Legislature(2009 - 2010)SENATE FINANCE 532
04/12/2010 09:00 AM Senate FINANCE
| Audio | Topic |
|---|---|
| Start | |
| HB20 | |
| HB52 | |
| HB354 | |
| HB344 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 174 | TELECONFERENCED | |
| + | HB 20 | TELECONFERENCED | |
| + | HB 344 | TELECONFERENCED | |
| + | HB 52 | TELECONFERENCED | |
| + | HB 354 | TELECONFERENCED | |
| + | TELECONFERENCED |
SENATE FINANCE COMMITTEE
April 12, 2010
9:13 a.m.
9:13:12 AM
CALL TO ORDER
Co-Chair Stedman called the Senate Finance Committee
meeting to order at 9:13 a.m.
MEMBERS PRESENT
Senator Lyman Hoffman, Co-Chair
Senator Bert Stedman, Co-Chair
Senator Charlie Huggins, Vice-Chair
Senator Johnny Ellis
Senator Dennis Egan
Senator Donny Olson
Senator Joe Thomas
MEMBERS ABSENT
None
ALSO PRESENT
Representative Bryce Edgmon, Sponsor; Representative Beth
Kerttula, Sponsor; Mindy Lobaugh, Juneau; Representative
Wes Keller, Sponsor; Greg Winegar, Director, Division of
Investments, Department of Commerce, Community and Economic
Development; Pete Ecklund, Staff, Representative Bill
Thomas
PRESENT VIA TELECONFERENCE
Monty Gates, Penn Airways; Danny Seybert, President,
Peninsula Airways; Mark Palmer, Ocean Beauty Seafoods; Mary
McDowell, Vice President, Pacific Seafood Processors
Association
SUMMARY
SB 174 PROF STUDENT EXCHANGE LOAN FORGIVENESS
CSSB 174 (FIN) was REPORTED out of Committee with
no recommendation and with a new fiscal note by
Department of Education and Early Development and
a new fiscal note by the University.
HB 20 FISHERIES LOANS: ENERGY EFFICIENCY/AMOUNT
HB 20 was heard and HELD in Committee for further
consideration.
HB 344 SALMON PRODUCT DEVELOP. TAX CREDIT
HB 344 was heard and HELD in Committee for
further consideration.
HB 52 POST-TRIAL JUROR COUNSELING
HB 52 was heard and HELD in Committee for further
consideration.
HB 354 AK CAPSTONE AVIONICS REVOLVING LOAN FUND
HB 354 was heard and HELD in Committee for
further consideration.
9:13:30 AM
SENATE BILL NO. 174
"An Act relating to professional student exchange
program availability and conditions for loan
forgiveness."
9:14:20 AM
Co-Chair Hoffman MOVE to ADOPT the CS for SB 174, labeled
26-LS0764\D, as the working document.
Co-Chair Stedman OBJECTED. He said that Section 11, which
referenced loan repayments under the Washington, Alaska,
Montana, Idaho (WAMI) Program, had been deleted from the
bill.
Co-Chair Stedman WITHDREW his OBJECTION. There being NO
OBJECTION, it was so ordered.
Co-Chair Stedman noted two new fiscal notes. One is from
the Department of Education and Early Development for the
Alaska Commission on Post-Secondary Education, which
reflects the cost of funding the AlaskAdvantage Scholarship
Program and the new students in the Western Interstate
Commission for Higher Education Program (WICHE), for
$11,700,000 in general funds. There is also one fiscal note
from the University reflecting the general fund cost of the
program for FY 11 at $7,732,000.
9:15:33 AM
Senator Thomas shared a concern shared by the
administration about the idea of structuring curriculum
changes. He wished to have more merit-based components in
the bill.
AT-EASE 9:16:41 AM
RECONVENED 9:19:16 AM
Co-Chair Hoffman MOVED to REPORT CSSB 174 (FIN) out of
Committee with individual recommendations and the
accompanying fiscal notes. There being NO OBJECTION, it was
so ordered.
CSSB 174 (FIN) CSSB 174 (FIN) was REPORTED out of Committee
with no recommendation and with a new fiscal note by the
Department of Education and Early Development and a new
fiscal note by the University.
CS FOR HOUSE BILL NO. 20(FIN)
"An Act relating to commercial fishing loans for
energy efficiency upgrades and increasing the maximum
amount for certain loans under the Commercial Fishing
Loan Act; and providing for an effective date."
Co-Chair Hoffman MOVED to ADOPT the SCS for CS for HB 20,
labeled 26-LS0124\T, Kane, 4/8/10, as the working document
before the committee.
Co-Chair Stedman OBJECTED. He related that Version T limits
the loans to engines and generators only.
Co-Chair Stedman WITHDREW his OBJECTION. He noted that the
SCS amends the title and will require a concurrent
resolution.
9:21:00 AM
REPRESENTATIVE BRYCE EDGMON, SPONSOR, explained the bill.
He said the bill puts the Engine Efficiency Loan Program
created in 2008 into statute and broadens the pool of
eligible fishers who can participate. He explained that the
bill pertains to Sections A and B of the Commercial Fishing
Loan Act. It allows for low interest rate loans for vessel
upgrades. He added that the bill relies on proceeds from
the fund itself and requires no general fund dollars. The
Division of Investments says it is possible that an
additional position would be required, but it would be
funded by program receipts or by the commercial fishery
revolving fund.
Co-Chair Stedman noted that it was the first hearing on the
bill. He highlighted one fiscal note from the Department
of Commerce, Community, and Economic Development.
Co-Chair Stedman pointed out that page 2, line 4, would
need a correction. He wanted to be sure the entire
generator would be included where it states "for propulsion
engine or generator engine". Representative Edgmon said he
would support that correction.
9:24:19 AM
Senator Olson asked about the eligibility of out-of-state
permit holders. Representative Edgmon noted two
requirements; Alaska residency for two years, and
demonstration of participation in a commercial fishery for
two out of the last five years.
HB 20 was heard and HELD in Committee for further
consideration.
9:26:03 AM
HOUSE BILL NO. 52
"An Act authorizing psychological counseling for
jurors serving in criminal trials who are traumatized
by graphic evidence or testimony."
REPRESENTATIVE BETH KERTTULA, SPONSOR, explained that the
bill was proposed as a result of a very courageous
constituent and her involvement as a juror in a very
traumatic court case. Representative Kerttula explained the
process of trying to find counseling for jurors who have
experienced trauma. She concluded that legislation would be
the best course of action. She reported that she has worked
with the courts to come up with a plan for counseling if a
judge feels the trial was a particularly gruesome,
difficult case.
Senator Olson asked if other states have this type of
legislation. Representative Kerttula shared that Texas has
legislation pending, but has not implemented it yet. King
County also has a juror counseling program.
Co-Chair Stedman noted a fiscal note for $15,000 in general
funds.
9:28:39 AM
MINDY LOBAUGH, JUNEAU, read a prepared statement:
Mr. Chairman and members of the committee, thank you
for this opportunity and all you do for the State of
Alaska.
This bill represents a bridge, a bridge that I and
many other jurors did not have at the end of a very
traumatic trial. You arrive at the courthouse, given
detailed instruction of what is expected of you as a
juror and how the process of a trial works. What the
court system does not do is transition the juror out
of the trial. It is not uncommon to have major
criminal trials run for many days.
I served as a juror on the Rachelle Waterman trial 4
years ago and it lasted approximately 10 days. For me
I arrived open and ready to do my civic duty as a
Juror. And for 10 days prosecutors went into
excruciating detail to help the jurors relive the
events of an unsuspecting Mother getting abducted from
her home, tortured and finally murdered.
It was then our duty as jurors to determine if the
defendant, her daughter was guilty of masterminding
this tragedy against her own mother, a woman who was a
pillar of her community. By the end of the trial I
left there as a victim feeling closed, mentally
battered and very traumatized by the burden of
knowledge I now carried.
I am here to tell you the media does not even come
close to covering the depth of this trial. As jurors
we had access to piles of emails detailing out various
ways these men planned to kill the mother, in addition
to physical evidence, photographs and of course the
hours of testimony.
For quite some time during and following that trial
eating for me was a near impossibility because of the
constant nausea I felt. To my friends and family I
became a stranger….and each night I prayed myself to
sleep.
One of my fellow jury mates was pregnant with her
second child. She had shared her excitement and
ultrasound pictures with us early on. By the end of
the trial she lost her baby and had to be excused from
the trial.
When this trial finally ended, with a hung jury, I
turned to the presiding judge and ask if the courts
offer some kind of counseling or process to help
jurors deal with all this traumatizing information and
help to transition us back to our lives? The answer
was NO.
For me it was like having a door slammed in my face.
There would be no help in transitioning back to my
life before this trial, no bridge. Rather I would have
to move forward with this dark knowledge deeply
entrenched in my mind and the minds of my fellow
jurors. And I will never forget the feeling and look
of disappointment and confusion in my fellow jurors as
we wondered how we would come to terms with this
trial. It was at this point I felt the court system
had failed me as a juror doing my civic duty.
Mr. Chairman, members of the committee, please help me
to build this bridge by supporting HB 52 Post Trial
Jury Counseling. I may not have found closure with
respects to this trial, but maybe you can help build
that bridge for future Jurors doing their civic duty
by passing HB 52.
Representative Kerttula commented on personal experiences
as a lawyer and cases of traumatized jurors. She related
the importance of the bill.
HB 52 was heard and HELD in Committee for further
consideration.
9:33:13 AM
HOUSE BILL NO. 354
"An Act relating to eligibility for loans from the
Alaska capstone avionics revolving loan fund."
REPRESENTATIVE WES KELLER, SPONSOR, explained that HB 354
upgrades the Capstone Avionic Loan Program to include
aircraft operators in Alaska that lease their aircraft. He
spoke highly of the Capstone Program. He related that the
two pilot programs had had great success in decreasing the
number of accidents by 40 percent. The FAA covered the
majority of the cost of the program. The state's part was
to get aircraft in the air with the equipment in place.
9:35:53 AM
Senator Thomas understood that the bill would help leased
planes in commercial operations. Representative Keller
agreed. He explained that the cost to private pilots would
be extreme, so this legislation would affect commercial
operations.
Senator Olson asked how many of the loans were delinquent.
Representative Keller didn't know.
Senator Olson recognized that the thrust of the bill was
for leased aircraft. He wondered what happens to the
Capstone equipment if the aircraft was leased from outside
the state and was returned to another state. Representative
Keller replied that it would stay with the airplane, but
the debt would remain with the company that owned it.
Senator Olson summarized that that the avionics would stay
with the plane when it left the state. Representative
Keller offered to find out.
9:38:27 AM
Co-Chair Stedman noted one zero fiscal note from the
Department of Commerce, Community, and Economic
Development.
GREG WINEGAR, DIRECTOR, DIVISION OF INVESTMENTS, DEPARTMENT
OF COMMERCE, COMMUNITY AND ECONOMIC DEVELOPMENT, addressed
Senator Olson's question and reported that the delinquency
rate on the loan program is zero.
Co-Chair Stedman asked how many loans have been made and
when the program began. Mr. Winegar reported that the
program began in 2008 and a total of nine loans have been
made totaling about $613,000. There are currently five
loans on the books.
Co-Chair Stedman asked if the program was successful. Mr.
Winegar thought it was. Co-Chair Stedman asked if the
department supported the bill. Mr. Winegar said it did.
9:40:15 AM
MONTY GATES, PENNINSULA AIRWAYS (via teleconference), spoke
in support of HB 354.
DANNY SEYBERT, PRESIDENT, PENINSULA AIRWAYS (via
teleconference), spoke of the need for the Capstone system
for flying in the Aleutians. He testified in favor of the
lease option.
Senator Olson commented that Capstone has shown its
effectiveness in decreasing the number of accidents and air
carriers are definitely in favor of it.
Representative Keller noted the FAA has projected that the
death rates from flying will decrease by 33 percent with
this system in place.
HB 354 was heard and HELD in Committee for further
consideration.
9:43:21 AM
CS FOR HOUSE BILL NO. 344(FIN)
"An Act relating to the salmon product development tax
credit; and providing for an effective date by
amending an effective date in sec. 7, ch. 57, SLA
2003, as amended by sec. 4, ch. 3, SLA 2006, and by
sec. 4, ch. 8, SLA 2008."
PETE ECKLUND, STAFF, REPRESENTATIVE BILL THOMAS, explained
the bill. He related that the salmon product development
tax credit is an incentive to add value to Alaska salmon in
Alaska. It originated with the salmon industry task force
in 2002 and was one of the key bills to come out of that
effort. It was put into law in 2003. At the time, market
conditions were very poor and there was a lot of
competition from farmed salmon. The credit allows
processors to claim up to 50 percent of the cost of a
qualified investment against their fisheries business tax.
The taxpayer has four years to claim the credit and can
deduct 50 percent of their annual tax bill until the credit
is satisfied.
Mr. Ecklund listed the qualifying equipment: filet machine,
pin bone machines, glazing and smoking equipment, roe
equipment, and ice making systems. The equipment must be
new, predominantly used for salmon, and used for making
value-added products.
Mr. Ecklund related the positive outcomes of the bill. The
bill would extend the program to 2015. He stressed the
immediate need to extend the program in order for the
industry to continue long-range investment planning.
9:45:56 AM
Senator Huggins noted the title of the bill said "salmon
product". He asked if the bill applies to all fish. Mr.
Ecklund said it only applies to salmon.
Co-Chair Stedman noted one zero fiscal note from the
Department of Revenue.
MARK PALMER, OCEAN BEAUTY SEAFOODS (via teleconference),
spoke in support of the bill. He spoke of the success of
the program and future plans for his company.
9:49:00 AM
Co-Chair Stedman pointed out residual effects of the
credit.
MARY MCDOWELL, VICE PRESIDENT, PACIFIC SEAFOOD PROCESSORS
ASSOCIATION (via teleconference), testified strongly in
favor of the bill. She added that the tax credit only
covers a portion of the expense of equipment, not marketing
and other costs. It does provide an economic incentive.
HB 344 was heard and HELD in Committee for further
consideration.
ADJOURNMENT
The meeting was adjourned at 9:51 AM.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 20 2010 0412 Proposed SCS Version T.pdf |
SFIN 4/12/2010 9:00:00 AM |
HB 20 |
| SB 174 2010 0412 Proposed CS SFIN Version D.pdf |
SFIN 4/12/2010 9:00:00 AM |
SB 174 |