Legislature(2021 - 2022)BELTZ 105 (TSBldg)

03/28/2022 01:30 PM Senate LABOR & COMMERCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 234 BROADBAND: OFFICE, GRANTS, PARITY TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
+= HB 111 DENTAL HYGIENIST ADVANCED PRAC PERMIT TELECONFERENCED
Moved SCS CSHB 111(L&C) Out of Committee
-- Testimony <Invitation Only> --
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
                    ALASKA STATE LEGISLATURE                                                                                  
          SENATE LABOR AND COMMERCE STANDING COMMITTEE                                                                        
                         March 28, 2022                                                                                         
                           1:35 p.m.                                                                                            
                                                                                                                                
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Mia Costello, Chair                                                                                                     
Senator Peter Micciche                                                                                                          
Senator Elvi Gray-Jackson                                                                                                       
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Senator Joshua Revak, Vice Chair                                                                                                
Senator Gary Stevens                                                                                                            
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
COMMITTEE SUBSTITUTE FOR HOUSE BILL NO. 111(FIN)                                                                                
"An Act relating  to the practice of dental  hygiene; relating to                                                               
advanced  practice permits  for  dental  hygienists; relating  to                                                               
dental assistants; prohibiting  unfair discrimination under group                                                               
health  insurance  against  a  dental   hygienist  who  holds  an                                                               
advanced  practice permit;  relating  to  medical assistance  for                                                               
dental hygiene services; and providing for an effective date."                                                                  
                                                                                                                                
     - MOVED SCS CSHB 111(L&C) OUT OF COMMITTEE                                                                                 
                                                                                                                                
SENATE BILL NO. 234                                                                                                             
"An  Act  establishing  the office  of  broadband;  creating  the                                                               
broadband  parity  adjustment  fund; establishing  the  Statewide                                                               
Broadband Advisory Board; and providing for an effective date."                                                                 
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 111                                                                                                                  
SHORT TITLE: DENTAL HYGIENIST ADVANCED PRAC PERMIT                                                                              
SPONSOR(s): REPRESENTATIVE(s) SPOHNHOLZ                                                                                         
                                                                                                                                
02/24/21       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/24/21       (H)       L&C, FIN                                                                                               
03/29/21       (H)       L&C AT 3:15 PM BARNES 124                                                                              
03/29/21       (H)       Heard & Held                                                                                           
03/29/21       (H)       MINUTE(L&C)                                                                                            
03/31/21       (H)       L&C AT 3:15 PM BARNES 124                                                                              
03/31/21       (H)       Moved CSHB 111(L&C) Out of Committee                                                                   
03/31/21       (H)       MINUTE(L&C)                                                                                            
04/05/21       (H)       L&C RPT CS(L&C) 7DP                                                                                    
04/05/21       (H)       DP: KAUFMAN, SCHRAGE, MCCARTY, NELSON,                                                                 
                         SNYDER, FIELDS, SPOHNHOLZ                                                                              
05/11/21       (H)       FIN AT 1:30 PM ADAMS 519                                                                               
05/11/21       (H)       INVASIVE SPECIES MANAGEMENT                                                                            
05/15/21       (H)       FIN AT 10:00 AM ADAMS 519                                                                              
05/15/21       (H)       Heard & Held                                                                                           
05/15/21       (H)       MINUTE(FIN)                                                                                            
05/19/21       (H)       FIN AT 1:30 PM ADAMS 519                                                                               
05/19/21       (H)       <Bill Hearing Canceled>                                                                                
02/02/22       (H)       FIN AT 9:00 AM ADAMS 519                                                                               
02/02/22       (H)       Moved CSHB 111(FIN) Out of Committee                                                                   
02/02/22       (H)       MINUTE(FIN)                                                                                            
02/04/22       (H)       FIN RPT CS(FIN) 6DP 1NR                                                                                
02/04/22       (H)       DP: ORTIZ, EDGMON, THOMPSON, WOOL,                                                                     
                         JOSEPHSON, FOSTER                                                                                      
02/04/22       (H)       NR: MERRICK                                                                                            
02/17/22       (H)       TRANSMITTED TO (S)                                                                                     
02/17/22       (H)       VERSION: CSHB 111(FIN)                                                                                 
02/22/22       (S)       READ THE FIRST TIME - REFERRALS                                                                        
02/22/22       (S)       L&C, FIN                                                                                               
03/21/22       (S)       L&C AT 1:30 PM BELTZ 105 (TSBldg)                                                                      
03/21/22       (S)       Heard & Held                                                                                           
03/21/22       (S)       MINUTE(L&C)                                                                                            
03/28/22       (S)       L&C AT 1:30 PM BELTZ 105 (TSBldg)                                                                    
                                                                                                                                
BILL: SB 234                                                                                                                  
SHORT TITLE: BROADBAND: OFFICE, GRANTS, PARITY                                                                                  
SPONSOR(s): LABOR & COMMERCE                                                                                                    
                                                                                                                                
03/16/22       (S)       READ THE FIRST TIME - REFERRALS                                                                        
03/16/22       (S)       L&C, FIN                                                                                               
03/23/22       (S)       L&C AT 1:30 PM BELTZ 105 (TSBldg)                                                                      
03/23/22       (S)       Scheduled but Not Heard                                                                                
03/28/22       (S)       L&C AT 1:30 PM BELTZ 105 (TSBldg)                                                                      
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
KATIE MCCALL, Staff                                                                                                             
Senator Mia Costello                                                                                                            
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Presented the changes in the Senate                                                                       
Committee Substitute (SCS), version G, for HB 111.                                                                              
                                                                                                                                
CHELSEA WARD-WALLER, Staff                                                                                                      
Representative Ivy Spohnholz                                                                                                    
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Stated that the sponsor supports the changes                                                              
in the SCS for HB 111.                                                                                                          
                                                                                                                                
KATIE MCCALL, Staff                                                                                                             
Senator Mia Costello                                                                                                            
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Introduced SB 234 on behalf of the                                                                        
committee.                                                                                                                      
                                                                                                                                
CHRISTINE O'CONNER, Executive Director                                                                                          
Alaska Telecom Association (ATA)                                                                                                
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Provided invited testimony in support of SB
234.                                                                                                                            
                                                                                                                                
MARK SPRINGER, Consultant                                                                                                       
Yukon Kuskokwim Delta Tribal Broadband Consortium                                                                               
Bethel, Alaska                                                                                                                  
POSITION STATEMENT: Testified in support of SB 234.                                                                           
                                                                                                                                
HAROLD JOHNSTON, President and Founder                                                                                          
Alaska Tribal Broadband                                                                                                         
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Voiced concerns about SB 234.                                                                             
                                                                                                                                
SHAWN WILLIAMS, Vice President                                                                                                  
Government Affairs and Strategy                                                                                                 
Pacific Dataport Inc.                                                                                                           
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified in support of SB 234.                                                                           
                                                                                                                                
LESIL MCGUIRE, Consultant                                                                                                       
OneWeb                                                                                                                          
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified in support of SB 234.                                                                           
                                                                                                                                
BRITTANY WOODS-ORRISON, Native Movement                                                                                         
Alaska Public Interest Research Group (AkPIRG)                                                                                  
Rampart, Alaska                                                                                                                 
POSITION STATEMENT:  Testified during  the hearing  on SB  234 to                                                             
highlight  the problems  and  high cost  of  internet service  in                                                               
rural Alaska.                                                                                                                   
                                                                                                                                
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
1:35:23 PM                                                                                                                    
CHAIR MIA COSTELLO called the  Senate Labor and Commerce Standing                                                             
Committee meeting to  order at 1:35 p.m.  Present  at the call to                                                               
order were Senators Gray-Jackson, Micciche, and Chair Costello.                                                                 
                                                                                                                                
          HB 111-DENTAL HYGIENIST ADVANCED PRAC PERMIT                                                                      
                                                                                                                                
1:35:55 PM                                                                                                                    
CHAIR COSTELLO announced  the consideration of CS  FOR HOUSE BILL                                                               
NO. 111(FIN) "An Act relating  to the practice of dental hygiene;                                                               
relating  to advanced  practice  permits  for dental  hygienists;                                                               
relating to dental  assistants; prohibiting unfair discrimination                                                               
under  group  health insurance  against  a  dental hygienist  who                                                               
holds   an  advanced   practice  permit;   relating  to   medical                                                               
assistance  for dental  hygiene  services; and  providing for  an                                                               
effective date."                                                                                                                
                                                                                                                                
CHAIR COSTELLO noted  that this was the second  hearing and there                                                               
was  a Senate  Committee Substitute  (SCS) for  the committee  to                                                               
consider.                                                                                                                       
                                                                                                                                
1:36:24 PM                                                                                                                    
SENATOR MICCICHE moved  to adopt the work  draft Senate Committee                                                               
Substitute  (SCS) for  HB  111, work  order  32-LS0480\G, as  the                                                               
working document.                                                                                                               
                                                                                                                                
1:36:42 PM                                                                                                                    
CHAIR COSTELLO objected for an explanation of the changes.                                                                      
                                                                                                                                
1:36:51 PM                                                                                                                    
KATIE  MCCALL,   Staff,  Senator   Mia  Costello,   Alaska  State                                                               
Legislature,  Juneau, Alaska,  explained  that  the changes  from                                                               
version I to version G for HB 111 are as follows:                                                                               
                                                                                                                                
Page 6,  line 18  the term  "and Social  Services" is  removed to                                                               
reflect the recent  split of the Department of  Health and Social                                                               
Services into two separate departments.                                                                                         
                                                                                                                                
1:37:24 PM                                                                                                                    
CHAIR  COSTELLO   removed  her  objection.  Finding   no  further                                                               
objection, she stated  that version G was adopted.  She asked the                                                               
sponsor's  staff  if  she  would   like  to  comment  before  the                                                               
committee took action on the bill.                                                                                              
                                                                                                                                
1:37:36 PM                                                                                                                    
CHELSEA WARD-WALLER, Staff,  Representative Ivy Spohnholz, Alaska                                                               
State  Legislature,  Juneau,  Alaska,  stated  that  the  sponsor                                                               
supports  the changes  in  the SCS  for HB  111.  She noted  that                                                               
version G also changes the  effective date for the regulations to                                                               
be  after July  1,  2022, which  is the  effective  date for  the                                                               
split.                                                                                                                          
                                                                                                                                
1:38:14 PM                                                                                                                    
SENATOR  MICCICHE moved  to report  the  SCS for  CSHB 111,  work                                                               
order    32-LS0480\G,    from     committee    with    individual                                                               
recommendations and attached fiscal note(s).                                                                                    
                                                                                                                                
1:38:32 PM                                                                                                                    
CHAIR  COSTELLO found  no  objection and  SCS  CSHB 111(L&C)  was                                                               
reported from the Senate Labor and Commerce Standing Committee.                                                                 
                                                                                                                                
1:38:38 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
             SB 234-BROADBAND: OFFICE, GRANTS, PARITY                                                                       
                                                                                                                                
1:42:09 PM                                                                                                                    
CHAIR  COSTELLO   reconvened  the   meeting  and   announced  the                                                               
consideration of  SENATE BILL  NO. 234  "An Act  establishing the                                                               
office  of broadband;  creating the  broadband parity  adjustment                                                               
fund; establishing  the Statewide  Broadband Advisory  Board; and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
She noted that  this was the first hearing and  the intent was to                                                               
hear the introduction followed by invited and public testimony.                                                                 
                                                                                                                                
1:42:40 PM                                                                                                                    
KATIE  MCCALL,   Staff,  Senator   Mia  Costello,   Alaska  State                                                               
Legislature, Juneau, Alaska,  introduced SB 234 on  behalf of the                                                               
committee,  paraphrasing  the  sponsor  statement  that  read  as                                                               
follows:                                                                                                                        
                                                                                                                                
      Senate Bill 234 establishes important guidelines for                                                                      
      Alaska to qualify for nearly two billion dollars of                                                                       
     broadband  funds, while  creating parity  between urban                                                                    
     and rural Alaska customers in  a manner that allows for                                                                    
     high speed,  reliable internet services to  be provided                                                                    
     at an affordable rate.                                                                                                     
                                                                                                                                
     In  May 2021,  Governor Dunleavy  issued Administrative                                                                    
     Order No. 322,  to create a Task Force  on Broadband to                                                                    
     develop  policy  objectives   and  steps  necessary  to                                                                    
     prepare Alaska for a large  influx of money designed to                                                                    
     move the  state into the 21st  century by significantly                                                                    
     increasing and improving our broadband infrastructure.                                                                     
                                                                                                                                
     SB 234  seeks to codify the  task force recommendations                                                                    
     through the creation of the  Office of Broadband in the                                                                    
     Department   of  Commerce,   Community,  and   Economic                                                                    
     Development  (DCCED), which  will prioritize  broadband                                                                    
     service expansion  in the following order  of priority:                                                                    
     unserved   areas,   underserved   areas,   and   anchor                                                                    
     institutions. The duties will include:                                                                                     
                                                                                                                                
        • Expand broadband access and digital equity in the                                                                     
          state through federal and local partnerships                                                                          
        •  Focus on broadband infrastructure projects that                                                                      
          meet certain speed, latency, reliability, and                                                                         
          scalability   requirements,    while   maintaining                                                                    
          neutrality within those requirements                                                                                  
        •  Develop a procedure for adoption of broadband                                                                        
          service maps                                                                                                          
        •  Identify scalable and sustainable technologies                                                                       
          that meet the needs of state residents into the                                                                       
          future                                                                                                                
        •  Support broadband equity and affordability for                                                                       
          all state residents                                                                                                   
        • Develop a procedure for the issuance of grants                                                                        
        •  Review and consider recommendations of the                                                                           
          Statewide Broadband Advisory Board (SBAB)                                                                             
                                                                                                                                
     SB   234   also   establishes  the   Broadband   Parity                                                                    
     Adjustment  Fund (BPAF),  which is  a separate  fund in                                                                    
     the  Alaska  treasury. The  BPAF  is  created with  the                                                                    
     express  purpose  of   offsetting  consumer  costs  and                                                                    
     making grants to eligible  beneficiaries to improve the                                                                    
     performance  and  access  to services  where,  in  many                                                                    
     instances, it does not currently exist.                                                                                    
                                                                                                                                
     Lastly,   SB  234   creates  the   Statewide  Broadband                                                                    
     Advisory Board  to provide informed  recommendations on                                                                    
     broadband policy  goals and objectives. The  board will                                                                    
     act in an advisory capacity  to the Broadband Office to                                                                    
     identify  project proposals  and  develop criteria  for                                                                    
     mapping and data collection,  while striving to fulfill                                                                    
     the long list of  recommendations that emerged from the                                                                    
     extensive  work   of  the  Governor's  Task   Force  on                                                                    
     Broadband.                                                                                                                 
                                                                                                                                
1:45:37 PM                                                                                                                    
MS. MCCALL presented the sectional analysis for SB 234 that read                                                                
as follows:                                                                                                                     
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     Section 1 on Page 1, Line 5 - AS 44.33                                                                                 
     Creates a  new section, AS 44.33.910,  to establish the                                                                    
     Office  of Broadband  in  the  Department of  Commerce,                                                                    
     Community,   and  Economic   Development  (DCCED)   and                                                                    
     details the Office of  Broadband's purpose, powers, and                                                                    
     duties, to include:                                                                                                        
          • Expand broadband access and digital equity in the                                                                   
             state through federal and local partnerships, while                                                                
             maintaining technological neutrality, with                                                                         
             prioritization of service expansion in the following                                                               
             order: unserved areas, underserved areas, and anchor                                                               
             institutions.                                                                                                      
          • Develop a procedure for adoption of broadband                                                                       
             service maps that incorporates the forthcoming                                                                     
             Federal Communications Commission (FCC) maps in                                                                    
             accordance with the Federal Broadband DATA Act, and                                                                
             a process to challenge the accuracy of broadband                                                                   
             service maps used to determine availability and                                                                    
             adequacy of service.                                                                                               
          • Streamline permitting processes and encourage                                                                       
             development of in-state workforce to facilitate                                                                    
             expeditious and sustainable infrastructure                                                                         
             deployment.                                                                                                        
          • Establish a grant program and broadband parity                                                                      
             adjustments.                                                                                                       
     Page 3, Line 12 - AS 44.33.915                                                                                           
          •  Establishes the Broadband Parity Adjustment Fund                                                                   
             (BPAF)                                                                                                           
          • The BPAF is a separate fund in the treasury which                                                                   
             allows for grants to offset the costs of broadband                                                                 
             services for eligible consumers.                                                                                 
          • Funds can come from money appropriated by the                                                                       
             legislature, federal funds, and interest earned on                                                                 
             the fund balance.                                                                                                
                                                                                                                                
1:47:20 PM                                                                                                                  
     Page 4, Line 5  AS 44.33.920                                                                                             
          • Establishes the Statewide Broadband Advisory Board.                                                                 
          • The purpose of the Board is to provide input,                                                                       
             recommendations, and advice regarding state                                                                        
             broadband policy, goals, and objectives, as well as                                                                
             project selection, mapping and data collection, and                                                                
             progress made on the recommendations of the                                                                        
             Governor's Task Force on Broadband.                                                                                
          • Composed of eleven members: the commissioners from                                                                  
             DCCED and the Department of Education & Early                                                                      
             Development (DEED), and nine members appointed by                                                                  
             the governor representing:                                                                                         
                                                                                                                                
             similar local government                                                                                           
             similar An Alaska Native Corporation                                                                               
             similar A tribal government                                                                                        
             similar A school district                                                                                          
             similar The University of Alaska                                                                                   
             similar The health care community                                                                                  
             similar The broadband industry                                                                                     
             similar A broadband consumer                                                                                       
                                                                                                                                
     Section 2 on Page 5, Line 2                                                                                            
     This Act sunsets on June 30, 2030                                                                                          
                                                                                                                                
     Section 3 on Page 5, Line 3                                                                                            
        Establishes an immediate effective date under AS                                                                        
     01.10.070(c)                                                                                                               
                                                                                                                                
1:48:46 PM                                                                                                                    
CHAIR COSTELLO turned to the invited testimony.                                                                                 
                                                                                                                                
1:49:07 PM                                                                                                                    
CHRISTINE   O'CONNER,   Executive    Director,   Alaska   Telecom                                                               
Association  (ATA), Anchorage,  Alaska, stated  that SB  234 will                                                               
provide  the  structure to  take  advantage  of  this once  in  a                                                               
generation opportunity to use  Infrastructure Investment and Jobs                                                               
Act (IIJA) funding to extend  broadband into an unexpected number                                                               
of places in Alaska.                                                                                                            
                                                                                                                                
CHAIR  COSTELLO asked  if  she  was a  member  of the  governor's                                                               
taskforce and testifying  in that capacity or  for Alaska Telecom                                                               
Association.                                                                                                                    
                                                                                                                                
MS.  O'CONNOR  replied  she  was   testifying  as  the  Executive                                                               
Director of ATA. The Governor's  Taskforce on Broadband completed                                                               
its work  on November 1, 2021,  but while it was  operational she                                                               
was a  member and served as  the chair of the  technical subgroup                                                               
for the task force.                                                                                                             
                                                                                                                                
MS. O'CONNOR  restated that  SB 234  puts the  tools in  place so                                                               
that Alaska's  Office of Broadband can  administer Infrastructure                                                               
Investment  and  Jobs  Act (IIJA)  funds  and  coordinate  across                                                               
programs  and  federal  agencies  to  create  a  plan  to  deploy                                                               
broadband   throughout   the   state,    as   required   by   the                                                               
infrastructure bill. On behalf of  ATA, she stated support for SB
234.  She  added that  she  supports  the legislation  personally                                                               
because she grew  up in rural Alaska and has  experience with how                                                               
transformative it is to have access to robust broadband.                                                                        
                                                                                                                                
1:51:58 PM                                                                                                                    
SENATOR   MICCICHE  pointed   out  that   the  Broadband   Parity                                                               
Adjustment Fund  is not a  dedicated fund so the  legislature may                                                               
appropriate money into or out of  that fund at will. He asked Ms.                                                               
O'Conner to comment.                                                                                                            
                                                                                                                                
1:52:50 PM                                                                                                                    
MS. O'CONNER said  she can only speak to  what the infrastructure                                                               
bill requires.  That is that  each state will receive  a specific                                                               
amount of  IIJA funds that must  be used according to  rules that                                                               
the  National Telecommunications  and  Information Agency  (NTIA)                                                               
will announce in mid-May 2022.                                                                                                  
                                                                                                                                
SENATOR  MICCICHE  said he  mentioned  this  as a  reminder  that                                                               
dedicated  funding is  not constitutional.  The  IIJA funds  will                                                               
come into one  place, but it is available for  other purposes. He                                                               
noted  that the  Broadband Parity  Adjustment Fund  allows gifts,                                                               
requests, and  contributions from other sources  so private money                                                               
can be invested in this fund.                                                                                                   
                                                                                                                                
1:54:42 PM                                                                                                                    
SENATOR GRAY-JACKSON asked if she  was familiar with the concerns                                                               
that Pacific Dataport might have with the bill.                                                                                 
                                                                                                                                
MS.  O'CONNER replied  that  she was  aware  that they  expressed                                                               
concern  with the  language in  the  companion bill  HB 363  that                                                               
discusses  latency and  calls for  scalability.  She pointed  out                                                               
that those  terms are used  in the Infrastructure  Investment and                                                               
Jobs Act so the terms are not an unknown.                                                                                       
                                                                                                                                
1:55:35 PM                                                                                                                    
SENATOR GRAY-JACKSON  asked if she  had any comment on  the other                                                               
concerns  Pacific   Dataport  articulated  in  the   letter  they                                                               
submitted on SB 234.                                                                                                            
                                                                                                                                
MS.  O'CONNER  replied  she  was not  familiar  with  what  those                                                               
concerns were.                                                                                                                  
                                                                                                                                
CHAIR COSTELLO informed the listening  public that her office had                                                               
not  received a  copy  of the  letter  that Senator  Gray-Jackson                                                               
mentioned but  was aware of  the letter sent regarding  the house                                                               
version of the bill.                                                                                                            
                                                                                                                                
1:56:30 PM                                                                                                                    
CHAIR COSTELLO asked Ms. O'Conner to  point out the things in the                                                               
bill  that  are from  the  federal  legislation and  not  Alaska-                                                               
specific.                                                                                                                       
                                                                                                                                
MS.  O'CONNOR replied  that the  first  section [Sec.  44.33.910]                                                               
that establishes the Office of  Broadband and its duties parallel                                                               
the infrastructure  bill. She noted  that the call  to streamline                                                               
permitting  was a  taskforce recommendation.  She did  not recall                                                               
whether or not that was in  the infrastructure bill, but the rest                                                               
of this section definitely parallels the infrastructure bill.                                                                   
                                                                                                                                
She  said  Sec.  44.33.915  relating   to  the  Broadband  Parity                                                               
Adjustment Fund  is a taskforce  recommendation and  is something                                                               
the Governor's Office has asked  NTIA for the flexibility to have                                                               
such  a program.  The  language in  the  Infrastructure Act  does                                                               
allow a program like this in  the equity and adoption sections of                                                               
the bill.                                                                                                                       
                                                                                                                                
Sec. 44.33.920  that establishes  a Statewide  Broadband Advisory                                                               
Board is  a taskforce recommendation but  the Infrastructure bill                                                               
also requires every state to  have extensive consultation as they                                                               
develop their broadband plan, so this  board will be able to help                                                               
with those duties.                                                                                                              
                                                                                                                                
1:59:12 PM                                                                                                                    
CHAIR COSTELLO  asked if  she had information  about the  size of                                                               
the  broadband taskforce  or advisory  boards  that other  states                                                               
have.                                                                                                                           
                                                                                                                                
MS. O'CONNOR replied  that she would provide  that information to                                                               
the committee.                                                                                                                  
                                                                                                                                
CHAIR  COSTELLO  asked her  to  discuss  latency  and how  it  is                                                               
defined in SB 234.                                                                                                              
                                                                                                                                
MS.  O'CONNOR explained  that  latency is  in  the definition  of                                                               
"unserved" in Section 1 on page 3, lines 5-7. It reads:                                                                         
                                                                                                                                
     (2) "unserved  area" means an  area that does  not have                                                                    
     broadband  speeds of  at least  25 Megabits  per second                                                                    
     downstream and at least 3  Megabits per second upstream                                                                    
     with   a  latency   sufficient  to   support  real-time                                                                    
     interactive applications;                                                                                                  
                                                                                                                                
She said that means that regardless  of the technology, it has to                                                               
meet the  standard that  in other federal  programs is  less than                                                               
100 milliseconds.  SB 234  doesn't use  that definition,  it just                                                               
says  the technology  has to  be  capable of  two-way video.  The                                                               
Infrastructure  bill   goes  further;   it  not  only   uses  the                                                               
definitions  of "unserved"  and  "underserved"  it also  requires                                                               
that  any  projects  built  with   IIJA  funding  must  meet  the                                                               
threshold of latency sufficiency for two-way interaction.                                                                       
                                                                                                                                
CHAIR COSTELLO  asked if  it matters that  the definition  in the                                                               
bill doesn't exactly match the federal definition.                                                                              
                                                                                                                                
MS.  O'CONNOR replied  that definition  is firm  in many  federal                                                               
programs so NTIA  will likely require it. It is  also required by                                                               
the USDA  and the  FCC. She didn't  believe the  100 milliseconds                                                               
has to be referenced but as  NTIA issues the rules she expects to                                                               
see more details on latency.                                                                                                    
                                                                                                                                
2:02:06 PM                                                                                                                    
CHAIR COSTELLO opened public testimony on SB 234.                                                                               
                                                                                                                                
2:02:26 PM                                                                                                                    
MARK   SPRINGER,  Consultant,   Yukon   Kuskokwim  Delta   Tribal                                                               
Broadband Consortium, Bethel, Alaska,  stated that the consortium                                                               
is an NTIA  broadband grant applicant and currently  is testing a                                                               
low earth orbit satellite solution  in the village of Akiak where                                                               
last mile wireless  service is provided to all  households in the                                                               
community. They are  also testing middle mile with  a terminal in                                                               
the Bethel office.                                                                                                              
                                                                                                                                
He  informed the  committee that  tribal broadband  advocates and                                                               
NTIA tribal applicants  view this opportunity for  broadband as a                                                               
gift  of  technology  that  will be  handed  down  to  subsequent                                                               
generations.  The  only   corollary  he  can  think   of  is  the                                                               
establishment  of the  land grant  college that  turned into  the                                                               
University of Alaska System.                                                                                                    
                                                                                                                                
MR.  SPRINGER encouraged  the committee  to consider  amending SB
234 to  include the positive changes  that have been made  in the                                                               
House  companion bill,  HB 363.  This  would include  recognizing                                                               
tribal  partnerships,  which  is   appropriate  since  the  first                                                               
broadband  development money  coming  to Alaska  will be  through                                                               
National   Telecommunications  and   Information  Administrations                                                               
(NTIA) grants  to the federally  recognized tribes in  the state.                                                               
He acknowledged that some language  remains in both bills that is                                                               
viewed  as  problematic. The  concern  is  that without  specific                                                               
wording or clear legislative intent,  the state broad office will                                                               
promulgate regulations  and policies  developed by  the broadband                                                               
advisory board that potentially  will favor existing carriers and                                                               
internet   service  providers.   This   would   be  morally   and                                                               
competitively unfair due to the  efforts undertaken by tribes and                                                               
their broadband development organizations and partners.                                                                         
                                                                                                                                
MR.  SPRINGER stated  that  he continues  to  believe that  there                                                               
should  be  a  mechanism  for the  chair,  several  members,  and                                                               
advisory board  staff to convene and  teleconference the meetings                                                               
in unserved  and underserved  areas. This  would make  the public                                                               
process  far more  inclusive and  give  the members  and staff  a                                                               
taste of what service is like  in many rural communities. He also                                                               
expressed hope  that the committee  would further amend  the bill                                                               
to include a technical subcommittee.                                                                                            
                                                                                                                                
MR.  SPRINGER   highlighted  that  the  telephone   and  internet                                                               
companies  in the  state already  have maps  of the  unserved and                                                               
underserved areas in the state.  Those companies know where every                                                               
millimeter of copper goes, who  all their wireless data customers                                                               
are,  and they  have post  office boxes  for those  customers. He                                                               
stressed  the  importance  of encouraging  the  industry  in  the                                                               
strongest possible terms  to provide that information  to the FCC                                                               
for the mapping  process in the hopes that mapping  in Alaska can                                                               
be completed before any other states.                                                                                           
                                                                                                                                
2:07:40 PM                                                                                                                    
HAROLD  JOHNSTON,  President,   Alaska  Tribal  Broadband  (ATB),                                                               
Anchorage, Alaska,  stated that he  founded ATB with the  goal of                                                               
improving  broadband service  on tribal  lands. He  recounted his                                                               
professional  credentials and  opined that  broadband service  on                                                               
tribal lands in  Alaska was the worst he had  ever seen. He noted                                                               
that he is  currently working with a 30-tribe  consortium that is                                                               
applying for an NTIA grant. He  reported that 28 of the 30 tribes                                                               
do not and will not have  access to fiber for several years. They                                                               
have not had  access to online education  throughout the pandemic                                                               
and telehealth  services have been  beyond reach. At  best, these                                                               
tribes receive 10 megabits download at  a cost of $300 per month.                                                               
Most tribes  receive from 2 to  6 megabits download for  $215 per                                                               
month. He  stressed that people in  urban areas would not  put up                                                               
with this quality of service.                                                                                                   
                                                                                                                                
MR. JOHNSTON confirmed that some of  the language in SB 234 was a                                                               
concern.   He  highlighted   that  his   company  currently   was                                                               
implementing tribal broadband. He  said funding is available from                                                               
the federal government to bring  about a solution fairly quickly.                                                               
His company helped  to implement tribal broadband  for Akiak with                                                               
the 2.5 gigahertz  last mile network using  the first application                                                               
of  a Low  Earth Orbit  (LEO) Satellite  in the  country, and  is                                                               
currently  implementing  broadband  for  the  Native  Village  of                                                               
Unalakleet.  He stated,  "As opposed  to the  kinds of  broadband                                                               
services available  to our tribes  now, we're able to  deliver 25                                                               
Mbps of download  at a minimum level, at a  fraction of the price                                                               
that's available now."                                                                                                          
                                                                                                                                
MR.  JOHNSTON said  he supports  fiber buildout,  but the  tribes                                                               
will not have  access to that for some time  and fiber will never                                                               
reach some  tribes. For this  reason it  is important to  look at                                                               
all the  available technologies,  including satellite.  It should                                                               
not be  an either or  decision because LEO satellites  and others                                                               
that are coming online are able to provide near term solutions.                                                                 
                                                                                                                                
MR.  JOHNSTON stated  that there  are no  federal rules  that are                                                               
specific  to  Alaska, and  he  didn't  believe that  the  federal                                                               
government  fully understood  the  geography  and environment  in                                                               
Alaska. He  noted that  the leading  broadband company  that just                                                               
left Alaska lobbied NTIA to  allow an exception for fiber because                                                               
of the state's unique situation.                                                                                                
                                                                                                                                
2:13:10 PM                                                                                                                    
SHAWN WILLIAMS, Vice President,  Government Affairs and Strategy,                                                               
Pacific  Dataport Inc.,  Anchorage,  Alaska, stated  that he  was                                                               
formerly the assistant commissioner of commerce for the state.                                                                  
He read the following prepared testimony.                                                                                       
                                                                                                                                
     In the  last 24 months,  some rural Alaska  tribes have                                                                    
     developed  tribal  consortiums  and  started  launching                                                                    
     their own  broadband networks  with wireless  last mile                                                                    
     and satellite  middle mile.  This new  satellite middle                                                                    
     mile  technology is  the  most efficient,  sustainable,                                                                    
     scalable,  and lowest  cost to  the customers.  Our two                                                                    
     companies, Microcom and Pacific  Data Port, are helping                                                                    
     them  do  this. It's  kind  of  a  broadband in  a  box                                                                    
     solution for the tribes and tribal consortiums.                                                                            
                                                                                                                                
     Let me clarify  that the ATA does  not represent middle                                                                    
     mile  firms like  Pacific  Dataport,  tribes or  tribal                                                                    
     consortiums   or  small   ISPs   like  Microcom.   They                                                                    
     represent fiber telecoms and they do a great job.                                                                          
                                                                                                                                
     I  would   like  to  take   this  time  to   share  two                                                                    
     recommendations  that I  believe would  make this  bill                                                                    
     stronger for  rural Alaska, encourage  competition, and                                                                    
     encourage sound economic decisions.                                                                                        
                                                                                                                                
     We  can encourage  competition  by  removing any  terms                                                                    
     like   "latency"  and   "scalable."  These   terms  are                                                                    
     subjective and not technology  neutral, serving only to                                                                    
     exclude  satellites  as  an option.  We  also  need  to                                                                    
     ensure that  Alaska tribes  and tribal  consortiums and                                                                    
     non-telecom providers  have access  to this  funding as                                                                    
     eligible  grantees. These  are  the organizations  that                                                                    
     are currently deploying  broadband to unserved villages                                                                    
     in  rural Alaska,  and the  companies  they are  hiring                                                                    
     have extensive broadband experience in Alaska.                                                                             
                                                                                                                                
     We can encourage sound  economic decisions by requiring                                                                    
     this bill  develop near-  and long-term  strategies for                                                                    
     deploying   affordable    broadband   statewide   using                                                                    
     economic  criteria  like   impact  on  consumer  costs,                                                                    
     timeline   for   deployment,   breadth   of   coverage,                                                                    
     sustainability  without  further subsidy,  reliability,                                                                    
     speed, and employing  multiple technologies as required                                                                    
     while maintaining real technology neutrality.                                                                              
                                                                                                                                
     The bottom  line: we cannot  let this bill  exclude the                                                                    
     tribes  and  eliminate   technology  like  [GHOSt]  and                                                                    
     sometimes LEO  satellite that  will get  them connected                                                                    
     quickly  with  affordable  broadband.  We  also  cannot                                                                    
     continue favoring one  technology that's taking forever                                                                    
     to deploy  - fiber, and  usually ends up  too expensive                                                                    
     for  the   rural  consumer.  We  need   a  fair  market                                                                    
     competition  approach  to  broadband in  rural  Alaska.                                                                    
     Let's make this  part of the solution  for rural Alaska                                                                    
     and support the tribes in doing this themselves.                                                                           
                                                                                                                                
2:16:07 PM                                                                                                                    
MR. WILLIAMS continued his testimony:                                                                                           
                                                                                                                                
     There's  one problem  no one's  addressing. The  Alaska                                                                    
     Broadband Taskforce  in this bill  prioritized there'll                                                                    
     be more  subsidized fiber  networks where  the consumer                                                                    
     ends  up paying  high prices  for slow  internet. These                                                                    
     are rural  networks where people are  paying $400, $500                                                                    
     per month.  Do we really want  to prioritize expensive,                                                                    
     subsidized  fiber projects  that produce  expensive and                                                                    
     slow  internet for  rural Alaska?  These are  the facts                                                                    
     [that] anyone who takes 10  minutes to get online [can]                                                                    
     find  out   [about]  what  these  fiber   projects  are                                                                    
     producing for consumers in Alaska.                                                                                         
                                                                                                                                
     The last  thing I'll add  is the IIJA allows  states to                                                                    
     customize   their    broadband   office    awards   and                                                                    
     recommendations  considerable  to address  the  state's                                                                    
     weak area  - like the  missing middle mile  that Alaska                                                                    
     has.  The IIJA  does set  priorities like  unserved and                                                                    
     then underserved  and the definition of  "unserved" and                                                                    
     "underserved." Those are uncontested facts.                                                                                
                                                                                                                                
     I recently submitted  written testimony with Dataport's                                                                    
     recommended changes to SB 234.  Please find a moment to                                                                    
     review those suggestions.  Pacific Dataport appreciates                                                                    
     that  the bill  prioritizes the  unserved and  works to                                                                    
     organize  Alaska's broadband  funding. We  believe that                                                                    
     it  is needed;  it just  needs  a few  tweaks here  and                                                                    
     there.  We  encourage  the spirit  of  competition  and                                                                    
     anything    that    promotes    broadband    expansion,                                                                    
     efficiency, and lower prices for rural Alaskans.                                                                           
                                                                                                                                
2:17:55 PM                                                                                                                    
LESIL  MCGUIRE,  Consultant,  OneWeb, Anchorage,  Alaska,  stated                                                               
that  OneWeb's first  constellation  of low  earth satellites  in                                                               
polar orbit is helping to close  the digital divide in Alaska. As                                                               
the first LEO  licensed operator, OneWeb has launched  358 of the                                                               
planned  648 satellites  in this  initial constellation.  Because                                                               
those  satellites are  orbiting directly  over Alaska,  OneWeb is                                                               
ready to  connect both unconnected and  under-connected Alaskans.                                                               
The intent is  to continue to launch every seven  years to ensure                                                               
infrastructure integrity  in the  future. The company  has opened                                                               
an  office  in  Alaska  and  is  ready  to  continue  to  connect                                                               
communities.                                                                                                                    
                                                                                                                                
MS. MCGUIRE  said an important  distinction about OneWeb  is that                                                               
as  a wholesaler  it sells  capacity to  local Alaskan  companies                                                               
through distribution  partnerships. She agreed with  Mr. Springer                                                               
that  this  is  an  unprecedented  opportunity  for  Alaska,  and                                                               
relayed  her   belief  that  as   the  appropriating   body,  the                                                               
legislature should steer the policy.                                                                                            
                                                                                                                                
MS.  MCGUIRE asked  the committee  to consider  providing maximum                                                               
flexibility  in  the bill  because  the  IIJA regulation  writing                                                               
process  was still  underway  and the  definitions  had not  been                                                               
established.   She   stressed   the  importance   of   technology                                                               
neutrality, said  middle mile should be  mentioned, and suggested                                                               
the Office  of Broadband  be encouraged to  emphasize that  it is                                                               
the piece that allows competition  to flourish and sets consumers                                                               
free.                                                                                                                           
                                                                                                                                
MS. MCGUIRE expressed excitement  about having satellite projects                                                               
up and running  and able to provide high speed  low latency, with                                                               
minimal infrastructure  in communities.  She urged that  the bill                                                               
emphasize  tech  neutrality,  partnering with  tribes,  inclusive                                                               
language, and  promotion of competition. Finally,  she urged some                                                               
level of legislative oversight throughout the process.                                                                          
                                                                                                                                
2:24:24 PM                                                                                                                    
BRITTANY WOODS-ORRISON,  Native Movement, Alaska  Public Interest                                                               
Research  Group (AkPIRG),  Rampart, Alaska,  stated that  for the                                                               
first time United  Utilities, a GCI company, has  turned Wi-Fi on                                                               
in  her community.  The  cost is  $385 and  in  three days  three                                                               
families used up their service.  She noted that Rampart also owns                                                               
its  own FCC  license  as  a tribal  community,  which should  be                                                               
encouraged instead of relying on  telecoms as has always been the                                                               
case.  She stressed  that  unserved  and underserved  communities                                                               
should  have the  power  to control  their  own livelihood.  They                                                               
should be part  of broadband mapping because  they have knowledge                                                               
of the infrastructure in their  own area and know what technology                                                               
options are  available. If  unserved and  underserved communities                                                               
are  not involved  in the  process, the  existing system  will be                                                               
reinforced, more  money will be  spent, and internet  access will                                                               
not  improve.  She  stressed   the  importance  of  transparency,                                                               
accountability, education  materials, and  for consumers  to have                                                               
the power and  choice to strengthen the state.  She concluded her                                                               
comments saying that the people who are closest to the problem                                                                  
are closest to the solution.                                                                                                    
                                                                                                                                
2:26:15 PM                                                                                                                    
CHAIR COSTELLO discerned no one else wished to testify and                                                                      
closed public testimony on SB 234.                                                                                              
                                                                                                                                
CHAIR COSTELLO held SB 234 in committee for further                                                                             
consideration.                                                                                                                  
                                                                                                                                
2:26:35 PM                                                                                                                    
There being no further business to come before the committee,                                                                   
Chair Costello adjourned the Senate Labor and Commerce Standing                                                                 
Committee meeting at 2:26 p.m.                                                                                                  

Document Name Date/Time Subjects
HB 111 Written Testimony AARP.pdf SL&C 3/28/2022 1:30:00 PM
HB 111
HB 111 Letter of Support.pdf SL&C 3/28/2022 1:30:00 PM
HB 111
CSHB 111 Work Draft V. G.pdf SL&C 3/28/2022 1:30:00 PM
HB 111
SB 234 Letter of Support GCI.pdf SL&C 3/28/2022 1:30:00 PM
SB 234
SB 234 Letter of Support ATA.pdf SL&C 3/28/2022 1:30:00 PM
SB 234
SB 234 Letter of Opposition 3.23.22.pdf SL&C 3/28/2022 1:30:00 PM
SB 234
SB 234 Fiscal Note 1027 - DCCED.pdf SL&C 3/28/2022 1:30:00 PM
SB 234
SB 234 Sectional Analysis V. A.pdf SL&C 3/28/2022 1:30:00 PM
SB 234
SB 234 Sponsor Statement.pdf SL&C 3/28/2022 1:30:00 PM
SB 234
SB 234 Support Doc. Infrastructure Investment and Jobs Act - Broadband.pdf SL&C 3/28/2022 1:30:00 PM
SB 234
SB 234 Written Testimony PDI.pdf SL&C 3/28/2022 1:30:00 PM
SB 234