Legislature(1993 - 1994)
02/02/1994 02:20 PM Senate HES
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SENATE HEALTH, EDUCATION AND SOCIAL SERVICES COMMITTEE
February 2, 1994
2:20 p.m.
MEMBERS PRESENT
Senator Steve Rieger, Chairman
Senator Bert Sharp, Vice-Chairman
Senator Loren Leman
Senator Mike Miller
Senator Judy Salo
MEMBERS ABSENT
Senator Jim Duncan
Senator Johnny Ellis
COMMITTEE CALENDAR
SENATE BILL NO. 217
"An Act relating to land of the University of Alaska and
authorizing the University of Alaska to select additional state
public domain land."
SENATE BILL NO. 225
"An Act relating to credits against certain insurance taxes for
contributions to certain educational institutions; and providing
for an effective date."
CS FOR HOUSE BILL NO. 79(FIN) am
"An Act relating to recovery from a parent or legal guardian of
wilful or malicious destruction of property by a minor."
HOUSE JOINT RESOLUTION NO. 37
Urging the Congress to enact H.R. 1033 or similar legislation
authorizing construction grants for publicly-owned treatment works
in economically distressed rural communities.
SENATE BILL NO. 248
"An Act relating to services for and protection of vulnerable
adults; and providing for an effective date."
SENATE BILL NO. 249
"An Act relating to assisted living homes; repealing references to
residential facilities for dependent adults; and providing for an
effective date."
SENATE BILL NO. 250
"An Act relating to the Older Alaskans Commission and staff of the
commission; changing the name of the Older Alaskans Commission to
the Alaska Commission on Aging and extending the termination date
of the commission; relating to the Alaska Pioneers' Homes Advisory
Board; relating to services and programs for older Alaskans; and
providing for an effective date."
PREVIOUS SENATE COMMITTEE ACTION
SB 217 - See Health, Education & Social Services minutes dated
1/26/94.
SB 225 - No previous action to record.
HB 79 - No previous action to record.
HJR 37 - See Community & Regional Affairs minutes dated
1/11/94.
SB 248 - No previous action to record.
SB 249 - No previous action to record.
SB 250 - No previous action to record.
WITNESS REGISTER
Senator Frank
Prime Sponsor
State Capitol
Juneau, Alaska 99801-1182
POSITION STATEMENT: Supported SB 217.
Jack Chenoweth
Legal Services
Legislative Affairs Agency
130 Seward Street
Juneau, Alaska 99801-2105
POSITION STATEMENT: Reviewed CSSB 217.
Brian Rogers
Vice-President of Finance
University of Alaska
207 D Butrovich Bldg.
University of Alaska
Fairbanks, Alaska 99775
POSITION STATEMENT: Supported SB 217.
Senator Kerttula
Prime Sponsor
State Capitol
Juneau, Alaska 99801-1182
POSITION STATEMENT: Supported SB 225.
Carol Carrol
Staff to Senator Kerttula
State Capitol
Juneau, Alaska 99801-1182
POSITION STATEMENT: Reviewed SB 225.
Representative Bunde
Prime Sponsor
State Capitol
Juneau, Alaska 99801-1182
POSITION STATEMENT: Reviewed HB 79.
Vincent Usera
Assistant Attorney General, Civil Division
Department of Law
P.O. Box 110300
Juneau, Alaska 99811-0300
POSITION STATEMENT: Offered to answer questions.
George Bingham
Superintendent of Claims
State Farms, Southeast
3329 Park Place
Juneau, Alaska
POSITION STATEMENT: Offered information.
Roger McKowan
Aide to Representative Hoffman
State Capitol
Juneau, Alaska 99801-1182
POSITION STATEMENT: Reviewed HJR 37.
Keith Kelton
Division Director
Department of Environmental Conservation
410 Willoughby Ave.
Suite 105
Juneau, Alaska 99801-1795
POSITION STATEMENT: Offered information.
Jenny Norris
Volunteer, Alaska Environmental Lobby
P.O. Box 22151
Juneau, Alaska
POSITION STATEMENT: Supported HJR 37.
Sherrie Goll
Kid Pac
P.O. Box 22156
Juneau, Alaska
POSITION STATEMENT: Supported HJR 37.
Nancy Usera
Commissioner, Department of Administration
P.O. Box 110200
Juneau, Alaska 99811-0200
POSITION STATEMENT: Reviewed SB 248, SB 249, SB 250.
Donald Hoover
Chairman, Older Alaskans Commission
1029 Kodiak Street
Fairbanks, Alaska 99709
POSITION STATEMENT: Supported SB 248, SB 249, SB 250.
ACTION NARRATIVE
TAPE 94-4, SIDE A
Number 001
CHAIRMAN RIEGER called the Senate Health, Education and Social
Services (HESS) Committee to order at 2:20 p.m.
Number 015
CHAIRMAN RIEGER introduced SB 217 (INCREASE LAND GRANT TO UNIV. OF F
ALASKA) as the first order of business before the committee.
SENATOR FRANK stated that Jack Chenoweth had a new committee
substitute incorporating the previously discussed amendments.
JACK CHENOWETH explained, as does his memorandum, the six changes
incorporated in his committee substitute.
SENATOR MILLER moved to adopt Chenoweth's 1/31/94 work draft of
CSSB 217, letter J. Hearing no objections, it was so ordered.
SENATOR LEMAN asked for further explanation of Chenoweth's changes
to AS 14.40.365. MR. CHENOWETH directed Senator Leman to page 4
lines 14 - 20 and explained that his expansion of (a)(1) into
(a)(1) - (3) and his new version of (a)(3) attempt to clarify the
land selection issue.
CHAIRMAN RIEGER asked what the reference to "other than" means.
MR. CHENOWETH specified that there are many possessory interests
and the five listed on page 4 line 14 are the only ones allowing
the university selection; any other possessory interest or
encumbrance not of the five listed cannot be selected by the
university.
Number 182
SENATOR MILLER moved CSSB 217 HES out of committee with individual
recommendations. SENATOR LEMAN objected.
SENATOR LEMAN stated that the Department of Natural Resources (DNR)
has expressed their desire not to include oil and gas lease land to
the university, but reserve it for the state. He did not know if
this issue would hamper the bill. Senator Leman removed his
objection.
SENATOR FRANK acknowledged DNR's objection to include oil and gas
land. He said they should be able to reach a compromise that is
reasonable and can be worked on in Resources.
SENATOR MILLER said that this issue is a policy call. He stated
that at some point the university is a state agency. He pointed
out that good lands should be available to the university for
selection in order to provide income for the university and jobs in
the community.
BRIAN ROGERS, Vice-President of Finance for the University of
Alaska system, stated support for SB 217 in its current form and is
prepared to deal with the oil and gas issue in the next committee.
CHAIRMAN RIEGER asked if there were any objections to the motion to
move CSSB 217 out of committee with individual recommendations.
Hearing no objections, it was so ordered.
Number 231
CHAIRMAN RIEGER introduced SB 225 (INSURANCE TAX CREDIT: GIFTS TO O
COLLEGES) as the next bill before the committee.
SENATOR KERTTULA, the prime sponsor, stated that he was prepared to
answer questions, but preferred that Carol Carrol read his
statement.
CAROL CARROL, staff to Senator Kerttula, reviewed SB 225.
SENATOR KERTTULA emphasized that private institutions provide a
great deal of private support for education in this state which
decreases the tax payers burden, therefore, continuing private
support is in the best interest of everyone. He said that SB 225
is strongly pushed by the University of Alaska and the Alaska
Pacific University. He does not see a downside to this
legislation, particularly since insurance companies are not allowed
to contribute more than fifty percent.
Number 303
SENATOR LEMAN asked why there is no extension of support to K-12 as
there is for higher education.
SENATOR KERTTULA stated that he had not considered such for K-12
whether public or private. He explained that higher education's
increasing tuition costs for out of state institutions were
creating more responsibilities. He expressed the need to provide
broad opportunities to Alaskan students. He pointed out the
historic background in providing annuity programs for universities
across the country.
SENATOR RIEGER asked if the language located on the bottom of page
1 and the top of page 2 referring to a "qualified institution" is
the same language describing institutions eligible for contribution
under existing statutes. MR. CHENOWETH said yes.
JACK CHENOWETH discussed the errors made in the statutes from the
1991 legislature which are also present in SB 225. He suggested
correcting it in SB 225 by deleting the words "or by an Alaska
university foundation" from the bottom of page 1 and the top of
page 2 and move them behind "accredited by a regional accreditation
association." This change would then speak to two or four year
colleges accredited by a regional accreditation association or by
an Alaska university foundation which was the original intent of
the 1991 legislature.
CHAIRMAN RIEGER expressed concern with the language used in the
requirement for accreditation for the two or four year colleges.
He asked if it would be the same as a foundation, which is on
behalf of an Alaskan university. MR. CHENOWETH stated that he
cannot find that foundations are accredited and that is not what
the 1991 legislature intended. This can be written to the
committee's desire with respect to this particular tax, but Mr.
Chenoweth was offering the corrections for consistency with the
publisher's corrections of the statutes.
CHAIRMAN RIEGER requested that the change include a description of
foundation which would link it to the institutions, which are the
subject of the bill. This would make the foundations for the same
purposes as the description of institutions. SENATOR KERTTULA
agreed to clean-up the language for this bill.
CHAIRMAN RIEGER held SB 225 until the committee meeting on Friday.
Number 426
CHAIRMAN RIEGER introduced HB 79 (DAMAGE TO PROPERTY BY MINORS)
(FIN) AM as the next order of business before the committee.
REPRESENTATIVE CON BUNDE, representing District 18 and prime
sponsor, reviewed HB 79 and the desire to increase the recovery
from $5000 to $10,000.
SENATOR SHARP clarified that the district court allows up to
$50,000 in recovery. He posed an example to clarify how HB 79
would actually work.
REPRESENTATIVE CON BUNDE stated that existing statute limits
recovery to $2000, HB 79 would raise that limit to $5000. He
expressed the need to raise the recovery to $10,000. He noted that
a $2000 recovery for a $20,000 car is not much; furthermore, one is
often not able to seek recovery from juveniles. There is runaway
legislation to protect parents against financial obligation when
the juvenile is delinquent.
SENATOR MILLER asked if section 2 of HB 79 addresses the runaway
issue. REPRESENTATIVE BUNDE was concerned that the section may not
carry strength of law in court.
SENATOR SALO asked if section 2 addresses when the runaway has to
be reported in order to eliminate the parents financial obligation,
while disallowing retrospective claims. REPRESENTATIVE BUNDE said
that investigators would deal with such issues. CHAIRMAN RIEGER
pointed out that line 1 page 2 only eliminates parental obligation
for acts of the minor after the runaway is reported.
Number 500
SENATOR SALO requested clarification of the $50,000 liability limit
for civil damages regarding HB 79. REPRESENTATIVE BUNDE noted that
a $5000 limit for juveniles was small in comparison to a $50,000
limit for adults.
SENATOR LEMAN commented that the responsibility for compensation of
damages should lay closest to the person doing the damage. He
suggested that $5000 was too little and should be raised.
REPRESENTATIVE CON BUNDE specified that the average in other states
is between $10,000 and $15,000. The question of who should suffer
the greater loss was mentioned.
VINCENT USERA, Assistant Attorney General in the Civil Division of
the Department of Law, offered to answer questions.
SENATOR SALO stated that the House HESS testimony referred to
$50,000, but the bill ended up only raising the money to $5000.
She reiterated the desire to clarify the $50,000 limit.
VINCENT USERA said that $50,000 was the jurisdictional limit of
district court. He pointed out that district court, a court of
minimal jurisdiction, could take cases up to $50,000. The
comparison is $5000 to $50,000 in terms of the magnitude of the
offense. Without this statute, there would be no way to recover at
all from the parent for a child. He noted that the legislation
increases the limit of the common law currently in effect.
SENATOR MILLER asked if the definition of "person" in the first
section includes a corporation. REPRESENTATIVE BUNDE stated that
yes the definition includes a corporation.
SENATOR MILLER asked if a person recovers the $5000 in a civil
court action, who would be responsible for the attorney's fee.
VINCENT USERA said that attorney's fees are awardable under the
discretion of the court, normally 20 percent of the award. These
cases seeking under $5000 would usually be limited to Small Claims
Court which would not require an attorney. The defendant has the
opportunity to move the case to district court and be subject to
the formal rules. Mr. Usera agreed with Senator Miller's
speculation that a $2000 recovery is not worth the time and effort
to go to court.
Number 580
SENATOR LEMAN moved to amend the amount on line 7 of page 1 from
$5000 to $25,000. CHAIRMAN RIEGER objected.
TAPE 94-4, SIDE B
Number 578
SENATOR LEMAN explained that he believed in the principle of
restitution and that raising the limit to $25,000 comes closer to
allowing pay back of damages.
SENATOR SALO expressed interest in the circumstance of people
unable to pay. She proposed that one would find a greater pool of
people unable to pay at $25,000 than at $5000; in this case what
would happen.
REPRESENTATIVE CON BUNDE specified that like any legal situation if
the court places a judgement against you it could result in
garnishing wages, permanent fund dividends and assets.
GEORGE BINGHAM, Superintendent of Claims for State Farms for
Southeast, commented that in these type situations an insurance
recovery limit of $2000 would probably cover 40-50 percent of the
claims, $5000 would cover 80 percent, $10,000 would probably cover
95 percent of the claims. There is always 5 to 10 percent that
will not be covered.
SENATOR SHARP asked if the 80 to 90 percent that Mr. Bingham spoke
of included auto claims whether insured or not. MR. BINGHAM said
that was correct and only 5 percent of the claims by minors are
over $10,000. SENATOR SHARP expressed his dislike with
establishing a maximum limit; why should someone damaged over the
maximum amount be penalized he asked.
SENATOR MILLER pointed out that most of the 5 percent are protected
with the $25,000 limit. Chances are that 95 percent of the claims
will not get up to the $25,000 range.
SENATOR LEMAN asked what percentage $25,000 would cover. MR.
BINGHAM stated that 97 percent would be covered.
CHAIRMAN RIEGER reminded the committee of the previous motion to
amend the amount on page 1 line 7 from $5000 to $25,000. A hand
vote was taken with the following result: Senators Miller, Sharp,
and Leman voted "Yea" and Senators Rieger and Salo voted "Nay".
The motion was carried.
SENATOR MILLER moved Senate Committee Substitute for CSHB 79 (HES)
out of committee with individual recommendations. Hearing no
objections, it was so ordered.
Number 518
CHAIRMAN RIEGER introduced HJR 37 (FED MONEY FOR RURAL WATER/SEWER R
PROJECTS) as the next order of business before the committee.
ROGER MCKOWAN, Aide to Representative Hoffman, discussed
Representative Hoffman's resolution.
SENATOR MILLER asked if this legislation would require a 50 percent
state match. ROGER MCKOWAN clarified that this would require a 10
percent state match to a 90 percent federal contribution, $300
million nation-wide.
ROGER MCKOWAN mentioned that the unique needs of the state of
Alaska had been presented to the sponsor in Washington. Three
quarters of the native waste problems of this country are located
in Alaska. He said that these needs would be considered.
SENATOR LEMAN asked if this program was the same as the programs
for funding along the Texas boarder.
KEITH KELTON, Division Director, the Department of Environmental
Conservation, clarified that Senator Leman was referring to the
Colonias program which has been receiving direct appropriations
through the efforts of their congressional staff. These
appropriations have been coming from Environmental Protection
Agency (EPA) money for this type of authorization. This is a
separate funding program outside of what the EPA currently has
available.
JENNY NORRIS, Volunteer for the Alaska Environmental Lobby, stated
the support of HJR 37 by the lobby. She said that the success of
such programs is dependent upon active community participation in
planning and implementation. These communities must have access to
appropriate technology and training, regulations sensitive to
cultural needs, and solutions that are environmentally and
economically practical in design and maintenance. She urged
support for HJR 37.
SENATOR LEMAN asked for an example of an unethical response. MS.
NORRIS specified that unethical means not appropriating training or
technology within the community, in other words, not allowing
community participation.
SHERRIE GOLL, representing Kid Pac, supported HJR 37. She pointed
out that a 1993 Alaskan community survey of communities with
populations under 1,000 revealed that 48 percent of the children
living in those communities were living without piped water and
sewer. Such circumstances make the children vulnerable to the
health risks mentioned in the bill.
SENATOR LEMAN suggested that in some instances in this state a non-
pipe system can and should be used. SHERRIE GOLL agreed with
Senator Leman and she said that alternatives should be considered.
She reiterated that the sanitation risks are present and should be
dealt with. If federal money is available to help, she expressed
the desire to use that money to correct the situation.
SENATOR SHARP made a motion to move HJR 37 out of committee with
individual recommendations. Hearing no objections, it was so
ordered.
Number 425
CHAIRMAN RIEGER introduced SB 248 (ASSIST & PROTECT VULNERABLE
ADULTS) as the next order of business before the committee.
NANCY USERA, Commissioner of the Department of Administration,
discussed the background of SB 248, SB 249, and SB 250. She
explained that SB 248 goes in tandem with the Administrative Order
of the Governor which provides for one central division to deal
with senior services, the Division of Senior Services. By
consolidating these services there is a more efficient use of
administrative time and expenses as well as creating a central
resource center for seniors.
Ms. Usera explained that SB 249 offers independence and variety for
seniors in assisted housing. SB 249 allows alternative care in
order to foster and maintain people's independence as affordably as
possible.
Ms. Usera stated that SB 250 moves the responsibility for adult
protection services into the Division of Senior Services. She
commented that this bill represents a shift in thinking for the
state. With this legislation, the state is considering the
consumer in its providing of services. She emphasized that SB 250
maximizes the use of existing senior network programs in the
Division of Senior Services to support the adult protection
functions.
Ms. Usera specified that all of these bills would work together
forming an improved network for senior citizens in Alaska and a
more productive use of the available funding for senior services.
Number 350
DONALD HOOVER, Chairman of the Older Alaskans Commission, stated
that the commission supports all three of the bills with their full
concept with one exception. The bills call for the Governor to
appoint the chair persons of the Advisory Board and the Commission.
He did not believe that those appointments were in complete
accordance with the Older Alaskans Commission's bill.
SENATOR LEMAN asked what Mr. Hoover would recommend.
DONALD HOOVER explained that the Commission and the Advisory Board
were appointed by the Governor, therefore, they were all Governor
appointees. In that respect, he suggested that the commission
should elect their own chairman, which would help to free it from
politics.
SENATOR SHARP asked how the position of the chairman is arrived at
now. MR. HOOVER explained that currently the Commission and the
Advisory Board for Pioneer Homes elect their chairman from the
Governor appointed members.
SENATOR LEMAN inquired about a resolution of this issue.
NANCY USERA offered another point of view. She stated that if one
of the roles of these boards is to be an advocate for their
programs then that advocacy is served best if there is a personal
relationship between the Governor and the chairman. She said that
advocacy is politics and access. She suggested that having the
Governor appoint the chairman enhances and illustrates the
importance of the program.
SENATOR LEMAN did not know if Ms. Usera's point of view would
violate the principle of creating a board that can work with the
Governor. MS. USERA replied that there are many different models.
SENATOR SHARP suggested that if the Governor appoints the chairman
the cohesiveness of the committee could be distorted.
CHAIRMAN RIEGER requested the presence of the Department of Law for
SB 248 which will be held over to Friday's meeting. Chairman
Rieger also held SB 249 and SB 250 until Friday.
There being no further business to come before the committee,
Chairman Rieger adjourned the meeting at 3:30 p.m.
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