Legislature(2025 - 2026)SENATE FINANCE 532
04/11/2025 09:00 AM Senate FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| SB63 | |
| SB54 | |
| SB86 | |
| SB29 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | SB 63 | TELECONFERENCED | |
| += | SB 54 | TELECONFERENCED | |
| += | SB 86 | TELECONFERENCED | |
| += | SB 29 | TELECONFERENCED | |
| += | HB 56 | TELECONFERENCED | |
SENATE FINANCE COMMITTEE
April 11, 2025
9:04 a.m.
9:04:55 AM
CALL TO ORDER
Co-Chair Hoffman called the Senate Finance Committee
meeting to order at 9:04 a.m.
MEMBERS PRESENT
Senator Lyman Hoffman, Co-Chair
Senator Donny Olson, Co-Chair
Senator Bert Stedman, Co-Chair
Senator Mike Cronk
Senator James Kaufman
Senator Jesse Kiehl
Senator Kelly Merrick
MEMBERS ABSENT
None
ALSO PRESENT
Paul Menke, Staff, Senator Mike Cronk; Senator Matt Claman,
Sponsor; Liz Harpold, Staff, Senator Donny Olson; Cole
Osowski, Intern, Senator Jesse Kiehl; Senator Jesse
Bjorkman, Sponsor.
PRESENT VIA TELECONFERENCE
Kathy Leary, City Administrator, City of Gustavus,
Gustavus; Colleen Stansbury, Self, Gustavus.
SUMMARY
SB 29 BIG GAME COMMERCIAL SERVICES BOARD
SB 29 was REPORTED out of committee with four "do
pass" recommendations, two "no recommendation"
recommendations,` and with one previously
published fiscal impact note: FN 1(CED).
SB 54 EXT ARCH, ENG, SURVEY BRD; REG INT DESIGN
CS SSSB 54(FIN) was REPORTED out of committee
with one "do pass" recommendation and with five
"no recommendation" recommendations, and with one
forthcoming fiscal impact note from the
Department of Commerce, Community and Economic
Development.
SB 63 LOCAL BOUNDARY COMMISSION
SB 63 was HEARD and HELD in committee for further
consideration.
SB 86 MONEY TRANSMISSION; VIRTUAL CURRENCY
CSSB 86(FIN) was REPORTED out of committee with
four "do pass" recommendations and two "no
recommendation" recommendations and with one
previously published fiscal impact note: FN
1(CED).
HB 56 APPROP: SUPP; FUND CAP; CAP; AMENDING
HB 56 was SCHEDULED but not HEARD.
Co-Chair Hoffman discussed the agenda.
SENATE BILL NO. 63
"An Act relating to the Local Boundary Commission; and
providing for an effective date."
9:05:41 AM
Co-Chair Hoffman relayed that it was the first hearing for
SB 63.
9:06:03 AM
Senator Mike Cronk, Sponsor, explained that SB 63:
Senate Bill 63 is the final product of last session's
HB 279, which passed the House unanimously, made it
through the Senate committee process and was
calendared for Senate Floor vote, but the clock ran
out before it could be voted on. SB 63 is adding
language to exiting statute to accomplish three goals:
1.) To ensure commissioners appointed from each of
the four Judicial Districts actually live in and vote
in the Judicial District from which they are
appointed.
2.) To create an additional seat on the Commission and
ensure that at least one of the six Commissioners come
from the Unorganized Borough.
3.) To change statute regarding the selection of the
Commission chair. Instead of the chair automatically
being the member from the state at-large, the chair of
the commission will be elected from amongst its
members.
Note: The effective date of January 31, 2026 is
selected so the present Local Boundary Commission
(LBC) makeup will be retained until the next LBC seat
becomes open. At that time a person from the
Unorganized Borough will be selected.
9:07:31 AM
PAUL MENKE, STAFF, SENATOR MIKE CRONK, provided a sponsor
statement:
Section 1:
- Changes the number of seats on the Local Boundary
Commission from 5 seats to 6 seats.
- Changes the terms for the commissioner seats from 5 years
to 6 years.
- Establishes that at least one Commissioner be from the
unorganized Borough.
- Requires a commissioner appointed from a Judicial
District to be domiciled and registered to vote in that
District.
- Establishes that the Chair of the Local Boundary
Commission be elected from among its members, rather than
the Chair being the member at-large by default.
Section 2:
Amends the uncodified law of the State of Alaska to state
that members appointed to the Local Boundary Commission
will serve six-year terms, and this act will not affect the
term of a member appointed prior to January 31, 2026.
Section 3:
Establishes an effective date of January 31, 2026
Co-Chair Hoffman relayed that there were two individuals
available to answer questions.
9:09:15 AM
Co-Chair Hoffman OPENED public testimony.
9:09:25 AM
KATHY LEARY, CITY ADMINISTRATOR, CITY OF GUSTAVUS, GUSTAVUS
(via teleconference), expressed support for the bill. She
relayed that communities not in organized boroughs
currently had no voice on the commission. She asserted
that the lack of direct representation was inequitable. She
expounded on the various ways the lack of representation
negatively impacted unorganized boroughs. She urged passage
of the legislation.
9:13:06 AM
COLLEEN STANSBURY, SELF, GUSTAVUS (via teleconference),
spoke in support of the bill. She was a 40-year resident of
Gustavus. She shared her recent experience with the
commission regarding the Hoonah Borough petition. She said
that the process revealed to her deep dysfunction within
the commission's policies and process. She expounded on the
need for reformation of representation on the Local
Boundary Commission.
9:15:21 AM
Co-Chair Hoffman CLOSED public testimony.
Senator Kiehl reviewed a new zero fiscal note from the
Department of Commerce, Community and Economic Development,
OMB Component 2879.
Senator Cronk thanked the committee for their time.
SB 63 was HEARD and HELD in committee for further
consideration.
SENATE BILL NO. 54
"An Act relating to registered interior designers and
interior design; extending the termination date of the
State Board of Registration for Architects, Engineers,
and Land Surveyors; relating to the State Board of
Registration for Architects, Engineers, and Land
Surveyors; establishing requirements for the practice
of registered interior design; relating to the
practice of architecture, engineering, land surveying,
landscape architecture, and registered interior design
by partnerships; relating to liens for labor or
materials furnished; relating to the procurement of
landscape architectural and interior design services;
and providing for an effective date."
9:16:04 AM
Co-Chair Hoffman relayed that the committee had previously
heard the bill and had taken public testimony.
9:16:37 AM
SENATOR MATT CLAMAN, SPONSOR, explained that SB 54 did
three things: extended the statutory authorization for the
Board of Architects, Engineers, and Land Surveyors (AELS
Board), added Registered Interior Designers to the board's
jurisdiction, and made statutory changes requested by the
board. The bill would allow the AELS Board to continue the
important work of regulating design professionals in Alaska
and add a qualified interior designer to the board.
9:17:28 AM
AT EASE
9:18:16 AM
RECONVENED
Senator Kiehl MOVED to ADOPT proposed committee substitute
for SSSB 54, Work Draft 34-LS0044\H (Gunther, 4/10/25).
Co-Chair Hoffman OBJECTED for discussion.
9:18:54 AM
LIZ HARPOLD, STAFF, SENATOR DONNY OLSON, explained that the
changes in the bill were the result of amendments offered
by the sponsor in the previous committee. The changes were
as follows:
Title: Adds language to conform to changes adopted in
the previous version of the bill. Specifically, it
includes references to "project costs for the
construction, enlargement, or improvement of
airports;" and "relating to immunity for design
professionals; relating to the cost of construction
for recreation centers;" and "relating to the cost of
construction of safe water and hygienic sewage
disposal facilities in villages."
Section 1: New section. Provides a definition of
project costs.
Sections 2 - 6: Previous sections 1 - 5, renumbered.
Section 7: Previous section 6, updated to reflect that
the Architect, Engineers and Land Surveyors Board
shall adopt through regulation the definition for
"interior design" and determine what type of documents
a "registered interior designer" is authorized to sign
and stamp with an official seal to obtain requisite
permits for construction projects. Sections 8 32:
Previous sections 7 31, renumbered.
Section 33: Previous section 32, updated to include
the definition of registered interior designers to
coincide with the changes made in new section 7.
Section 34: Previous section 33, renumbered.
Section 35: New section. Adds definition for cost of
construction.
Sections 36 39: Previous sections 34 37,
renumbered. Section 40: New section. Conforming
changes. Section 41: New section. Conforming changes.
Section 42: Previous section 38, renumbered.
Section 43: New section, conforming changes.
Sections 44 - 48: Previous section 39 43, renumbered
and updated with conforming changes.
Co-Chair Hoffman WITHDREW his OBJECTION. There being NO
OBJECTION, it was so ordered.
9:20:25 AM
Co-Chair Stedman asked the sponsor whether all the
professions under the legislation were in support of the
bill.
Senator Claman said that architect had withdrawn their
opposition and were ambivalent to the legislation. He said
that the AELS board was in support of the current bill
version.
Senator Kiehl MOVED to report CSSB 54 out of Committee with
individual recommendations and the accompanying fiscal
note. There being NO OBJECTION, it was so ordered.
CS SSSB 54(FIN) was REPORTED out of committee with one "do
pass" recommendation and with five "no recommendation"
recommendations, and with one forthcoming fiscal impact
note from the Department of Commerce, Community and
Economic Development.
9:21:40 AM
AT EASE
9:23:20 AM
RECONVENED
SENATE BILL NO. 86
"An Act relating to the business of money
transmission; relating to licenses for money
transmission, licensure requirements, and registration
through a nationwide multistate licensing system;
relating to the use of virtual currency for money
transmission; relating to authorized delegates of a
licensee; relating to acquisition of control of a
license; relating to record retention and reporting
requirements; authorizing the Department of Commerce,
Community, and Economic Development to cooperate with
other states in the regulation of money transmission;
relating to permissible investments; relating to
violations and enforcement of money transmission laws;
relating to exemptions to money transmission licensure
requirements; relating to payroll processing services;
relating to currency exchange licenses; amending Rules
79 and 82, Alaska Rules of Civil Procedure; and
providing for an effective date."
9:23:25 AM
Co-Chair Hoffman relayed that the committee had heard the
bill on April 1, 2025, and had taken public testimony.
9:23:55 AM
Senator Jesse Kiehl, Sponsor, offered a sponsor statement:
Cryptocurrency transactions have exploded in number
and value in recent years. While many Alaskans are
doing well, others have lost tens of millions of
dollars' worth of value in recent cryptocurrency
exchange collapses. Alaska has basic safety and
soundness laws for businesses that transmit money
electronically, but they were written in 2007, before
cryptocurrency existed. So Alaskans today don't often
know if a business holding and moving their assets is
one that gets a basic check-up by the state, or one
that can operate with no rules.
SB 86 modernizes our laws to protect Alaskans, keep a
lid on red tape, and let our state cooperate with
others for maximum efficiency.
The bill transitions Alaska to a new model law
developed jointly by the Conference of State Bank
Supervisors and industry groups. Already adopted by 26
states, it will apply to both cash and crypto and will
1) license money services businesses to keep
fraudsters out of the corporate office, 2) examine the
books to make sure they have enough money or crypto to
cover what customers entrust to them, and 3) prevent
diversion of customers' assets.
The federal government leaves this job to the states,
so SB 86 lets Alaska regulators collaborate with
colleagues from other states and use modern tools like
the Nationwide Multistate Licensing System and
Registry to increase efficiency and reduce costs. But
it does not doubleregulate businesses like banks or
brokerages that already have safety rules to follow.
The bill also updates fees for money service
businesses. Today, multinational money transmitters
and Alaska mom-and-pop establishments pay the same
'one-size-fits all' license fees. SB 86 will ramp the
charge up or down based on volume so it's not a
barrier to new businesses. Importantly, SB 86 protects
Alaskans' assets without regard to technology, so the
next innovation in value can flourish just as safely
as the ones we have today.
Co-Chair Stedman MOVED to ADOPT proposed committee
substitute for SB 86, Work Draft 34-LS0305\T (Gunther,
3/28/25).
Co-Chair Hoffman OBJECTED for discussion.
9:25:54 AM
COLE OSOWSKI, INTERN, SENATOR JESSE KIEHL, discussed an
Explanation of Changes document (copy on file):
The following changes were made from Version I to
Version T of Senate Bill 86:
? Page 9, line 21: Deleted redundant language "that
virtual currency is not money."
? Page 16, line 6: Replaced "all records the department
reasonably requires" with "records necessary for the
department" to clarify the scope of the records
subject to departmental examination.
? Page 23, line 13: Replaced "All records" with
"Records" for conciseness.
? Page 23, line 15; Inserted "only as permitted" for
consistency and to restrict the scope of record
inspections to those specified in statute.
? Page 38, line 22: Increased daily maximum civil
penalty from $1,000 to $10,000, to conform with other
existing civil penalties like mortgage licensees.
? Page 55, lines 6-11: Added transitional regulatory
authority.
? Page 55, lines 17-18: Updated the effective date to
July 1, 2026 to allow enough time to adopt
regulations.
9:26:35 AM
Co-Chair Stedman clarified that the CS was Version T.
Co-Chair Hoffman WITHDREW his OJBECTION. There being NO
OBJECTION, it was so ordered.
Co-Chair Stedman MOVED to report CSSB 86(FIN) out of
Committee with individual recommendations and the
accompanying fiscal notes.
There being NO OBJECTION, it was so ordered.
CSSB 86(FIN) was REPORTED out of committee with four "do
pass" recommendations and two "no recommendation"
recommendations, and with one previously published fiscal
impact note: FN 1(CED).
9:27:34 AM
AT EASE
9:29:11 AM
RECONVENED
SENATE BILL NO. 29
"An Act relating to an executive administrator for the
Big Game Commercial Services Board."
9:29:12 AM
Co-Chair Hoffman relayed that the committee heard the bill
on April 1, 2025.
9:29:48 AM
SENATOR JESSE BJORKMAN, SPONSOR, relayed that the bill
built on the work on Senator Cronk, and provided a sponsor
statement:
Senate Bill 29 secures the executive administrator
position to the Big Game Commercial Services Board in
statute. This position is paid for by guide licensing
fees and has been requested by the Big Game Commercial
Services Board to make their work more efficient and
cost effective. Guiding has many complex regulations.
Designating a temporary position to concentrate on
licensing functions, examinations and investigations
is current practice and it is working well. Securing
this position in statute adds assurance to the
continuation of this effective process.
The Big Game Commercial Services Board plays an
important role in the management of commercial game
hunters in the interest of the State's wildlife
resources. They fulfill this role by managing all
hunting guide licensing functions, administering board
meetings, assisting the board with maintaining and
writing 29 written and practical exams, generating
reports, and assisting Department of Commerce
Community and Economic Development's Investigative
Services and Department of Public Safety in game
investigations.
New licensing examiners require extensive training,
and with board members only serving 4 years, it seems
like they depart as soon as they are up to speed. This
has led to administrative errors that were highlighted
in the recent audit of the Board. The Board was
previously sharing an executive administrator with the
Board of Marine Pilots to help address the workload.
While this helped, the two boards were too complex. As
a result, a temporary position was created in the FY24
and FY25 budgets to add this executive administrator
using Designated General Funds paid for by guide
licensing fees. This bill would continue using the
same funding source and codify this position and its
range into statute.
9:32:09 AM
AT EASE
9:32:20 AM
RECONVENED
Co-Chair Stedman MOVED to report SB 29 out of Committee
with individual recommendations and the accompanying fiscal
note. There being NO OBJECTION, it was so ordered.
SB 29 was REPORTED out of committee with four "do pass"
recommendations, two "no recommendation" recommendations`
and with one previously published fiscal impact note: FN
1(CED).
9:33:01 AM
AT EASE
9:34:44 AM
RECONVENED
Co-Chair Hoffman discussed the agenda for the next meeting.
ADJOURNMENT
9:35:06 AM
The meeting was adjourned at 9:35 a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB 54 APDC 2025 SB 54 Letter of Support.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Testimony Cash.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Testimony Wiltfong.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Testimony Fritz.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Testimony Goneau.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Testimony Schmidt.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Letter in Support_KConway_Olson.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 NCARB addressing AK SB 54.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 CIDQ Letter of Support- SB 54 (SF).pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Benoit Testimony.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Testimony Killian.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 IIDA NPC Testimony.msg |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Please Pass - Extend AELS Board; Register Interior Designers.msg |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 AIA AK Position on 2.3.25.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Supporting Document-USACE Contract Opportunity 01.31.2024 - Copy.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Supporting Document-Sunset Review of AELS Board 04.07.2024 - Copy.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Supporting Document-ASID Report 03.09.2023 - Copy.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Supporting Document- Letters (Combined) - Copy.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Legislative Legal Memo 1.5.2025 - Copy.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Sponsor Statement Version G 3.18.2025 - Copy.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Sectional Analysis Version G 3.18.2025 - Copy.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 DCCED-CBPL-032125.pdf |
SFIN 3/27/2025 9:00:00 AM SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Colin Maynard Testimony to SFinance March 27 2025.pdf |
SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 86 work draft ver T.pdf |
SFIN 4/11/2025 9:00:00 AM |
SB 86 |
| SB 86 Explanation of Changes ver I to T.pdf |
SFIN 4/11/2025 9:00:00 AM |
SB 86 |
| SB 54 2025.04.10 SB54 Version G Amendments Explanation.pdf |
SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 work draft ver H.pdf |
SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Leg Legal Memo - Amend. G.5.pdf |
SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 Amendments 1 & 2 Claman.pdf |
SFIN 4/11/2025 9:00:00 AM |
SB 54 |
| SB 54 explanation of changes ver G to H.pdf |
SFIN 4/11/2025 9:00:00 AM |
SB 54 |