Legislature(2007 - 2008)

04/10/2008 05:51 PM Senate FIN


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* first hearing in first committee of referral
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                  SENATE FINANCE COMMITTEE                                                                                      
                       April 10, 2008                                                                                           
                         5:51 p.m.                                                                                              
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair Stedman called the Senate  Finance Committee meeting                                                                   
to order at 5:51:34 PM.                                                                                                       
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Lyman Hoffman, Co-Chair                                                                                                 
Senator Bert Stedman, Co-Chair                                                                                                  
Senator Charlie Huggins, Vice-Chair                                                                                             
Senator Kim Elton                                                                                                               
Senator Donny Olson                                                                                                             
Senator Joe Thomas                                                                                                              
Senator Fred Dyson                                                                                                              
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
None                                                                                                                            
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Mike  Pawlowski,  Staff,  Representative  Kevin  Meyer;  Eddy                                                                   
Jeans, Director,  Education Support  Services, Department  of                                                                   
Education and  Early Development; Jesse Keal,  Staff, Senator                                                                   
Elton;  Brian   Butcher,  Public  Affairs   Director,  Alaska                                                                   
Housing  Finance Corporation Representative Peggy Wilson                                                                        
                                                                                                                                
PRESENT VIA TELECONFERENCE                                                                                                    
                                                                                                                                
Rodney Dial,  Lieutenant, Alaska  State Troopers,  Department                                                                   
of Public  Safety; Corey Aist,  President, Alaska  Search and                                                                   
Rescue Association; Chuck Springer,  Former President, Alaska                                                                   
Search and Rescue Association                                                                                                   
                                                                                                                                
SUMMARY                                                                                                                       
                                                                                                                                
CS HB 226(FIN)                                                                                                                  
                                                                                                                                
          "An  Act extending  the  termination  of the  state                                                                   
          training   and  employment  program;   requiring  a                                                                   
          review  of  the  program;   and  providing  for  an                                                                   
          effective date."                                                                                                      
                                                                                                                                
          CSHB 226 (FIN) was SCHEDULED but not HEARD.                                                                         
                                                                                                                                
CSHB 152(FIN)                                                                                                                   
                                                                                                                                
          "An Act establishing  a renewable energy grant fund                                                                   
          and describing its uses  and purposes; establishing                                                                   
          a  renewable energy  grant recommendation  program;                                                                   
          for   the  fiscal  year   ending  June   30,  2009,                                                                   
          authorizing   the   Alaska  Energy   Authority   to                                                                   
          distribute renewable  energy grants and setting out                                                                   
          the  procedures  to  be  followed  to  award  those                                                                   
          grants;  establishing  a state  heating  assistance                                                                   
          program   in  addition   to  the  federal   heating                                                                   
          assistance   program;    establishing   an   Alaska                                                                   
          Renewable Energy  Task Force; and providing  for an                                                                   
          effective date."                                                                                                      
                                                                                                                                
          SCS CSHB  152 (FIN)  was REPORTED out  of Committee                                                                   
          with  a "do pass"  recommendation and  accompanying                                                                   
          new fiscal  notes from the Department  of Commerce,                                                                   
          Community  and Economic Development,  Department of                                                                   
          Health and Social Services,  and the Senate Finance                                                                   
          Committee.                                                                                                            
                                                                                                                                
HB 373    "An Act extending specified public school bond                                                                        
          debt reimbursement;  and providing for an effective                                                                   
          date."                                                                                                                
                                                                                                                                
          SCS CSHB 373 (FIN) was REPORTED out of Committee                                                                      
          with  a "do pass"  recommendation and  accompanying                                                                   
          previously   published   fiscal   note   from   the                                                                   
          Department of Education and Early Development.                                                                        
                                                                                                                                
CSHB 320(FIN)                                                                                                                   
                                                                                                                                
          "An Act relating to  search and rescue training and                                                                   
          search   and  rescue  parties;  requiring   certain                                                                   
          search  and  rescue  volunteers  to  be  considered                                                                   
          state   employees    for   purposes   of   workers'                                                                   
          compensation   coverage;  and  allowing   political                                                                   
          subdivisions   to   elect   to   provide   workers'                                                                   
          compensation  insurance  coverage  for  search  and                                                                   
          rescue personnel."                                                                                                    
                                                                                                                                
          CSHB 320  (FIN) was REPORTED out of  Committee with                                                                   
          no  recommendations  and  accompanying  new  fiscal                                                                   
          noted  from the  Department  of Administration  and                                                                   
          previously   published   fiscal   notes  from   the                                                                   
          Department of Administration,  Department of Public                                                                   
          Safety, and  the Department of Labor  and Workforce                                                                   
          Development.                                                                                                          
                                                                                                                                
CSSS HB 294 (TRA)                                                                                                               
                                                                                                                                
          "An    Act   establishing    the   Alaska    Marine                                                                   
          Transportation  Advisory Board and setting  out its                                                                   
          powers  and duties;  making conforming  amendments;                                                                   
          and providing for an effective date."                                                                                 
                                                                                                                                
          SCS  CSSS   HB  152  (FIN)  was  REPORTED   out  of                                                                   
          Committee   with   no    recommendations   and   an                                                                   
          accompanying previously  published zero fiscal note                                                                   
          from the Department of Transportation.                                                                                
                                                                                                                                
CSHB 325(FIN)                                                                                                                   
                                                                                                                                
          "An Act  relating to the teachers'  and health care                                                                   
          professionals'  housing loan program in  the Alaska                                                                   
          Housing Finance  Corporation; and providing  for an                                                                   
          effective date."                                                                                                      
                                                                                                                                
          CSHB 325  (FIN) was REPORTED out of  Committee with                                                                   
          a  "do   pass"  recommendation  and   a  previously                                                                   
          published zero  fiscal note from the  Department of                                                                   
          Revenue.                                                                                                              
                                                                                                                                
CSHB 50(JUD)                                                                                                                    
                                                                                                                                
          "An Act relating to  the Interstate Compact for the                                                                   
          Placement  of Children; establishing  an interstate                                                                   
          commission for the placement  of children; amending                                                                   
          Rules   4  and   24(b),  Alaska   Rules  of   Civil                                                                   
          Procedure; and providing for an effective date."                                                                      
                                                                                                                                
          CSHB 50 (JUD) was SCHEDULED but not HEARD.                                                                            
                                                                                                                                
CSHB 332(FIN) (title am)                                                                                                        
                                                                                                                                
          "An  Act defining an  elementary school  to include                                                                   
          certain  pre-elementary  programs  and relating  to                                                                   
          counting  pre-elementary  students  in  a  school's                                                                   
          average daily membership."                                                                                            
                                                                                                                                
          CSHB  332 (FIN)  (title am)  was SCHEDULED  but not                                                                   
          HEARD.                                                                                                                
                                                                                                                                
CSHB 417(FIN) am                                                                                                                
                                                                                                                                
          "An  Act relating to  the compensation  for certain                                                                   
          public  officials,   officers,  and  employees  not                                                                   
          covered   by  collective   bargaining   agreements;                                                                   
          relating to  pay increments for longevity  in state                                                                   
          service; and providing for an effective date."                                                                        
                                                                                                                                
          SCS  HB 417  (FIN) was  REPORTED  out of  Committee                                                                   
          with    no   recommendations    and    accompanying                                                                   
          previously  published fiscal notes from  the Alaska                                                                   
          Court System, Office  of Management and Budget, and                                                                   
          the Legislative Affairs Agency.                                                                                       
                                                                                                                                
5:51:48 PM                                                                                                                    
                                                                                                                                
SENATE CS FOR CS FOR HOUSE BILL NO. 152(FIN)                                                                                  
                                                                                                                                
     "An Act establishing  a renewable energy  grant fund and                                                                   
     describing  its   uses  and  purposes;   establishing  a                                                                   
     renewable energy  grant recommendation program;  for the                                                                   
     fiscal  year  ending  June  30,  2009,  authorizing  the                                                                   
     Alaska Energy  Authority to distribute  renewable energy                                                                   
     grants and setting out the  procedures to be followed to                                                                   
     award  those   grants;  establishing  a   state  heating                                                                   
     assistance  program in addition  to the federal  heating                                                                   
     assistance  program;  establishing an  Alaska  Renewable                                                                   
     Energy  Task  Force;  and  providing  for  an  effective                                                                   
     date."                                                                                                                     
                                                                                                                                
Co-Chair Stedman MOVED to ADOPT Amendment #8:                                                                                   
                                                                                                                                
 Page 2, line 31:                                                                                                               
          Delete "and will achieve a statewide balance of                                                                       
     grant funds"                                                                                                               
                                                                                                                                
 Page 3, line 3:                                                                                                                
          Delete "significant weight being given"                                                                               
          Insert "the most weight being given to projects                                                                       
     that service  areas in which energy costs  exceed energy                                                                   
     costs  in  other areas  of  the state,  and  significant                                                                   
     weight  being  given to  a  statewide balance  of  grant                                                                   
     funds and"                                                                                                                 
                                                                                                                                
Co-Chair Stedman OBJECTED for discussion.                                                                                       
                                                                                                                                
5:52:40 PM                                                                                                                    
                                                                                                                                
Co-Chair Stedman remarked that in rating and ranking                                                                            
different applicants attention is paid to the higher cost                                                                       
areas.                                                                                                                          
                                                                                                                                
Co-Chair Stedman WITHDREW his OBJECTION. There being NO                                                                         
further OBJECTION, Amendment # 8 was adopted.                                                                                   
                                                                                                                                
5:53:58 PM                                                                                                                    
                                                                                                                                
Co-Chair Stedman MOVED to ADOPT Amendment #9:                                                                                   
                                                                                                                                
Page 1, line 1, following "establishing":                                                                                       
     Insert  "establishing   a  renewable  energy   fund  and                                                                   
describing their uses and purposes;"                                                                                            
                                                                                                                                
Page 2, line 27:                                                                                                                
     Following "energy":                                                                                                        
          Insert "fund and"                                                                                                     
     Following "program.":                                                                                                      
          Insert new subsections to read:                                                                                       
          "(a)  A renewable energy fund is established as a                                                                     
     separate  fund to  finance  certain  energy projects  in                                                                   
     Alaska.                                                                                                                    
          (b)  The authority shall administer the fund as a                                                                     
     fund distinct from other funds of the authority. The                                                                       
     fund consists of                                                                                                           
               (1)  money appropriated to the fund by the                                                                       
     legislature to provide grants for certain energy                                                                           
     projects determined by the legislature;                                                                                    
               (2)  gifts, bequests, contributions from                                                                         
     other sources, and federal money;                                                                                          
               (3)  interest earned on the fund balance; and                                                                    
               (4)  investments to be managed by the                                                                            
     Department of Revenue, which shall be the fiduciary of                                                                     
     the fund under AS 37.10.071.                                                                                               
          (c) The fund is not a dedicated fund."                                                                                
                                                                                                                                
Reletter the following subsections accordingly.                                                                                 
                                                                                                                                
Page 2, line 28:                                                                                                                
     Delete "(f)"                                                                                                               
     Insert "(i)"                                                                                                               
                                                                                                                                
Page 3, line 11:                                                                                                                
     Delete "(f)"                                                                                                               
     Insert "(i)"                                                                                                               
                                                                                                                                
Page 3, line 16:                                                                                                                
     Delete "(c), (d), and (e)"                                                                                                 
     Insert "(f), (g), and (h)"                                                                                                 
                                                                                                                                
Page 3, line 20:                                                                                                                
     Delete "(b)"                                                                                                               
     Insert "(e)"                                                                                                               
                                                                                                                                
Page 3, line 30:                                                                                                                
     Delete "(b)"                                                                                                               
     Insert "(e)"                                                                                                               
                                                                                                                                
Page 4, line 4:                                                                                                                 
     Delete "(b)"                                                                                                               
     Insert "(e)"                                                                                                               
                                                                                                                                
Page 4, line 25:                                                                                                                
     Delete "(f)"                                                                                                               
     Insert "(i)"                                                                                                               
                                                                                                                                
Page 4, following line 27:                                                                                                      
     Insert a new subsection to read:                                                                                           
          "(k) The legislature may appropriate money for                                                                        
     grants from the renewable energy project fund for                                                                          
     renewable energy projects described in this section."                                                                      
                                                                                                                                
Reletter the following subsection accordingly.                                                                                  
                                                                                                                                
Page 5, following line 1:                                                                                                       
     Insert a new paragraph to read:                                                                                            
               "(2) "fund" means the renewable energy fund;"                                                                    
                                                                                                                                
Renumber the following paragraphs accordingly.                                                                                  
                                                                                                                                
Page 5, line 19:                                                                                                                
     Delete "AS 42.45.045(c) - (e)"                                                                                             
     Insert "AS 42.45.045(f) - (h)"                                                                                             
                                                                                                                                
Page 5, line 21:                                                                                                                
     Delete "AS 42.45.045(c) - (e)"                                                                                             
     Insert "AS 42.45.045(f) - (h)"                                                                                             
     Delete "sec. 2"                                                                                                            
     Insert "sec. 3"                                                                                                            
                                                                                                                                
Page 5, line 22:                                                                                                                
     Delete "AS 42.45.045(a), (b), and (f) - (l)"                                                                               
     Insert "AS 42.45.045(d), (e), and (i) - (l)"                                                                               
                                                                                                                                
Page 5, line 23:                                                                                                                
     Delete "sec. 2"                                                                                                            
     Insert "sec. 3"                                                                                                            
                                                                                                                                
Page 6, line 8:                                                                                                                 
     Delete "AS 42.45.045(f)(1)"                                                                                                
     Insert "AS 42.45.045(i)(1)"                                                                                                
                                                                                                                                
                                                                                                                                
Co-Chair Stedman OBJECTED for discussion.                                                                                       
                                                                                                                                
Co-Chair  Stedman  noted  that  Amendment  #9  establishes  a                                                                   
renewable  energy fund  and describes  the uses and  purposes                                                                   
After meeting with Legislative  Finance is was decided that a                                                                   
holding   mechanism   was   needed  for   the   funds   after                                                                   
appropriations. Amendment #9 describes  how this is to be set                                                                   
up.                                                                                                                             
                                                                                                                                
Co-Chair  Stedman  WITHDREW  his OBJECTION.  There  being  NO                                                                   
further OBJECTION, Amendment #9 was adopted.                                                                                    
                                                                                                                                
5:55:00 PM                                                                                                                    
                                                                                                                                
Senator  Olson MOVED  to REPORT  SCS  CSHB 152  (FIN) out  of                                                                   
Committee  with individual  recommendations and  accompanying                                                                   
fiscal notes.                                                                                                                   
                                                                                                                                
Co-Chair Stedman OBJECTED for discussion.                                                                                       
                                                                                                                                
Senator  Olson WITHDREW  his MOTION  to REPORT  SCS CSHB  152                                                                   
(FIN) out of Committee.                                                                                                         
                                                                                                                                
Co-Chair Stedman reviewed the accompanying fiscal notes.                                                                        
                                                                                                                                
5:56:02 PM                                                                                                                    
                                                                                                                                
Co-Chair Stedman MOVED to ADOPT  the four fiscal notes. There                                                                   
being NO OBJECTION, it was so ordered.                                                                                          
                                                                                                                                
Co-Chair Stedman WITHDREW his OBJECTION.                                                                                        
                                                                                                                                
Senator  Olson MOVED  to REPORT  SCS  CSHB 152  (FIN) out  of                                                                   
Committee  with individual  recommendations and  accompanying                                                                   
fiscal notes. There being NO OBJECTION, it was so ordered.                                                                      
                                                                                                                                
SCS CSHB 152 (FIN)  was REPORTED out of Committee  with a "do                                                                   
pass" recommendation  and accompanying new fiscal  notes from                                                                   
the   Department   of  Commerce,   Community   and   Economic                                                                   
Development,  Department of Health  and Social Services,  and                                                                   
the Senate Finance Committee.                                                                                                   
                                                                                                                                
AT EASE: 5:57:45 PM                                                                                                           
RECONVENED: 6:01:02 PM                                                                                                        
                                                                                                                                
6:01:07 PM                                                                                                                    
                                                                                                                                
HOUSE BILL NO. 373                                                                                                            
                                                                                                                                
     "An Act extending specified public school bond debt                                                                        
     reimbursement; and providing for an effective date."                                                                       
                                                                                                                                
Co-Chair  Stedman reminded  the Committee  that this  was the                                                                   
third  hearing  of  the  bill.   He  reviewed  the  committee                                                                   
substitute   Version  E   that  extended   the  school   bond                                                                   
reimbursement program  for one year instead of  two years and                                                                   
that  it  amended  the  full  value  of  ADM  for  the  major                                                                   
maintenance grant fund program.                                                                                                 
                                                                                                                                
6:01:20 PM                                                                                                                    
                                                                                                                                
Co-Chair Stedman  remarked that the  intent was to  bring the                                                                   
bill back to the table and adopt a conceptual amendment.                                                                        
                                                                                                                                
Co-Chair  Stedman MOVED  to ADOPT a  Conceptual Amendment  on                                                                   
page, 7, line 4, to delete 2009  and insert 2010. There being                                                                   
NO OBJECTION, the conceptual amendment was adopted.                                                                             
                                                                                                                                
Co-Chair Stedman reviewed the fiscal note.                                                                                      
                                                                                                                                
6:02:49 PM                                                                                                                    
                                                                                                                                
MIKE PAWLOWSKI,  STAFF, REPRESENTATIVE  KEVIN MEYER,  pointed                                                                   
out that  an additional  conceptual amendment  was needed  on                                                                   
page 6, line 27 to delete 2009 and insert 2010.                                                                                 
                                                                                                                                
Co-Chair Stedman MOVED to ADOPT  Conceptual Amendment on page                                                                   
6, line  27 to delete  2009 and insert  2010. There  being NO                                                                   
OBJECTION, it was so ordered.                                                                                                   
                                                                                                                                
Senator  Olson  inquired if  the  North Slope  Borough  could                                                                   
participate in the reimbursement program.                                                                                       
                                                                                                                                
6:03:50 PM                                                                                                                    
                                                                                                                                
EDDY JEANS, DIRECTOR, EDUCATION  SUPPORT SERVICES, DEPARTMENT                                                                   
OF EDUCATION  AND EARLY  DEVELOPMENT reported  that the  debt                                                                   
reimbursement program  is open  to any municipality  that has                                                                   
the capacity to bond.                                                                                                           
                                                                                                                                
Senator  Huggins MOVED  to REPORT  SCS  HB 273  (FIN) out  of                                                                   
Committee  with individual  recommendations and  accompanying                                                                   
fiscal note.                                                                                                                    
                                                                                                                                
SCS CSHB 373 (FIN)  was REPORTED out of Committee  with a "do                                                                   
pass"   recommendation   and   an   accompanying   previously                                                                   
published fiscal  note from the  Department of  Education and                                                                   
Early Development.                                                                                                              
                                                                                                                                
AT EASE:  6:05:57 PM                                                                                                          
RECONVNEED:6:06:58 PM                                                                                                         
                                                                                                                                
CS FOR HOUSE BILL NO. 320(FIN)                                                                                                
                                                                                                                                
     "An  Act  relating to  search  and rescue  training  and                                                                   
     search and rescue parties;  requiring certain search and                                                                   
     rescue volunteers  to be considered state  employees for                                                                   
     purposes   of   workers'  compensation   coverage;   and                                                                   
     allowing  political  subdivisions  to elect  to  provide                                                                   
     workers' compensation insurance  coverage for search and                                                                   
     rescue personnel."                                                                                                         
                                                                                                                                
Co-Chair Stedman  reviewed that this  was a first  hearing on                                                                   
the bill with the intent to hear  from the bill sponsor, take                                                                   
public testimony and confirm the will of the Committee.                                                                         
                                                                                                                                
6:07:25 PM                                                                                                                    
                                                                                                                                
Mike Pawlowski,  Staff, Representative Kevin  Meyer presented                                                                   
an  overview of  the bill  history.  Mr. Pawlowski  explained                                                                   
that  volunteers assisting  state  troopers in  a search  and                                                                   
rescue  operation  are not  allowed  or entitled  to  workers                                                                   
compensation and  this bill seeks  to rectify this  wrong. He                                                                   
stressed that volunteers serve  the state by rescuing people,                                                                   
and if the volunteer  is hurt during a mission,  they are not                                                                   
provided  workers compensation.  This  bill  would treat  the                                                                   
volunteers  as   state  employees   and  provide   them  some                                                                   
protection for their  service. In Section 5 it  would allow a                                                                   
municipality  to extend  similar coverage  to the  volunteers                                                                   
who are  serving at the direction  of a municipal  search and                                                                   
rescue operation.  He referred  to support letter  and emails                                                                   
from throughout the state.                                                                                                      
                                                                                                                                
6:09:55 PM                                                                                                                    
                                                                                                                                
Co-Chair Stedman reviewed the three fiscal notes.                                                                               
                                                                                                                                
6:10:16 PM                                                                                                                    
                                                                                                                                
Senator  Elton  pointed out  that  the  City and  Borough  of                                                                   
Juneau  does   not  have  a   state  trooper   therefore  the                                                                   
municipality  not the state  would be forced  to pick  up the                                                                   
additional cost.                                                                                                                
                                                                                                                                
6:11:10 PM                                                                                                                    
                                                                                                                                
Mr.  Pawlowski expressed  that the  state could  not be  held                                                                   
responsible  for search  and rescue activities  they  did not                                                                   
control. The municipalities  would need to step  up when they                                                                   
are in control and provide for the additional cost.                                                                             
                                                                                                                                
6:12:36 PM                                                                                                                    
                                                                                                                                
Senator  Olson inquired  if there  would be  any cost to  the                                                                   
communities that  are participating  in many of  these search                                                                   
and rescue operations.                                                                                                          
                                                                                                                                
Mr. Pawlowski replied that the  cost would be incurred to the                                                                   
community  if  the  community   decided  to  provide  workers                                                                   
compensation  to  the  volunteers.  If a  state  trooper  was                                                                   
involved, then the state would pick up the cost.                                                                                
                                                                                                                                
Senator Olson inquired  if the Alaska Municipal  League had a                                                                   
position on this topic.                                                                                                         
                                                                                                                                
Mr. Pawlowski  replied that the  Alaska Municipal  League has                                                                   
taken  no official  position  since  it was  left  up to  the                                                                   
discretion of the municipalities.                                                                                               
                                                                                                                                
6:13:41 PM                                                                                                                    
                                                                                                                                
Senator  Huggins  questioned that  when  there  is an  aerial                                                                   
component in the  search, such as a helicopter  assist, would                                                                   
they also be covered under this bill.                                                                                           
                                                                                                                                
Mr.  Pawlowski  confirmed  it  would  be  covered  the  state                                                                   
troopers  had  requested  the  participation  of  the  aerial                                                                   
component.                                                                                                                      
                                                                                                                                
6:14:27 PM                                                                                                                    
                                                                                                                                
Senator Elton interjected that  if the volunteer was a member                                                                   
of  the Civil  Air Patrol  assisting the  Air National  Guard                                                                   
they would not be covered.                                                                                                      
                                                                                                                                
Mr.  Pawlowski agreed  that  they are  separate,  but if  the                                                                   
Department of  Public Safety initiates the search  and rescue                                                                   
operation, then it would be covered.                                                                                            
                                                                                                                                
Co-Chair Hoffman  inquired if those individuals  who start on                                                                   
a search  and rescue  operation on the  local level  before a                                                                   
state trooper becomes involved would be covered.                                                                                
                                                                                                                                
Mr. Pawlowski  responded  that local searchers  would  not be                                                                   
covered until a state trooper became involved.                                                                                  
                                                                                                                                
Co-Chair  Hoffman  inquired  if  the  local  individuals  who                                                                   
continued the  operation after  the troopers were  call would                                                                   
be covered.                                                                                                                     
                                                                                                                                
6:17:13 PM                                                                                                                    
                                                                                                                                
Mr. Pawlowski  responded that if  the troopers take  over the                                                                   
mission and the  local volunteers are on the  trooper roster,                                                                   
then they would be covered.                                                                                                     
                                                                                                                                
Co-Chair  Hoffman  asked  if that  would  require  the  state                                                                   
troopers to ask for their assistance  or would they just sign                                                                   
up.                                                                                                                             
                                                                                                                                
6:18:13 PM                                                                                                                    
                                                                                                                                
Mr. Pawlowski deferred the questioned to Lt. Rodney Dial.                                                                       
                                                                                                                                
6:18:40 PM                                                                                                                    
                                                                                                                                
RODNEY DIAL,  LIEUTENANT, ALASKA  STATE TROOPERS,  DEPARTMENT                                                                   
OF PUBLIC  SAFETY  testified via  teleconference and  replied                                                                   
that when  the state  troopers are notified  of a  search and                                                                   
rescue  the process  of authorizing  participants begins.  If                                                                   
volunteer   participants  search   against  the  advice   and                                                                   
operational control  of the state  troopers, then  they would                                                                   
not be  covered. Mr.  Dial cited  that there  are search  and                                                                   
rescue rosters  throughout the  state for the  state troopers                                                                   
to call in an emergency situation.                                                                                              
                                                                                                                                
6:21:13 PM                                                                                                                    
                                                                                                                                
Senator  Elton believed  that the  new language  in the  bill                                                                   
states that  the coverage will  not begin until  someone from                                                                   
the  Commissioner   or  Commissioner   Designee  decides   to                                                                   
organize the search. Senator Elton  noted that often searches                                                                   
start before  there is  an official  beginning. He  asked for                                                                   
confirmation that if someone was  injured before the official                                                                   
start then they would not be covered.                                                                                           
                                                                                                                                
6:22:14 PM                                                                                                                    
                                                                                                                                
Lt.  Dial  responded  that injured  searchers  would  receive                                                                   
coverage from  Risk Management  not workers compensation.  If                                                                   
the state  troopers were  not notified  of an ongoing  search                                                                   
and rescue  operation then the  searchers would have  to take                                                                   
personal responsibility.                                                                                                        
                                                                                                                                
6:23:19 PM                                                                                                                    
                                                                                                                                
Co-Chair  Hoffman remarked  that because  the large  areas in                                                                   
Alaska local  community often  initiates a search  and rescue                                                                   
operation hours before the official  troopers are notified or                                                                   
able to  respond. He inquired  how state troopers  would take                                                                   
over the search and make it official.                                                                                           
                                                                                                                                
6:24:24 PM                                                                                                                    
                                                                                                                                
Lt. Dial  responded that  most local  communities notify  the                                                                   
official representatives  in a  timely manner about  a search                                                                   
and rescue  needs. He signified  the importance of  the local                                                                   
community  to notify the  state troopers  even if someone  is                                                                   
overdue so  the troopers can cut  a case number and  make the                                                                   
action official. The responsibilities  of the newly requested                                                                   
civilian  position  would  be to  coordinate  and  officially                                                                   
activate information  coming into  the department  from local                                                                   
communities.                                                                                                                    
                                                                                                                                
6:25:46 PM                                                                                                                    
                                                                                                                                
Co-Chair Hoffman  inquired if  the department would  take the                                                                   
initiative to  sign up the local  searchers so they  would be                                                                   
covered.                                                                                                                        
                                                                                                                                
6:26:27 PM                                                                                                                    
                                                                                                                                
Lt. Dial responded  that everyone asked by the  department to                                                                   
help would be covered.                                                                                                          
                                                                                                                                
Co-Chair  Hoffman asked  if  the department  would  authorize                                                                   
this.                                                                                                                           
                                                                                                                                
Lt.  Dial agreed  that  the  department would  authorize  the                                                                   
individuals and the coverage would be automatic.                                                                                
                                                                                                                                
6:27:06 PM                                                                                                                    
                                                                                                                                
COREY AIST,  PRESIDENT, ALASKA SEARCH AND  RESCUE ASSOCIATION                                                                   
testified  via teleconference  and  spoke in  support of  the                                                                   
bill.  He  clarified  that  the   spontaneous  searchers  who                                                                   
respond to a search and rescue  operation are not necessarily                                                                   
covered  under  this  bill  until   the  state  troopers  are                                                                   
notified.                                                                                                                       
                                                                                                                                
6:28:42 PM                                                                                                                    
                                                                                                                                
CHUCK SPRINGER,  FORMER PRESIDENT,  ALASKA SEARCH  AND RESCUE                                                                   
ASSOCIATION  testified   via  teleconference  and   spoke  in                                                                   
support of  the bill. He  cited that throughout  Alaska local                                                                   
trained searchers  selflessly provide help to  the Department                                                                   
of Public Safety in a time of need.                                                                                             
                                                                                                                                
AT EASE: 6:30:04 PM                                                                                                           
RECONVENED: 6:31:40 PM                                                                                                        
                                                                                                                                
Co-Chair  Hoffman  MOVED to  REPORT  CSHB  320 (FIN)  out  of                                                                   
Committee  with individual  recommendation  and  accompanying                                                                   
fiscal note. There being NO OBJECTION, it was so ordered.                                                                       
                                                                                                                                
CSHB  320  (FIN)  was  REPORTED  out  of  Committee  with  no                                                                   
recommendations  and accompanying new  fiscal noted  from the                                                                   
Department of Administration and  previously published fiscal                                                                   
notes from  the Department  of Administration, Department  of                                                                   
Public  Safety, and  the Department  of  Labor and  Workforce                                                                   
Development.                                                                                                                    
                                                                                                                                
AT EASE: 6:32:23 PM                                                                                                           
RECONVNED: 6:37:48 PM                                                                                                         
                                                                                                                                
CS FOR SPONSOR SUBSTITUTE FOR HOUSE BILL NO. 294(TRA) am                                                                      
                                                                                                                                
     "An Act  establishing the  Alaska Marine  Transportation                                                                   
     Advisory Board  and setting  out its powers  and duties;                                                                   
     making  conforming  amendments;  and  providing  for  an                                                                   
     effective date."                                                                                                           
                                                                                                                                
Senator Elton MOVED to ADOPT Amendment #1:                                                                                      
                                                                                                                                
     Page 1, Line 7, following "Facilities,"                                                                                    
     Delete:   in consultation                                                                                                
     Insert:   jointly                                                                                                        
                                                                                                                                
     Page 1, Line 9, following "shall"                                                                                          
     Insert:   jointly with the Alaska Marine Transportation                                                                  
Advisory Board.                                                                                                               
                                                                                                                                
     Page 2, Line 22, following "captain:                                                                                       
     Insert    or                                                                                                               
                                                                                                                                
     Page 2, Line 22, following "engineer"                                                                                      
     Delete:   ,or licensed seaman                                                                                              
     Insert:   who is not affiliated with the Alaska marine                                                                     
     highway system.                                                                                                            
                                                                                                                                
     Page 4, line 9, following "department"                                                                                     
     Insert:   and the governor                                                                                                 
                                                                                                                                
     Page 4, line 9, following "for"                                                                                            
     Delete:   its                                                                                                              
     Insert:   their                                                                                                            
                                                                                                                                
     Page 4, line 10:                                                                                                           
     Insert:   (d) The board may issue reports and                                                                              
     recommendations.                                                                                                           
               (e)   The board may receive such information                                                                     
                     from the department as the board deems                                                                     
                     necessary to carry out its duties.                                                                         
                                                                                                                                
     Page 4, line 20, following "(2)"                                                                                           
     Delete:   three                                                                                                            
     Insert:   four                                                                                                             
                                                                                                                                
     Page 4, line 21, following "(3)"                                                                                           
     Delete:   five                                                                                                             
     Insert:   four                                                                                                             
                                                                                                                                
Co-Chair Stedman OBJECTED for discussion.                                                                                       
                                                                                                                                
Senator  Elton  MOVED  to ADOPT  a  Conceptual  Amendment  to                                                                   
Amendment #1.                                                                                                                   
                                                                                                                                
Co-Chair Stedman OBJECTED for discussion.                                                                                       
                                                                                                                                
Senator  Elton  remarked  that  after  discussions  with  the                                                                   
sponsor's staff the decision would  be to strike all language                                                                   
above line five:                                                                                                                
                                                                                                                                
     Page 1, Line 7, following "Facilities,"                                                                                    
     Delete:   in consultation                                                                                                
     Insert:   jointly                                                                                                        
                                                                                                                                
Senator Elton  then added that  on Line 7, "jointly  with the                                                                   
Alaska  Marine  Transportation   Advisory  Board"  to  strike                                                                   
"jointly" and replace it with "in consultation."                                                                                
                                                                                                                                
Co-Chair  Stedman  WITHDREW  his OBJECTION.  There  being  NO                                                                   
further OBJECTION,  Conceptual Amendment to Amendment  #1 was                                                                   
ADOPTED.                                                                                                                        
                                                                                                                                
6:40:36 PM                                                                                                                    
                                                                                                                                
Senator Elton  explained the  changes to  the bill  listed in                                                                   
Amendment #1.                                                                                                                   
                                                                                                                                
6:44:04 PM                                                                                                                    
                                                                                                                                
Co-Chair Stedman WITHDREW his OBJECTION to Amendment #1.                                                                        
                                                                                                                                
Senator Elton  felt compelled to  remark that he  wanted this                                                                   
amendment to go  further but it is a better  incremental step                                                                   
with hopefully more steps to come.                                                                                              
                                                                                                                                
6:44:39 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PEGGY  WILSON, the bill sponsor  remarked that                                                                   
she approves of the final Amendment #1.                                                                                         
                                                                                                                                
6:45:16 PM                                                                                                                    
                                                                                                                                
Co-Chair Hoffman MOVED to REPORT  SCS HB 294 (FIN) as amended                                                                   
with  individual  recommendations   and  accompanying  fiscal                                                                   
note. There being NO OBJECTION, it was so ordered.                                                                              
                                                                                                                                
SCS CSSS HB 152  (FIN) was REPORTED out of  Committee with no                                                                   
recommendations  and  an  accompanying  previously  published                                                                   
zero fiscal note from the Department of Transportation.                                                                         
                                                                                                                                
AT EASE: 6:45:44 PM                                                                                                           
RECONVENED: 7:00:45 PM                                                                                                        
                                                                                                                                
CS FOR HOUSE BILL NO. 417(FIN) am                                                                                             
                                                                                                                                
     "An Act relating to the compensation  for certain public                                                                   
     officials,  officers,  and   employees  not  covered  by                                                                   
     collective  bargaining   agreements;  relating   to  pay                                                                   
     increments   for  longevity   in   state  service;   and                                                                   
     providing for an effective date."                                                                                          
                                                                                                                                
7:01:02 PM                                                                                                                    
                                                                                                                                
Co-Chair Stedman MOVED to ADOPT Amendment #1:                                                                                   
                                                                                                                                
SCS  CSHB  417  (FIN),  Draft  Version  25-GH201\E.3,  Wayne,                                                                   
4\10\08 (10 pages, Copy on File)                                                                                                
                                                                                                                                
Co-Chair Stedman OBJECTED for discussion.                                                                                       
                                                                                                                                
Senator  Elton described  Amendment #1  as encapsulating  the                                                                   
pervious  bill   heard  by  the   Committee  on   the  Salary                                                                   
Commission.  He noted  that it duplicates  the previous  bill                                                                   
with one exception.  In the original bill that  was heard and                                                                   
moved from  Committee the bill  had provided that  the salary                                                                   
commission could  review benefits.  This has been  changed to                                                                   
very narrowly  define benefits  so that  it does not  include                                                                   
the PERS issue. The bill sponsor  of the original bill worked                                                                   
closely with the Senate President on the language.                                                                              
                                                                                                                                
7:02:56 PM                                                                                                                    
                                                                                                                                
Co-Chair  Stedman  WITHDREW  his OBJECTION.  There  being  NO                                                                   
OBJECTION, Amendment #1 was adopted.                                                                                            
                                                                                                                                
Co-Chair Stedman MOVED to ADOPT Amendment #2.                                                                                   
                                                                                                                                
 Page 6, line 25:                                                                                                               
     Following "Section"                                                                                                        
          Insert "5, 11(a), 12(a), 14, and"                                                                                     
     Following "Act"                                                                                                            
          Delete "takes"                                                                                                        
          Insert "take"                                                                                                         
                                                                                                                                
Co-Chair Stedman OBJECTED for discussion.                                                                                       
                                                                                                                                
Senator Elton disclosed that Amendment  #2 was recommended by                                                                   
the Department  of Administration  as  a technical change  to                                                                   
avoid a look-back provision.                                                                                                    
                                                                                                                                
7:04:06 PM                                                                                                                    
                                                                                                                                
JESSE KEAL, STAFF, SENATOR ELTON  responded that Amendment #2                                                                   
is  a  technical  fix without  an  immediate  effect  on  the                                                                   
provisions  that Section  16 of  the original  pay bill  made                                                                   
retroactive through legal means.                                                                                                
                                                                                                                                
Co-Chair  Stedman  WITHDREW  his OBJECTION.  There  being  NO                                                                   
OBJECTION, Amendment #2 was adopted.                                                                                            
                                                                                                                                
7:05:04 PM                                                                                                                    
                                                                                                                                
Co-Chair Hoffman MOVED to REPORT  SCS HB 417 out of committee                                                                   
with  individual  recommendations   and  accompanying  fiscal                                                                   
notes.                                                                                                                          
                                                                                                                                
Co-Chair Stedman OBJECTED for discussion.                                                                                       
                                                                                                                                
Co-Chair  Stedman  reviewed  the   attached  previous  fiscal                                                                   
notes.                                                                                                                          
                                                                                                                                
AT EASE:  7:06:07 PM                                                                                                          
RECONVENED: 7:06:58 PM                                                                                                        
                                                                                                                                
Co-Chair  Stedman  WITHDREW  his OBJECTION.  There  being  NO                                                                   
further OBJECTION, it was so ordered.                                                                                           
                                                                                                                                
SCS  HB 417  (FIN)  was REPORTED  out  of Committee  with  no                                                                   
recommendations and accompanying  previously published fiscal                                                                   
notes from the Alaska Court System,  Office of Management and                                                                   
bnd the Legislative Affairs Agency.                                                                                             
                                                                                                                                
AT EASE: 7:07:28 PM                                                                                                           
RECONVENED: 7:07:59 PM                                                                                                        
                                                                                                                                
CS FOR HOUSE BILL NO. 325(FIN)                                                                                                
                                                                                                                                
     "An  Act  relating  to the  teachers'  and  health  care                                                                   
     professionals'  housing   loan  program  in  the  Alaska                                                                   
     Housing  Finance  Corporation;   and  providing  for  an                                                                   
     effective date."                                                                                                           
                                                                                                                                
7:08:31 PM                                                                                                                    
                                                                                                                                
BRIAN  BUTCHER,  PUBLIC  AFFAIRS   DIRECTOR,  ALASKA  HOUSING                                                                   
FINANCE CORPORATION  provided an  overview of the  bill which                                                                   
will  repeal  the  sunset  provision  of  the  teacher's  and                                                                   
nurses'  housing  loan  program  and expand  the  program  to                                                                   
teachers and  health care professionals. This  program allows                                                                   
100  percent  financing,  which   does  not  require  a  down                                                                   
payment,  to assist  entry  level  teachers and  health  care                                                                   
professionals   become  home  owners   where  they   may  not                                                                   
otherwise have the opportunity.  The ability to own a home is                                                                   
an important factor in recruiting  and retaining teachers and                                                                   
health care professionals. This  bill would extend the sunset                                                                   
for five  more years and expand  the program to  teachers and                                                                   
health care professionals.                                                                                                      
                                                                                                                                
7:10:34 PM                                                                                                                    
                                                                                                                                
Co-Chair Stedman  reviewed the one zero fiscal  note from the                                                                   
Department of Revenue.                                                                                                          
                                                                                                                                
Co-Chair  Hoffman remarked  that this  bill refers to  single                                                                   
family homes  and wondered what  would happen to  the program                                                                   
if it was expanded to cover purchasing a duplex.                                                                                
                                                                                                                                
Mr. Butcher  answered that this  was always intended  for the                                                                   
owner  occupied  single family  and  never intended  for  the                                                                   
purchase of an investment property.                                                                                             
                                                                                                                                
7:11:36 PM                                                                                                                    
                                                                                                                                
Co-Chair  Hoffman  MOVED to  REPORT  CSHB  325 (FIN)  out  of                                                                   
committee    with   individual    recommendations   and    an                                                                   
accompanying fiscal  note. There  being NO OBJECTION,  it was                                                                   
so ordered.                                                                                                                     
                                                                                                                                
CSHB  325 (FIN)  was REPORTED  out  of Committee  with a  "do                                                                   
pass" recommendation  and a previously published  zero fiscal                                                                   
note from the Department of Revenue.                                                                                            
                                                                                                                                
CS FOR HOUSE BILL NO. 50(JUD)                                                                                                 
                                                                                                                                
     "An  Act  relating to  the  Interstate Compact  for  the                                                                   
     Placement  of   Children;  establishing   an  interstate                                                                   
     commission  for  the  placement  of  children;  amending                                                                   
     Rules 4 and 24(b), Alaska  Rules of Civil Procedure; and                                                                   
     providing for an effective date."                                                                                          
                                                                                                                                
CSHB 50 (JUD) was SCHEDULED but not HEARD.                                                                                      
                                                                                                                                
CS FOR HOUSE BILL NO. 332(FIN)(title am)                                                                                      
                                                                                                                                
     "An  Act  defining  an  elementary   school  to  include                                                                   
     certain   pre-elementary   programs  and   relating   to                                                                   
     counting pre-elementary  students in a  school's average                                                                   
     daily membership."                                                                                                         
                                                                                                                                
CSHB 332 (FIN) (title am) was SCHEDULED but not HEARD.                                                                          
                                                                                                                                
CS FOR HOUSE BILL NO. 226(FIN)                                                                                                
                                                                                                                                
     "An Act extending the termination of the state training                                                                    
     and employment program; requiring a review of the                                                                          
     program; and providing for an effective date."                                                                             
                                                                                                                                
CSHB 332 (FIN) (title am) was SCHEDULED but not HEARD.                                                                          
                                                                                                                                
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
The meeting was adjourned at 7:12 PM                                                                                            
                                                                                                                                
                                                                                                                                

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