Legislature(2007 - 2008)SENATE FINANCE 532
08/01/2008 10:00 AM Senate FINANCE
| Audio | Topic |
|---|---|
| Start | |
| SB4002 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| = | SB4002 | ||
SENATE FINANCE COMMITTEE
August 1, 2008
10:32 a.m.
CALL TO ORDER
Co-Chair Stedman called the Senate Finance Committee meeting
to order at 10:32:08 AM.
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
Randall Ruaro, Special Assistant, Office of the Governor;
Senator Gary Stevens
PRESENT VIA TELECONFERENCE
None
SUMMARY
SB 4002 "An Act establishing the Alaska resource rebate
program and relating to the program; and providing
for an effective date."
SB 4002 was heard and HELD in Committee for
further consideration.
10:32:16 AM
SENATE BILL NO. 4002
"An Act establishing the Alaska resource rebate program
and relating to the program; and providing for an
effective date."
Co-Chair Stedman stated that the meeting is a continuation
of the hearing on SB 4002. The bill is a combination of
Power Cost Equalization and a resource rebate program.
10:34:31 AM
RANDALL RUARO, SPECIAL ASSISTANT, OFFICE OF THE GOVERNOR,
highlighted possible changes to the bill. He spoke to the
issue regarding eligibility of certain veterans for the
resource rebate. There are 376 veterans that do not apply
for the PFD because their VA benefits would be reduced. Now
those veterans would be able to apply for the rebate due to
reworking of the bill. The Department of Law has drafted an
amendment that would ensure that there were no problems with
distributors charging excessive prices for heating oil. The
criminal provisions in the bill have also been revisited and
it was determined that existing language was sufficient.
Mr. Ruaro offered to continue to work on the bill.
Senator Elton introduced his parents.
10:38:53 AM
Senator Elton MOVED to ADOPT Amendment 1:
Page 4, line 26, following "residences.":
Insert "The amount of the resource rebate payment must
include an amount to reimburse the sales tax that the
individual paid for the oil for which the resource
rebate payment is made, except that the amount of
reimbursement included in the payment must be based n
the sales tax rate in effect on the effective date of
this section."
Co-Chair Stedman OBJECTED for discussion purposes.
Senator Elton explained a concern about the $3.00 rebate on
oil. The amendment would restrict the rebate on the sales
tax component. It would prevent a municipality from raising
the sales tax on residential fuel.
Senator Olson asked if there was an opinion by AML on the
amendment. Senator Elton said no. He thought the situation
was highly unlikely.
Co-Chair Stedman WITHDREW his OBJECTION. There being NO
OBJECTION, it was so ordered.
10:41:26 AM
Senator Huggins MOVED to ADOPT Amendment 5:
Insert: "(c) Notwithstanding any contrary provision of
law, an individual who did not apply for the 2008
permanent fund dividend and is eligible for veterans'
benefits under 38 U.S.C 1315, 1513, 1521, and 1541-1542
may apply for an Alaska resource rebate payment for
2008. The veteran, or spouse or dependent of a living
or deceased veteran, must apply to the Department of
Revenue no later than October 1, 2008 and demonstrate
that the individual would have been eligible to receive
a 2008 permanent fund dividend under AS 43.23, except
for not having applied for the 2008 permanent fund
dividend previously.
(d) The veteran, or spouse or dependent of a living or
deceased veteran, who is denied or receives reduced
payments or reduced health care benefits solely because
the payment under this section received by the
individual is counted as income is eligible for
veterans' benefits under AS 47.25.120 - 47.25.300
(general relief assistance). Notwithstanding the limit
in AS 47.25.130, the veteran, or spouse or dependent of
a living or deceased veteran, is entitled to receive
the same amount as the individual would have received
under 38 U.S.C. 1315, 1513, 1521, and 1541 - 1542 and
as a health care benefit as a result of being eligible
under 38 U.S.C 1315, 1513, 1521, and 1541 - 1542, had a
payment not been received under this section."
Co-Chair Stedman OBJECTED.
Senator Huggins requested that the number for Alaska
veterans should say "plus or minus". He related that those
eligible for veteran benefits normally would not be able to
apply for the rebate without an offset. The amendment would
correct that so there is no offset.
Senator Olson asked if the rebate could be garnished.
10:43:49 AM
Mr. Ruaro agreed with the explanation of Amendment 5. It
allows those veterans to apply without a reduction in their
benefits. The second half of the amendment holds them
harmless, due to the reduction by the federal government.
Senator Thomas inquired if they would receive the resource
rebate as a part of the permanent fund. Mr. Ruaro said that
the amendment does not extend to the PFD and they would not
receive a PFD. Senator Thomas summarized that they would
receive the resource rebate and be held harmless. Mr. Ruaro
said that is correct.
10:45:58 AM
Senator Elton suggested that many veterans are not going to
know about this opportunity. He inquired if there was a way
to communicate that information. Mr. Ruaro offered to
obtain the information to indentify those veterans.
10:46:59 AM
Co-Chair Stedman WITHDREW his OBJECTION to Amendment 5.
There being NO OBJECTION, it was so ordered.
AT-EASE: 10:47:17 AM
RECONVENE: 4:07:39 PM
SB 4002 was heard and HELD in Committee for further
consideration.
ADJOURNMENT
The meeting was adjourned at 4:08 PM.
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