS, Kenai; TIM KRUG, Mat-Su;                                                                        
TOM STAR, Mat-Su; BOB ZORICH, Petersburg; MARY FRANCIS,                                                                         
Superintendent of Schools, Petersburg; SHARLA COON,                                                                             
Petersburg; KAREN SEVERSON, Petersburg; ELIZABETH BACOM,                                                                        
Petersburg; TRACEY REID, Petersburg; WOODY WILSON,                                                                              
Superintendent of Schools, Wrangell.                                                                                            
                                                                                                                                
SUMMARY INFORMATION                                                                                                             
                                                                                                                                
Co-chair Torgerson called the meeting to order at                                                                               
approximately 9:14 a.m.  He called SB 45.                                                                                       
                                                                                                                                
                                                                                                                                
 SENATE BILL NO. 45                                                                                                             
                                                                                                                                
"An Act relating to tort immunity for personal                                                                                  
injuries or death occurring on land; relating to the                                                                            
vacation by the state or a municipality of rights-of-                                                                           
way acquired by the state under former 43 U.S.C. 932;                                                                           
and providing for an effective date."                                                                                           
                                                                                                                                
 CS FOR SENATE BILL NO. 45(JUD)                                                                                                 
"An Act providing that a person who grants certain                                                                              
conservation easements to the state that provide                                                                                
public access for recreational purposes is immune from                                                                          
tort liability, other than gross negligence or                                                                                  
reckless or intentional misconduct, for damages to a                                                                            
person who uses the easement under certain conditions;                                                                          
relating to the vacation by the state or a                                                                                      
municipality of rights-of-way acquired by the state                                                                             
under former 43 U.S.C. 932; and providing for an                                                                                
effective date."                                                                                                                
                                                                                                                                
                                                                                                                                
BRETT HUBER, staff to Senator Rick Halford was invited to                                                                       
join the committee.  He briefly reviewed the sponsor                                                                            
statement for the committee.  In referring to the judiciary                                                                     
version of the bill he explained that it made a technical                                                                       
correction to the statutes governing vacation of RS 2477                                                                        
rights-of-way and section line easements granted under                                                                          
former 43 U.S.C.932.                                                                                                            
                                                                                                                                
Senator Adams asked if municipalities would be liable under                                                                     
this bill.  Mr. Huber responded that the judiciary version                                                                      
of the bill granted immunity to the landowners.  There was                                                                      
no immunity to the receiver.  Senator Adams asked if the                                                                        
50-foot width easement would hamper property owners?  He                                                                        
did not think this was enough easement.  Mr. Huber briefly                                                                      
responded.  Senator Adams asked if a municipality vacated                                                                       
an easement what would happen?  In response, Mr. Huber said                                                                     
he was familiar with the specific case that Senator Adams                                                                       
was referring to and noted that the easement was a State                                                                        
interest; and the Court found that this would take State                                                                        
intervention.                                                                                                                   
                                                                                                                                
Co-chair Torgerson asked Mr. Huber to explain the limited                                                                       
tort.  Mr. Huber said the conservation easement was a 50-                                                                       
foot width.  Anything else beyond the 50-foot easement                                                                          
would be considered an illegal use.  Some municipalities                                                                        
would choose to deal with the easement rights differently.                                                                      
Further, Mr. Huber explained that the easement could carry                                                                      
other stipulations.  Other groups, for instance, had also                                                                       
suggested "lease".                                                                                                              
                                                                                                                                
Co-chair Torgerson asked if the bill could be expanded to                                                                       
include University land?  Mr. Huber said if the committee                                                                       
so wished they most likely could expand the bill.                                                                               
                                                                                                                                
Senator Adams said he had an amendment to be presented,                                                                         
which was being copied and therefore, Co-chair Torgerson                                                                        
said he would hear public testimony at this time.                                                                               
                                                                                                                                
DICK BISHOP was invited to join the committee.  He felt                                                                         
landowners should have protection on their lands.  He urged                                                                     
passage of the bill.                                                                                                            
                                                                                                                                
NANCY WELCH, Regional Manager, Northern Region Office,                                                                          
Division of Land, Department of Natural Resources testified                                                                     
before the committee via teleconference from Fairbanks.                                                                         
She referred to Section 4 of the bill and suggested                                                                             
possible added tort immunity.                                                                                                   
                                                                                                                                
MAX LOWE, President of the Alaska Snowmobile Alliance                                                                           
testified before the committee via teleconference from                                                                          
Anchorage.  He concurred with the bill and asked the                                                                            
committee to consider its passage.                                                                                              
                                                                                                                                
LANCE STEVENS, member of the Alaska Snowmobile Alliance                                                                         
testified before the committee via teleconference from                                                                          
Anchorage.   He concurred with the bill.                                                                                        
                                                                                                                                
BRYAN MERRELL, testified before the committee via                                                                               
teleconference from Anchorage.  He voiced some concern with                                                                     
the bill and felt that private landowners would suffer                                                                          
hardships.  This bill and SB 180 should be reconsidered.                                                                        
                                                                                                                                
TIM BORGSTROM, Alaska Economic Development testified before                                                                     
the committee via teleconference from Anchorage.  He felt                                                                       
Alaska should be consistent with other states.  He stated                                                                       
his support of the bill.                                                                                                        
                                                                                                                                
HARVEY HARRIS, testified before the committee via                                                                               
teleconference from Glennallen.  (testimony unintelligible)                                                                     
                                                                                                                                
MICHAEL EASTHAM, member, SNOWMADS testified before the                                                                          
committee via teleconference from Homer.  He was concerned                                                                      
that trail users did not stay within the 50-foot easement.                                                                      
He said that immunity should be extended.  They supported                                                                       
the bill.                                                                                                                       
                                                                                                                                
DALE BONDURANT, testified before the committee via                                                                              
teleconference from Kenai.  He strongly supported the bill.                                                                     
                                                                                                                                
HOWARD DAVIS, Caribou Hills, testified before the committee                                                                     
via teleconference from Kenai.  He strongly supported the                                                                       
bill.                                                                                                                           
                                                                                                                                
TIM KRUG, City of Wasilla testified before the committee                                                                        
via teleconference from Mat-Su.  He said the City of                                                                            
Wasilla strongly supported the bill.                                                                                            
                                                                                                                                
TOM STAR, Mat-Su Motor Mushers testified before the                                                                             
committee via teleconference from Mat-Su.  He said he also                                                                      
strongly supported the bill.                                                                                                    
                                                                                                                                
Senator Phillips commented briefly.                                                                                             
                                                                                                                                
WALTER SAMSON, NANA Regional Corporation was invited to                                                                         
join the committee.  They supported the bill and would be                                                                       
happy to answer any questions.                                                                                                  
                                                                                                                                
Senator Adams MOVED amendment #1.  Co-chair Torgerson                                                                           
OBJECTED.  Senator Adams asked Carol Carroll, Department of                                                                     
Natural Resources to join the committee to explain the                                                                          
department's concerns regarding immunity.  There was a need                                                                     
for private owners to be protected.                                                                                             
                                                                                                                                
CAROL CARROLL, Director, Division of Support Services,                                                                          
Department of Natural Resources was invited to join the                                                                         
committee.  She noted that with the amendment #1 immunity                                                                       
would be broadened.  It would extend to the grantor and                                                                         
grantee both.  She said that the testimony this morning                                                                         
indicated there was a need to broaden the immunity.                                                                             
                                                                                                                                
Co-chair Torgerson referred to line 14 of the amendment #1.                                                                     
Ms. Carroll commented.                                                                                                          
                                                                                                                                
Senator Parnell asked if the particular language would                                                                          
narrow the definition?  Ms. Carroll said taken in whole was                                                                     
the broadening of the immunity.  She explained that this                                                                        
particular language in amendment #1 was taken on the advice                                                                     
of their attorney.  Ms. Carroll said she would rather defer                                                                     
to their attorney for any further explanation.                                                                                  
                                                                                                                                
DICK MYLIUS, Department of Natural Resources testified                                                                          
before the committee via teleconference from Anchorage.  He                                                                     
said he would try to answer any questions the members would                                                                     
have.  He explained the particular language in question,                                                                        
"arising out of the use of" line 14 of the amendment #1.                                                                        
He did not feel that a battery or assault charge would be                                                                       
the concern of the landowner.                                                                                                   
                                                                                                                                
BRETT HUBER, staff to Senator Rick Halford was invited back                                                                     
before the committee.  He commented briefly to amendment                                                                        
in this situation.  Mr. Huber said the amendment would                                                                          
expand the grantee to include other governmental bodies.                                                                        
Senator Parnell asked for a definition of "other                                                                                
governmental bodies"?  Senator Adams said for instance, it                                                                      
would include "municipalities and other state agencies".                                                                        
Mr. Huber said the limiting factor would be at line 24.                                                                         
                                                                                                                                
Senator Green OBJECTED to the amendment.  She said she                                                                          
would rather go back to version "G" of the bill, which was                                                                      
the original bill.  Senator Adams indicated his amendment                                                                       
would fit in either version of the bill.                                                                                        
                                                                                                                                
By a roll call vote of 5 yeas (Torgerson, Parnell, Donley,                                                                      
Wilken, Adams) and 3 nays (P. Kelly, Green, Phillips)                                                                           
(Leman absent) amendment #1 was ADOPTED.                                                                                        
                                                                                                                                
Senator Parnell MOVED CSSB 45 as amended and WITHOUT                                                                            
OBJECTION it was REPORTED OUT with individual                                                                                   
recommendations and accompanying fiscal notes.                                                                                  
                                                                                                                                
The committee took a brief at ease.                                                                                             
                                                                                                                                
Co-chair Torgerson reconvened the committee and called SB
105.                                                                                                                            
                                                                                                                                
                                                                                                                                
SENATE BILL NO. 105                                                                                                             
                                                                                                                                
"An Act determining the facilities constituting a                                                                               
school for purposes of public school funding; and                                                                               
providing for an effective date."                                                                                               
                                                                                                                                
 CS FOR SENATE BILL NO. 105(HES)                                                                                                
                                                                                                                                
"An Act determining the facilities constituting a                                                                               
school for purposes of public school funding; and                                                                               
providing for an effective date."                                                                                               
                                                                                                                                
                                                                                                                                
MEL KROGSENG, staff to Senator Robin Taylor was invited to                                                                      
join the committee.                                                                                                             
                                                                                                                                
JOHN KIMMELL, staff to Senator Robin Taylor was invited to                                                                      
join the committee and gave a brief commentary on the                                                                           
sponsor statement.  He apologized for the Senator not being                                                                     
present saying he was in Washington D.C.                                                                                        
                                                                                                                                
In response to a question by Senator Phillips, Ms. Krogseng                                                                     
said the bill would affect only Petersburg and Wrangell                                                                         
schools.                                                                                                                        
                                                                                                                                
Senator Parnell asked about fiscal notes but Co-chair                                                                           
Torgerson cautioned that perhaps the committee should hear                                                                      
from the department.  Ms. Krongseng responded regarding the                                                                     
fiscal note.  Petersburg will be in trouble if the bill                                                                         
does not pass and the Wrangell school was in trouble last                                                                       
year.  She noted that the fiscal note from Department of                                                                        
Education dated 4/22/99 was the correct one.                                                                                    
                                                                                                                                
Senator Wilken asked if the schools were single site                                                                            
schools.  Co-chair Torgerson advised that they were.                                                                            
                                                                                                                                
EDDY JEANS, School Finance Manager, Department of Education                                                                     
was invited to join the committee.  He explained the fiscal                                                                     
note attached to the HES version of the bill.  He advised                                                                       
the committee that the department opposed the bill.  There                                                                      
were problems as far as the department was concerned last                                                                       
year with SB 36.  There are districts affected by this                                                                          
situation.  Another school would be Dillingham.                                                                                 
                                                                                                                                
Co-chair Torgerson query.  Mr. Jeans reiterated that the                                                                        
department was opposed to the bill and anything to do with                                                                      
the foundation formula.  He explained the adjustment per                                                                        
school size depending on student enrollment.  Mr. Jeans                                                                         
said he would get actual dollar amount back to the                                                                              
committee, in response to a request from Co-chair                                                                               
Torgerson.                                                                                                                      
                                                                                                                                
Senator Adams said he did not bring his amendments to this                                                                      
bill.  He noted problems with SB 36.  Co-chair Torgerson                                                                        
said he would always have time for any amendments from                                                                          
Senator Adams.                                                                                                                  
                                                                                                                                
Senator Kelly asked if there was any specific statistics                                                                        
regarding Dillingham school and Wrangell school.  Mr. Jeans                                                                     
explained as best he could but indicated he would provide                                                                       
further information to the committee.                                                                                           
                                                                                                                                
Senator Phillips asked about the three-school situation in                                                                      
Wrangell.  Mr. Jeans responded that it would have depended                                                                      
on the population at the time the schools were built.                                                                           
                                                                                                                                
BOB ZORICH, testified via teleconference from Petersburg.                                                                       
                                                                                                                                
MARY FRANCIS, Superintendent of Schools, testified via                                                                          
teleconference from Petersburg.  She explained the                                                                              
projected enrollment for next year was about $350,000                                                                           
difference between SB 36 and SB 105.                                                                                            
                                                                                                                                
SHARLA COON, testified via teleconference from Petersburg                                                                       
and said she supported the bill.                                                                                                
                                                                                                                                
KAREN SEVERSON, testified via teleconference from                                                                               
Petersburg and said she supported the bill.                                                                                     
                                                                                                                                
ELIZABETH BACOM, testified via teleconference from                                                                              
Petersburg and said she was concerned with cuts in                                                                              
educational funds.  The cost of education is not                                                                                
appreciated until the student leaves the system.  Education                                                                     
should remain a priority for Alaskans.  She supported the                                                                       
bill.                                                                                                                           
                                                                                                                                
TRACEY REID, testified via teleconference from Petersburg                                                                       
and asked the committee to support and pass SB 105.                                                                             
                                                                                                                                
WOODY WILSON, Superintendent of Schools, testified via                                                                          
teleconference from Wrangell.  He explained the tragic                                                                          
situation in their community and urged the committee to                                                                         
pass the bill.                                                                                                                  
                                                                                                                                
PAUL ANDERSON, Mayor pro tem, City of Petersburg, was                                                                           
invited to join the committee.  He said a commitment was                                                                        
made last year to consider SB 105 upon the passage of SB
36.  He said the situation was the same in Wrangell.  He                                                                        
explained cuts in the community due to deficit budget.                                                                          
Everything has been closed down in their community.  "Let's                                                                     
get real and get our kids to the university."                                                                                   
                                                                                                                                
Co-chair Torgerson said he would set the bill aside pending                                                                     
receipt of information from the Department of Education.                                                                        
SB 29, SB 133 and possibly SB 128 would be taken up                                                                             
tomorrow morning.                                                                                                               
                                                                                                                                
                                                                                                                                
ADJOURNMENT                                                                                                                     
                                                                                                                                
Co-chair Torgerson adjourned the meeting at approximately                                                                       
10:30 a.m.  (Tape number 113, side B, log 255.)                                                                                 
                                                                                                                                
                                                                                                                                
SFC-99 (1) 04/28/99                                                                                                             

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