Legislature(2017 - 2018)SENATE FINANCE 532

03/20/2017 09:00 AM FINANCE

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Audio Topic
09:16:32 AM Start
09:17:36 AM SB63
09:42:52 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
Moved CSSB 63(FIN) Out of Committee
+ Bills Previously Heard/Scheduled TELECONFERENCED
                 SENATE FINANCE COMMITTEE                                                                                       
                      March 20, 2017                                                                                            
                         9:16 a.m.                                                                                              
9:16:32 AM                                                                                                                    
CALL TO ORDER                                                                                                                 
Co-Chair MacKinnon called the Senate Finance Committee                                                                          
meeting to order at 9:16 a.m.                                                                                                   
MEMBERS PRESENT                                                                                                               
Senator Lyman Hoffman, Co-Chair                                                                                                 
Senator Anna MacKinnon, Co-Chair                                                                                                
Senator Click Bishop, Vice-Chair                                                                                                
Senator Mike Dunleavy                                                                                                           
Senator Peter Micciche                                                                                                          
Senator Donny Olson                                                                                                             
Senator Natasha von Imhof                                                                                                       
MEMBERS ABSENT                                                                                                                
ALSO PRESENT                                                                                                                  
Juli Lucky, Staff, Senator Anna MacKinnon; Gina Ritacco,                                                                        
Staff, Senator Mike Dunleavy;                                                                                                   
SB 63     REGULATION OF SMOKING                                                                                                 
          CSSB 63(FIN) was REPORTED out  of committee with a                                                                    
          "do pass" recommendation with  one new zero fiscal                                                                    
          note from Department  of Transportation and Public                                                                    
          Facilities,  and  four previously  published  zero                                                                    
          fiscal  notes: FN2(DEC);  FN3(DHS); FN4(DPS);  and                                                                    
SENATE BILL NO. 63                                                                                                            
     "An Act prohibiting smoking in certain places;                                                                             
     relating to education on the smoking prohibition; and                                                                      
     providing for an effective date."                                                                                          
9:17:36 AM                                                                                                                    
MOVED to ADOPT the proposed committee substitute for SB 63,                                                                     
Work Draft 30-LS0024\R (Martin 3/10/17).                                                                                        
Co-Chair MacKinnon OBJECTED for discussion.                                                                                     
9:17:52 AM                                                                                                                    
JULI LUCKY, STAFF, SENATOR ANNA MACKINNON, explained the                                                                        
changes in the committee substitute (copy on file):                                                                             
     Throughout   §18.35.301   the  language   "smoking   is                                                                    
     prohibited" and "smoking is  allowed" was replaced with                                                                    
     "an individual  may not smoke"  and "an  individual may                                                                    
     smoke" to clarify that  building managers and employers                                                                    
     cannot be fined for a violation of this section.                                                                           
     Page  2,  lines  13-27:  Rewrites  §18.35.301  (b)  for                                                                    
     clarity.  The  prohibitions  are  the  same;  the  only                                                                    
     additional  language is  to clarify  that a  person can                                                                    
     smoke  in  a private  residence  that  is in  the  same                                                                    
     building  as another,  separate private  residence that                                                                    
     provides child care or adult care.                                                                                         
     Page  3,  lines  16-23: Rewrites  §18.35.301  (d)(1)(B)                                                                    
     regarding  the exemption  for businesses  that are  not                                                                    
     freestanding.  The words  "or building"  were added  to                                                                    
     lines 16 and  20 to ensure that buildings  that are not                                                                    
     businesses   will  also   be   considered.  Also,   the                                                                    
     prohibition  on  exemption   was  extended  to  include                                                                    
     facilities that provide adult care.                                                                                        
     Page 4,  lines 1-3:  Rewrites §18.35.301  (e) regarding                                                                    
     smoking areas in airports.  Instead of specifying where                                                                    
     the smoking  area can  be located and  who can  use it,                                                                    
     the  CS  allows an  airport  discretion  in creating  a                                                                    
     separate  enclosed  smoking  area  as  long  as  it  is                                                                    
     "vented directly  to an outdoor  area where  smoking is                                                                    
     not prohibited."                                                                                                           
     Page  5, lines  11-12:  Rewrites  §18.35.306 to  remove                                                                    
     language  that specifies  acceptable  puffin types  for                                                                    
     signs.  This change  was made  to ensure  that existing                                                                    
     signs will not be made  noncompliant by passage of this                                                                    
     legislation, thereby possibly subjecting business                                                                          
     owners to a fine for improper signage.                                                                                     
Co-Chair MacKinnon REMOVED her OBJECTION. There being NO                                                                        
further OBJECTION, the proposed committee substitute was                                                                        
9:22:57 AM                                                                                                                    
Co-Chair MacKinnon discussed the bill hearing history.                                                                          
Senator Micciche did not offer any comments on the bill.                                                                        
9:23:32 AM                                                                                                                    
Senator Micciche stated that he had an amendment.                                                                               
9:23:43 AM                                                                                                                    
AT EASE                                                                                                                         
9:25:03 AM                                                                                                                    
9:25:07 AM                                                                                                                    
Senator Micciche MOVED to ADOPT Amendment 1 (copy on file):                                                                     
Co-Chair MacKinnon OBJECTED for DISCUSSION.                                                                                     
Senator Micciche explained the amendment.                                                                                       
9:26:21 AM                                                                                                                    
Co-Chair MacKinnon REMOVED her OBJECTION. There being NO                                                                        
OBJECTION, Amendment 1 was ADOPTED.                                                                                             
9:26:39 AM                                                                                                                    
Co-Chair MacKinnon explained //                                                                                                 
9:27:16 AM                                                                                                                    
AT EASE                                                                                                                         
9:27:23 AM                                                                                                                    
Co-Chair  MacKinnon  noted  that  on  line  7  there  was  a                                                                    
handwritten statement,  "is not licensed to"  and "does not"                                                                    
was deleted.                                                                                                                    
9:27:48 AM                                                                                                                    
AT EASE                                                                                                                         
9:28:52 AM                                                                                                                    
9:28:55 AM                                                                                                                    
Senator Dunleavy MOVED to ADOPT Amendment 2 (copy on file):                                                                     
     Page 3, line 31, following "a":                                                                                            
     Insert "(1)"                                                                                                               
     Page 4, line 3, following "section":                                                                                       
          (2) private club if the private club                                                                                  
               (A) has no employees;                                                                                            
               (B) limits use of the club premises to                                                                           
               members of the club; and                                                                                         
               (C) prohibits use of marijuana as defined in                                                                     
               AS 17.38.900; and                                                                                                
               (D) is in a building that                                                                                        
                    (i) is freestanding; or                                                                                     
                    (ii)  if  it   is  attached  to  another                                                                    
                    business   or    building,   the   other                                                                    
                    business or  building does not  serve as                                                                    
                    a   residence,   child  care   facility,                                                                    
                    facility providing care  for adults on a                                                                    
                    fee-for-service   basis,     school,  or                                                                    
                   health care facility"                                                                                        
Co-Chair MacKinnon OBJECTED for DISCUSSION.                                                                                     
9:29:12 AM                                                                                                                    
GINA RITACCO,  STAFF, SENATOR  MIKE DUNLEAVY,  explained the                                                                    
amendment.  She stated  that the  amendment allowed  for new                                                                    
private  clubs that  may permit  smoking to  form after  the                                                                    
passage of  the bill. She stated  that the club must  not be                                                                    
open to the  public; did not have  employees; prohibited the                                                                    
use  of marijuana;  and was  in a  building that  was either                                                                    
free-standing or  not attached to another  building that was                                                                    
a residence,  child care  facility, facility  providing care                                                                    
for adults, or  on a fee for service basis  school or health                                                                    
care facility.  The provision was included  because in rural                                                                    
districts,  there may  be no  free standing  facility to  be                                                                    
used as a club to gather together.                                                                                              
Senator  Micciche  stated  that  he  also  objected  to  the                                                                    
amendment.  He  explained  that   a  private  club  was  not                                                                    
currently covered  under the  bill. He  stated that  a place                                                                    
with  no employees  and  was free  standing  was allowed  to                                                                    
smoke in its facility. He  felt that the amendment countered                                                                    
the reason for the bill,  because it harmed those working in                                                                    
the attached building.                                                                                                          
9:31:17 AM                                                                                                                    
AT EASE                                                                                                                         
9:32:10 AM                                                                                                                    
9:32:22 AM                                                                                                                    
Senator Dunleavy  explained that the amendment  was intended                                                                    
to allow a private club to  exist. He stated that there were                                                                    
not many buildings in some  rural locations in his district.                                                                    
He  shared  that the  intent  was  to  address the  lack  of                                                                    
infrastructure in the rural parts of his district.                                                                              
Senator  Olson queried  the effect  on the  people who  were                                                                    
trying not to violate the law.                                                                                                  
Senator Dunleavy  responded that  the bill would  affect the                                                                    
unorganized boroughs, too. He  remarked that there was often                                                                    
no  infrastructure.  He  explained   that  there  may  be  a                                                                    
business that  had all employees  as smokers, and  there may                                                                    
be an attached portion of the  building with a club that may                                                                    
wish  to  smoke with  no  employees.  He stressed  that  the                                                                    
amendment  would   provide  the  smaller   communities  more                                                                    
flexibility for  the desire  to have a  club in  an attached                                                                    
Senator  Olson  wondered   whether  the  amendment  included                                                                    
Senator Dunleavy replied in the affirmative.                                                                                    
Co-Chair  MacKinnon wondered  why  there was  not a  limited                                                                    
definition   for   "off   the  road   systems"   or   "rural                                                                    
Senator Dunleavy replied  that he did not know  if there was                                                                    
a limiting consideration.                                                                                                       
Co-Chair  MacKinnon   remarked  that  there   were  multiple                                                                    
definitions for rural communities.                                                                                              
Senator von Imhof remarked that  there may be issues related                                                                    
to  an HVAC  system  in  a building  that  would cause  poor                                                                    
9:37:12 AM                                                                                                                    
Senator  Olson felt  that the  amendment may  alleviate some                                                                    
confusion in  rural Alaska that  would cause  a disadvantage                                                                    
without the ability to have an "out."                                                                                           
Co-Chair MacKinnon MAINTAINED her OBJECTION.                                                                                    
A roll call vote was taken on the motion.                                                                                       
IN FAVOR: Olson, Dunleavy                                                                                                       
OPPOSED: von Imhof, Bishop, Micciche, MacKinnon, Hoffman                                                                        
The motion to adopt Amendment 2 FAILED (2,5).                                                                                   
Senator   Micciche  remarked   that  he   had  worked   with                                                                    
businesses to  "soften" the  effect on  existing businesses.                                                                    
He hoped the businesses would  move out of the location that                                                                    
impacted others in the future,  and was willing to help with                                                                    
some investment. He stressed that  the businesses who smoked                                                                    
in  "mini-malls"   caused  a  health   risk  to   the  other                                                                    
businesses. He spoke in support of the legislation.                                                                             
Vice-Chair  Bishop  MOVED  to REPORT  CSSB  63(FIN)  out  of                                                                    
Committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal notes.                                                                                                      
There being NO OBJECTION, it was so ordered.                                                                                    
9:40:01 AM                                                                                                                    
AT EASE                                                                                                                         
9:42:35 AM                                                                                                                    
Co-Chair MacKinnon discussed housekeeping.                                                                                      
CSSB 63(FIN) was REPORTED out  of committee with a "do pass"                                                                    
recommendation   with  one   new  zero   fiscal  note   from                                                                    
Department  of  Transportation  and Public  Facilities,  and                                                                    
four  previously  published  zero  fiscal  notes:  FN2(DEC);                                                                    
FN3(DHS); FN4(DPS); and FN5(CED).                                                                                               
9:42:52 AM                                                                                                                    
The meeting was adjourned at 9:42 a.m.                                                                                          

Document Name Date/Time Subjects
SB 63 McDonald.Alex Testimony 2017.03.12.pdf SFIN 3/20/2017 9:00:00 AM
SB 63
SB 63 SCS Work Draft v. R.pdf SFIN 3/20/2017 9:00:00 AM
SB 63
SB 63 SCS SB63 v. R Explanation.pdf SFIN 3/20/2017 9:00:00 AM
SB 63
SB 63 Amendment 1 Micciche.pdf SFIN 3/20/2017 9:00:00 AM
SB 63
SB 63 Amendment 2.a Dunleavy.pdf SFIN 3/20/2017 9:00:00 AM
SB 63