Legislature(2001 - 2002)

05/08/2002 09:31 AM RLS

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
                    ALASKA STATE LEGISLATURE                                                                                    
                     SENATE RULES COMMITTEE                                                                                   
                           May 8, 2002                                                                                          
                            9:31 a.m.                                                                                           
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Randy Phillips, Chair                                                                                                   
Senator John Cowdery, Vice Chair                                                                                                
Senator Gene Therriault                                                                                                         
Senator Johnny Ellis                                                                                                            
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Senator Rick Halford                                                                                                            
                                                                                                                              
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
SENATE BILL NO. 252                                                                                                             
"An Act renaming  the Alaska Human Resource Investment  Council as                                                              
the  Alaska  Workforce  Investment   Board  and  relating  to  its                                                              
membership; repealing  the termination date of the  state training                                                              
and  employment  program;  relating  to  employment  and  training                                                              
activities; and providing for an effective date."                                                                               
     SCHEDULED BUT NOT HEARD                                                                                                    
                                                                                                                                
SENATE BILL NO. 355                                                                                                             
"An Act  establishing an  account in the  general fund  to receive                                                              
general gifts, donations, and bequests to the State of Alaska."                                                                 
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
SENATE BILL NO. 371                                                                                                             
"An Act  exempting the use  of munitions  in certain areas  from a                                                              
waste   disposal  permit   requirement   of   the  Department   of                                                              
Environmental Conservation."                                                                                                    
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
CS FOR HOUSE BILL NO. 4(FIN) am                                                                                                 
"An  Act relating  to  motor vehicles  and  to  operating a  motor                                                              
vehicle, aircraft,  or watercraft; and providing  for an effective                                                              
date."                                                                                                                          
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
CS FOR HOUSE BILL NO. 32(JUD) am                                                                                                
"An Act relating to the forfeiture  of property used to possess or                                                              
distribute  child  pornography,  to  commit  indecent  viewing  or                                                              
photography,  to   commit  a  sex  offense,  or   to  solicit  the                                                              
commission  of,   attempt  to  commit,   or  conspire   to  commit                                                              
possession or distribution of child  pornography, indecent viewing                                                              
or photography, or a sexual offense."                                                                                           
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
CS FOR HOUSE BILL NO. 225(FIN) am                                                                                               
"An Act  relating to  state taxation  of alcoholic beverages;  and                                                              
increasing the alcoholic beverage state tax rates."                                                                             
     ADOPTED A SENATE RULES COMMITTEE SUBSTITUTE AND APPROVED FOR                                                               
     CALENDARING                                                                                                                
                                                                                                                                
CS FOR HOUSE BILL NO. 274(L&C)                                                                                                  
"An Act relating  to the qualification of a physician  used for an                                                              
employer's independent  medical examination  and to  the authority                                                              
of the Alaska Workers' Compensation  Board to provide an expedited                                                              
hearing when  an employee needs  medical treatment;  and providing                                                              
for an effective date."                                                                                                         
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
SENATE CONCURRENT RESOLUTION NO. 37                                                                                             
Suspending  Rules 24(c), 35,  41(b), and  42(e), Uniform  Rules of                                                              
the  Alaska State  Legislature,  concerning  House  Bill No.  274,                                                              
relating to workers' compensation.                                                                                              
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
CS FOR HOUSE BILL NO. 286(RES) am                                                                                               
"An Act  allowing a  person to hold  two commercial fishing  entry                                                              
permits for a salmon fishery for  the purpose of consolidating the                                                              
fishing fleet  for a  salmon fishery;  relating to salmon  fishery                                                              
associations and to salmon fishery  assessments; and providing for                                                              
an effective date."                                                                                                             
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
CS FOR HOUSE BILL NO. 344(STA)                                                                                                  
"An  Act  increasing  fees  for   driver's  licenses,  instruction                                                              
permits, and identification cards;  and providing for an effective                                                              
date."                                                                                                                          
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
CS FOR HOUSE BILL NO. 397(STA)                                                                                                  
"An  Act  exempting  a  person  driving  certain  motor  vehicles,                                                              
aircraft, or  watercraft from  driver licensing requirements;  and                                                              
providing for an effective date."                                                                                               
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
CS FOR HOUSE BILL NO. 421(RES)(title am)                                                                                        
"An Act relating to requiring the  Department of Natural Resources                                                              
to develop  and maintain a  standardized procedure  for processing                                                              
applications    and   issuing    permits,   authorizations,    and                                                              
certifications  under  the Alaska  Water  Use Act  and  to make  a                                                              
record of  those items  and amendments  and orders affecting  them                                                              
available on the Internet."                                                                                                     
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
CS FOR HOUSE BILL NO. 504(FIN) am                                                                                               
"An Act relating  to the wages of people working  in the fisheries                                                              
business."                                                                                                                      
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
CS FOR HOUSE BILL NO. 515(FIN) am                                                                                               
"An  Act  relating to  missions  and  measures  to be  applied  to                                                              
certain expenditures  by the executive branch of  state government                                                              
and the University  of Alaska and by the judicial  branch of state                                                              
government  from the state  operating budget  for the fiscal  year                                                              
ending June 30, 2003; and providing for an effective date."                                                                     
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
SENATE BILL NO. 371                                                                                                             
"An Act  exempting the use  of munitions  in certain areas  from a                                                              
waste   disposal  permit   requirement   of   the  Department   of                                                              
Environmental Conservation."                                                                                                    
     APPROVED FOR CALENDARING                                                                                                   
                                                                                                                                
HOUSE BILL NO. 262                                                                                                              
"An Act relating to accounting for  and appropriations of receipts                                                              
from  fees collected  by  the Department  of  Labor and  Workforce                                                              
Development for  certain inspections and for certain  plumbing and                                                              
electrical   worker  certificates   of  fitness;  establishing   a                                                              
building safety account; and providing for an effective date."                                                                  
     ADOPTED A SENATE RULES COMMITTEE SUBSTITUTE AND APPROVED FOR                                                               
     CALENDARING                                                                                                                
                                                                                                                                
CS FOR HOUSE BILL NO. 225(FIN) am                                                                                               
"An Act  relating to  state taxation  of alcoholic beverages;  and                                                              
increasing the alcoholic beverage state tax rates."                                                                             
     ADOPTED A SENATE RULES COMMITTEE SUBSTITUTE AND APPROVED FOR                                                               
     CALENDARING                                                                                                                
                                                                                                                                
CS FOR SENATE BILL NO. 252(RLS)                                                                                                 
"An Act renaming  the Alaska Human Resource Investment  Council as                                                              
the  Alaska  Workforce  Investment   Board  and  relating  to  its                                                              
membership; relating  to repayment  on promissory notes  for work-                                                              
related  items   paid  for  by   grant  programs;   extending  the                                                              
termination  date of the  state training  and employment  program;                                                              
relating to employment and training  activities; and providing for                                                              
an effective date."                                                                                                             
     HEARD AND HELD                                                                                                             
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
SB  355 -  See State  Affairs minutes  dated  4/11/02 and  Finance                                                              
Report dated 4/30/02.                                                                                                           
                                                                                                                                
SB 371 - See Resources minutes dated 5/3/02.                                                                                    
                                                                                                                                
HB  4 -  See Judiciary  minutes dated  5/5/01  and Finance  Report                                                              
dated 5/6/02.                                                                                                                   
                                                                                                                                
HB  32 -  See  Judiciary minutes  dated  4/20/01  and 4/23/01  and                                                              
Finance Report dated 5/7/02.                                                                                                    
                                                                                                                                
HB 274 - See Labor and Commerce minutes  dated 3/14/02 and 5/4/02.                                                              
                                                                                                                                
HB  286 -  See  Resources minutes  dated  4/8/02  and 4/24/02  and                                                              
Judiciary minutes dated 5/3/02.                                                                                                 
                                                                                                                                
HB  344 -  See State  Affairs minutes  dated  4/23/02 and  Finance                                                              
Report dated 5/1/02.                                                                                                            
                                                                                                                                
HB 397 - See Transportation minutes dated 4/16/02 and 4/30/02.                                                                  
                                                                                                                                
HB 421  - See Resources minutes  dated 4/12/02 and  Finance Report                                                              
dated 5/3/02.                                                                                                                   
                                                                                                                                
HB 504 - See Labor and Commerce minutes  dated 4/25/02 and Finance                                                              
Report dated 5/1/02.                                                                                                            
                                                                                                                                
HB 515 - See Finance Report dated 5/1/02.                                                                                       
                                                                                                                                
SB 252  - See Labor  and Commerce  minutes dated 2/14/02,  4/18/02                                                              
and 4/25/02 and Finance Report dated 5/6/02.                                                                                    
                                                                                                                                
SB 371 - See Resources minutes dated 5/3/02.                                                                                    
                                                                                                                                
HB  262 -  See Labor  and Commerce  minutes  dated 3/21/02,  State                                                              
Affairs minutes dated 4/2/02 and Finance Report dated 4/18/02.                                                                  
                                                                                                                                
HB 225 - No previous committee action.                                                                                          
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
Representative Joe Hayes                                                                                                        
Alaska State Capitol                                                                                                            
Juneau, AK  99801-1182                                                                                                          
POSITION STATEMENT:  Sponsor of HB 32                                                                                         
                                                                                                                                
Linda Sylvester                                                                                                                 
Staff to Representative Kott                                                                                                    
Alaska State Capitol                                                                                                            
Juneau, AK  99801-1182                                                                                                          
POSITION STATEMENT:  Testified on behalf of the sponsor of HB 344                                                             
                                                                                                                                
Representative Vic Kohring                                                                                                      
Alaska State Capitol                                                                                                            
Juneau, AK  99801-1182                                                                                                          
POSITION STATEMENT:  Opposed amending CSHB 397(STA)                                                                           
                                                                                                                                
Commissioner Ed Flanagan                                                                                                        
Department of Labor & Workforce                                                                                                 
  Development                                                                                                                   
PO Box 21149                                                                                                                    
Juneau, AK 99802-1149                                                                                                           
POSITION STATEMENT:  Testified on SB 252 on behalf of the                                                                     
Administration                                                                                                                  
                                                                                                                                
Jerry Burnett                                                                                                                   
Staff to Senator Green                                                                                                          
Alaska State Capitol                                                                                                            
Juneau, AK  99801-1182                                                                                                          
POSITION STATEMENT:  Testified on behalf of the sponsor of SB 355                                                             
                                                                                                                                
Representative Lisa Murkowski                                                                                                   
Alaska State Capitol                                                                                                            
Juneau, AK  99801-1182                                                                                                          
POSITION STATEMENT:  Sponsor of HB 262                                                                                        
                                                                                                                                
Annette Kreitzer                                                                                                                
Staff to Senator Leman                                                                                                          
Alaska State Capitol                                                                                                            
Juneau, AK  99801-1182                                                                                                          
POSITION STATEMENT:  Answered questions about SCS CSHB 262(RLS)                                                               
                                                                                                                                
Nancy Slagle                                                                                                                    
Division of Administrative Services                                                                                             
Department of Transportation &                                                                                                  
  Public Facilities                                                                                                             
3132 Channel Dr.                                                                                                                
Juneau, AK  99801-7898                                                                                                          
POSITION STATEMENT:  Explained and supported amendments to HB 262                                                             
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
TAPE 02-12, SIDE A                                                                                                            
Number 001                                                                                                                      
                                                                                                                                
CHAIRMAN RANDY PHILLIPS called the  Senate Rules Committee meeting                                                            
to  order at  9:31 a.m.  Senators Ellis,  Therriault and  Phillips                                                              
were present. He announced that SB  252, HB 225 and HB 262 will be                                                              
placed at the bottom of the calendar  because amendments have been                                                              
proposed to those pieces of legislation.                                                                                        
                                                                                                                                
SENATOR THERRIAULT  moved to calendar  SB 355-LET ME  HELP ACCOUNT                                                          
and its zero fiscal note at the Chairman's discretion.                                                                          
                                                                                                                                
SENATOR ELLIS objected and asked for an explanation of the bill.                                                                
                                                                                                                                
CHAIRMAN PHILLIPS noted that he would  put SB 355 on the bottom of                                                              
the calendar.                                                                                                                   
                                                                                                                                
SENATOR  ELLIS  asked for  a  brief  explanation of  SB  371-WASTE                                                          
PERMIT & COASTAL ZONE EXEMPTIONS.                                                                                           
                                                                                                                                
SENATOR THERRIAULT explained:                                                                                                   
                                                                                                                                
     This  came from a  proposed amendment  to the  [indisc.]                                                                   
     office  - the  general permit  bill. There's  litigation                                                                   
     currently  that  alleges  that the  state  agencies  are                                                                   
     misinterpreting   the   solid  waste   disposal   permit                                                                   
     statutes. The  court case asked  the court to  interpret                                                                   
     the statutes  to require  a solid  waste permit for  the                                                                   
     operations  of  a  bombing   or  firing  range  so  this                                                                   
     [indisc.] basically just enshrines  the current and past                                                                   
     administrative   interpretation  of   the  solid   waste                                                                   
     permit. It clarifies  that it's not needed  on an active                                                                   
     range - active bombing or firing range.                                                                                    
                                                                                                                                
SENATOR  ELLIS  asked if  enacted,  the  bill  will play  into  an                                                              
ongoing court case.                                                                                                             
                                                                                                                                
SENATOR THERRIAULT replied it would  by enshrining the current and                                                              
longstanding interpretation of our statutes.                                                                                    
                                                                                                                                
SENATOR ELLIS said he would prefer  to let the case run its course                                                              
before the legislature weighs in.                                                                                               
                                                                                                                                
CHAIRMAN  PHILLIPS   asked  Senator  Ellis  if   he  would  oppose                                                              
calendaring the bill.                                                                                                           
                                                                                                                                
SENATOR ELLIS said he would.                                                                                                    
                                                                                                                                
CHAIRMAN PHILLIPS  announced that  SB 371 would  be placed  at the                                                              
bottom of the calendar.                                                                                                         
                                                                                                                                
The  committee took  up  CSHB 4(FIN)am  -  DRUNK  DRIVING &  MOTOR                                                          
VEHICLES/BOATS/PLANE.                                                                                                       
                                                                                                                                
SENATOR   ELLIS  moved   to  calendar   CSHB   4(FIN)am  and   its                                                              
accompanying fiscal notes at the Chairman's discretion.                                                                         
                                                                                                                                
CHAIRMAN  PHILLIPS announced  that with  no objection, the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
CHAIRMAN PHILLIPS  announced that CSHB  32(JUD)am - SEX  CRIME AND                                                          
PORNOGRAPHY FORFEITURES was before the committee.                                                                           
                                                                                                                                
SENATOR ELLIS moved to calendar CSHB 32(JUD)am.                                                                                 
                                                                                                                                
SENATOR THERRIAULT  said he  has received conflicting  information                                                              
from the  court system and police  departments as to  whether this                                                              
legislation is  needed. He  was told the  computers can  be seized                                                              
and have  been in certain circumstances.  He asked to hear  from a                                                              
representative of the prime sponsor's office.                                                                                   
                                                                                                                                
CHAIRMAN PHILLIPS announced that  he would hold the bill but noted                                                              
that he has  provided 48 hours of  notice on the bills  on today's                                                              
calendar.                                                                                                                       
                                                                                                                                
REPRESENTATIVE  HAYES  arrived  so  the  committee  continued  its                                                              
discussion of CSHB 32(JUD)am.                                                                                                   
                                                                                                                                
SENATOR THERRIAULT  again explained  the conflicting  positions he                                                              
has received  on this bill  and asked  what this bill  will change                                                              
and  what was  wrong with  the discretionary  system  used by  the                                                              
court  system.  He advised  that  he does  not  want  to create  a                                                              
situation  in which  police  departments seize  equipment  because                                                              
they want the latest model computers from businesses.                                                                           
                                                                                                                                
REPRESENTATIVE HAYES  said that issue was brought up  in the House                                                              
and  intent  language  was  placed in  the  bill  to  specifically                                                              
address  it. Equipment  will be seized  only from  the person  who                                                              
actually committed  the crime  and is  convicted. Nothing  will be                                                              
seized from a business; the equipment must be personal.                                                                         
                                                                                                                                
SENATOR  THERRIAULT  asked  how   that  would  apply  to  computer                                                              
equipment in  a household - whether  the person convicted  owns it                                                              
or the person's spouse.                                                                                                         
                                                                                                                                
REPRESENTATIVE HAYES  said that would depend on  whoever purchased                                                              
the equipment.                                                                                                                  
                                                                                                                                
SENATOR  THERRIAULT  asked  whether  the  court  would  make  that                                                              
finding.  He  questioned  what  would  happen  if  he  bought  the                                                              
computer but his wife paid the credit card bill.                                                                                
                                                                                                                                
REPRESENTATIVE HAYES  said in that situation, he  would assume the                                                              
police would have  to make a determination about  who the computer                                                              
belongs to and who committed the crime.                                                                                         
                                                                                                                                
SENATOR  THERRIAULT  said  he  plans  to  approve  this  bill  for                                                              
calendaring but  he has  heard on the  federal level  about police                                                              
seizing  cars  in  drug  busts because  they  want  the  cars  for                                                              
undercover work. He does not want to create a similar situation.                                                                
                                                                                                                                
REPRESENTATIVE  HAYES said  that  since this  bill was  introduced                                                              
last  year, there  have  been 14  cases  of child  pornography  or                                                              
soliciting sex from  minors in Alaska. He just talked  to the FBI,                                                              
which has  just completed  a huge national  operation in  which it                                                              
found 90 people  involved in a child pornography  network. The FBI                                                              
will be sending  a letter today in  support of this bill.  He told                                                              
Senator Therriault that  if the problem with his  comfort level is                                                              
with police  departments seizing  equipment, he  is not  averse to                                                              
including schools.                                                                                                              
                                                                                                                                
SENATOR   ELLIS  moved   to  calendar  CSHB   32(JUD)am   and  its                                                              
accompanying fiscal notes at the Chairman's discretion.                                                                         
                                                                                                                                
CHAIRMAN  PHILLIPS announced  that with  no objection, the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
SENATOR  THERRIAULT moved  to calendar  CSHB  274(L&C) -  WORKERS'                                                          
COMP: HEARING/MEDICAL EXAM and its  accompanying zero fiscal note.                                                          
                                                                                                                                
CHAIRMAN  PHILLIPS  noted  that   without  objection,  the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
CHAIRMAN PHILLIPS announced that  SCR 37-SUSPEND UNIFORM RULES FOR                                                          
HB 274 will need to accompany HB 274.                                                                                       
                                                                                                                                
SENATOR  THERRIAULT moved  to calendar  SCR 37  at the  Chairman's                                                              
discretion.                                                                                                                     
                                                                                                                                
CHAIRMAN  PHILLIPS announced  that without  objection, the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
SENATOR  COWDERY   moved  to   calendar  CSHB   286(RES)am-FISHING                                                          
PERMITS/ASSOCIATIONS/ASSESSMENTS   with  its  accompanying  fiscal                                                          
note at the Chairman's discretion.                                                                                              
                                                                                                                                
CHAIRMAN  PHILLIPS announced  that without  objection, the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
SENATOR COWDERY moved to calendar  CSHB 344(STA)-INCREASE DRIVER'S                                                          
LICENSE/PERMIT  FEES with  its accompanying  fiscal  notes at  the                                                          
Chairman's discretion.                                                                                                          
                                                                                                                                
TAPE 02-12, SIDE B                                                                                                              
                                                                                                                                
SENATOR ELLIS asked for an explanation of CSHB 344(STA).                                                                        
                                                                                                                                
MS. LINDA  SYLVESTER, staff to  Representative Kott,  told members                                                              
that HB  344 increases  driver's license fees  for the  first time                                                              
since 1993.  The Department of  Administration submitted  a fiscal                                                              
note with a cost  of $500,000. That money will be  used to convert                                                              
the  Division  of  Motor  Vehicles'  Polaroid  manual  photography                                                              
system to a digital  one. That change will bring  Alaska up to the                                                              
national  security standards  encouraged  the federal  government.                                                              
Alaska is the last state to use the Polaroid system.                                                                            
                                                                                                                                
SENATOR  COWDERY asked  if a  driver's license  will contain  more                                                              
information if the bill passes.                                                                                                 
                                                                                                                                
MS.  SYLVESTER said  it merely  puts  the information  into a  new                                                              
format. The information  on current drivers' licenses  is mandated                                                              
by  statute. HB  344 eliminates  the  need for  a social  security                                                              
number on the driver's license. The  driver's license will contain                                                              
a bar  code, which  a policeman  can scan.  In addition,  drivers'                                                              
licenses for minors  will be made using a landscape  rather than a                                                              
portrait format for easy identification.                                                                                        
                                                                                                                                
SENATOR COWDERY asked  if the airlines will have  the same ability                                                              
to scan a driver's license for identification.                                                                                  
                                                                                                                                
MS. SYLVESTER said that possibility  has not come up in testimony.                                                              
However, if one loses a license while  traveling, the division can                                                              
replace the license  using the original digital  photo. Right now,                                                              
the  division  can  issue  a  temporary   replacement  but  cannot                                                              
transmit the photograph.                                                                                                        
                                                                                                                                
SENATOR COWDERY repeated his motion to calendar CSHB 344(STA).                                                                  
                                                                                                                                
CHAIRMAN  PHILLIPS announced  that without  objection, the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
SENATOR COWDERY  moved to calendar CSHB 397(STA)-  EXEMPTIONS FROM                                                          
DRIVER'S LICENSING and its three  accompanying fiscal notes at the                                                          
Chairman's discretion.                                                                                                          
                                                                                                                                
SENATOR ELLIS  said it  was his understanding  that this  bill was                                                              
held up for further amending.                                                                                                   
                                                                                                                                
CHAIRMAN PHILLIPS  said it is the  policy of the Chairman,  if the                                                              
sponsor  objects to  the amendments,  to let  the bill  go to  the                                                              
floor where amendments can be offered.                                                                                          
                                                                                                                                
SENATOR THERRIAULT said he was considering  offering an amendment.                                                              
He told  Representative  Kohring, sponsor  of HB  397, that  he is                                                              
personally  torn on  this bill  because  as a  child he  delivered                                                              
newspapers   via  snowmachine   in   the   winter.  However,   his                                                              
snowmachine wasn't a fuel-injected  rocket on skis. HB 397 removes                                                              
any kind of requirement  for operation of a snow  machine. He said                                                              
he is concerned  about 12 and  13 year olds driving  machines that                                                              
weight thousands  of pounds  that travel  at 70  and 80  miles per                                                              
hour. He asked what should be done  about when parents allow their                                                              
children to use those machines recklessly.                                                                                      
                                                                                                                                
REPRESENTATIVE  KOHRING  said that  violating  property rights  or                                                              
reckless endangerment  is more  of an  enforcement issue  and that                                                              
law enforcement  officers will  have to be  attentive to  that. HB                                                              
397 simply  eliminates the  need for a  driver's license.  He does                                                              
not see  how getting a driver's  license, which  proves competency                                                              
to drive  a car on a  city street, as  being germane to  driving a                                                              
snowmachine out  in the woods.  He suggested the  legislature look                                                              
at  legislation  in the  future  that  deals with  safety  issues,                                                              
similar  to Representative  Hudson's  bill on  boating safety.  He                                                              
noted   the  Alaska   Snowmobile   Representatives'  Alliance   is                                                              
suggesting something along that line  be done in state regulations                                                              
and certification.                                                                                                              
                                                                                                                                
SENATOR COWDERY  said the question  of what to  do with a  13 year                                                              
old who gets on a missile was raised  in the Senate Transportation                                                              
Committee. He said  the same issue occurs when a  13 year old gets                                                              
in  a  parent's car.  He  said  he  believes  it is  the  parents'                                                              
responsibility  to see that  doesn't happen.  He pointed  out that                                                              
this [amendment]  could affect battery operated  four wheelers for                                                              
toddlers.                                                                                                                       
                                                                                                                                
SENATOR  ELLIS said  he believes  CSHB 397(STA)  is an  incomplete                                                              
package. He  hears from  the medical  professionals who  deal with                                                              
the  "kids  on the  missiles"  with  traumatic head  injuries.  He                                                              
stated  he wishes  there  was an  effort to  address  some of  the                                                              
safety concerns  in this  bill. He added  that the boating  safety                                                              
legislation took almost 20 years  to pass and it applied primarily                                                              
to adults.  He hopes the sponsor  will give more  consideration to                                                              
minimal safety requirements.                                                                                                    
                                                                                                                                
CHAIRMAN  PHILLIPS said  he shares  Senator  Ellis's concerns  and                                                              
that  two or  three  amendments will  be  proposed  on the  Senate                                                              
floor.                                                                                                                          
                                                                                                                                
SENATOR  ELLIS  noted objection  to  Senator Cowdery's  motion  to                                                              
calendar CSHB 397(STA).                                                                                                         
                                                                                                                                
CHAIRMAN PHILLIPS  announced that  the motion  to calendar  HB 397                                                              
carried with  Senators Therriault,  Cowdery and Phillips  in favor                                                              
and Senator Ellis opposed.                                                                                                      
                                                                                                                                
SENATOR COWDERY  moved to  calendar CSHB 421(RES)(title  am)-WATER                                                          
USE ACT  PROCEDURES &  RECORDS at  the Chairman's discretion  with                                                          
its attached fiscal notes.                                                                                                      
                                                                                                                                
CHAIRMAN  PHILLIPS announced  that with  no objection, the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
SENATOR  COWDERY moved  to calendar  CSHB 504(FIN)am  - WAGES  FOR                                                          
WORKERS IN FISHERIES at the Chairman's discretion.                                                                          
                                                                                                                                
SENATOR ELLIS objected.                                                                                                         
                                                                                                                                
CHAIRMAN  PHILLIPS  announced  the motion  carried  with  Senators                                                              
Therriault,  Cowdery  and  Phillips  in favor  and  Senator  Ellis                                                              
opposed.                                                                                                                        
                                                                                                                                
CHAIRMAN PHILLIPS  asked if members  had any questions  about CSHB                                                          
515(FIN)am - OPERATING BUDGET MISSIONS AND MEASURES.                                                                        
                                                                                                                                
SENATOR ELLIS asked  if HB 515 was sponsored by  the House Finance                                                              
Committee.                                                                                                                      
                                                                                                                                
SENATOR THERRIAULT  said he  believes it is  a committee  bill. He                                                              
then moved  to approve for calendaring  CSHB 515(FIN) am  with its                                                              
zero fiscal note at the Chairman's discretion.                                                                                  
                                                                                                                                
CHAIRMAN  PHILLIPS announced  that with  no objection, the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
                                                                                                                                
CHAIRMAN  PHILLIPS indicated  that  Senator Ellis  had a  proposed                                                              
amendment to SB 252-EMPLOYMENT AND TRAINING PROGRAM/BOARD.                                                                  
                                                                                                                                
SENATOR ELLIS moved  to adopt Amendment 1. He said  Amendment 1 is                                                              
a  technical  amendment   and  that  a  representative   from  the                                                              
Department  of Labor and  Workforce Development  was available  to                                                              
answer questions.                                                                                                               
                                                                                                                                
SENATOR COWDERY objected.                                                                                                       
                                                                                                                                
COMMISSIONER  ED  FLANAGAN,  Department  of  Labor  and  Workforce                                                              
Development (DOLWD),  told members that Amendment  1 is technical.                                                              
An  amendment was  adopted by  the Senate  Finance Committee  that                                                              
pertained to  the percentage  available for administrative  costs:                                                              
rather than 15 percent  of the total amount, it would  be based on                                                              
20 percent  of the  amount actually  expended  in the prior  year.                                                              
That  amendment changed  language  on page  16,  line 29.  Senator                                                              
Ellis's amendment  merely corrects an earlier reference  on page 9                                                              
to  make   it  consistent  with   the  Senate  Finance   Committee                                                              
amendment.                                                                                                                      
                                                                                                                                
SENATOR COWDERY removed his objection.                                                                                          
                                                                                                                                
SENATOR THERRIAULT  asked if  Amendment 1  will make the  language                                                              
consistent throughout  that the administrative costs  are based on                                                              
20 percent of prior year expenditures.                                                                                          
                                                                                                                                
COMMISSIONER FLANAGAN said that is correct.                                                                                     
                                                                                                                                
SENATOR THERRIAULT  asked if the  legislative auditor  agrees that                                                              
the two references need to be the same.                                                                                         
                                                                                                                                
COMMISSIONER FLANAGAN said he could  not speak for the legislative                                                              
auditor.                                                                                                                        
                                                                                                                                
SENATOR THERRIAULT said he believes Amendment 1 is appropriate.                                                                 
                                                                                                                                
COMMISSIONER FLANAGAN clarified that  Amendment 1 makes the change                                                              
in two places: page 9 and page 21.                                                                                              
                                                                                                                                
CHAIRMAN PHILLIPS noted that with  no further objection, Amendment                                                              
1 was adopted.                                                                                                                  
                                                                                                                                
SENATOR  ELLIS moved to  calendar SB  252-EMPLOYMENT AND  TRAINING                                                              
PROGRAM/BOARD   with  its   accompanying  fiscal   notes  at   the                                                              
Chairman's discretion.                                                                                                          
                                                                                                                                
CHAIRMAN  PHILLIPS announced  that with  no objection, the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
SENATOR COWDERY moved  to calendar SB 355-LET ME  HELP ACCOUNT and                                                          
its zero fiscal note at the Chairman's discretion.                                                                              
                                                                                                                                
SENATOR ELLIS objected for the purpose of an explanation.                                                                       
                                                                                                                                
MR. JERRY  BURNETT,  staff to Senator  Lyda Green,  sponsor  of SB                                                              
355, explained that SB 355 provides  people with an opportunity to                                                              
contribute  to the  state  to close  the fiscal  gap.  SB 355  was                                                              
inspired by Governor Huckabee's "Tax Me More Fund" in Arkansas.                                                                 
                                                                                                                                
SENATOR ELLIS asked if SB 355 is a serious effort.                                                                              
                                                                                                                                
MR. BURNETT said it is.                                                                                                         
                                                                                                                                
SENATOR COWDERY asked if the program in Arkansas was successful.                                                                
                                                                                                                                
MR.  BURNETT  said,   to  his  understanding,  it   has  not  been                                                              
successful.  Although the  residents were  asking for taxes,  they                                                              
were not  willing to  contribute voluntarily.  It has only  raised                                                              
about $4,000.                                                                                                                   
                                                                                                                                
SENATOR  THERRIAULT asked  if  the "Let  Me  Help Account"  allows                                                              
people to designate to specific government programs.                                                                            
                                                                                                                                
MR.  BURNETT said  SB 355  does not  speak to  designation but  it                                                              
could be used for that purpose.                                                                                                 
                                                                                                                                
SENATOR THERRIAULT  read, "...  for which  no specific  purpose is                                                              
stated  shall be  deposited into  the  account," and  asked how  a                                                              
contribution to a particular program will be handled.                                                                           
                                                                                                                                
MR.  BURNETT   said  that  it   is  his  understanding   that  the                                                              
contribution  will go to  that particular  program. He  added that                                                              
donations  will be tax  deductible  on federal  income taxes  if a                                                              
person itemizes.                                                                                                                
                                                                                                                                
SENATOR ELLIS noted  it is expensive for a bill  to travel through                                                              
the legislative process and that  the cost of this bill may exceed                                                              
the  amount  it  collects.  He  pointed  out  that  Senator  Leman                                                              
proposed  legislation  that pertains  to assignment  of  permanent                                                              
fund  dividends  for  charitable   donations.  He  commended  that                                                              
legislation to the Chairman.                                                                                                    
                                                                                                                                
SENATOR COWDERY repeated his motion to calendar SB 355.                                                                         
                                                                                                                                
CHAIRMAN PHILLIPS  announced that without objection,  SB 355 would                                                              
be calendared.                                                                                                                  
                                                                                                                                
SENATOR  THERRIAULT  moved  to  calendar  SB  371-WASTE  PERMIT  &                                                          
COASTAL  ZONE  EXEMPTIONS  and  its   zero  fiscal  notes  at  the                                                          
Chairman's discretion.                                                                                                          
                                                                                                                                
SENATOR ELLIS objected.                                                                                                         
                                                                                                                                
CHAIRMAN PHILLIPS announced that  the motion carried with Senators                                                              
Therriault,  Cowdery  and  Phillips  in favor  and  Senator  Ellis                                                              
opposed.                                                                                                                        
                                                                                                                                
CHAIRMAN PHILLIPS  announced that  the committee would  again take                                                              
up  HB 262-STATE  PROGRAM  RECEIPTS/  BLDG.SAFETY  ACCT. and  that                                                          
members  adopted   version  P   but  Version   O  was   now  under                                                              
consideration.                                                                                                                  
                                                                                                                                
REPRESENTATIVE LISA  MURKOWSKI, sponsor  of HB 262,  told members,                                                              
"I'm okay  with it Mr.  Chair, quite  honestly, doing  the laundry                                                              
list to  make it  add up  rather than  the more generic  paragraph                                                              
..."                                                                                                                            
                                                                                                                                
CHAIRMAN PHILLIPS asked if she has any objections to Version O.                                                                 
                                                                                                                                
REPRESENTATIVE MURKOWSKI said she does not.                                                                                     
                                                                                                                                
MS. ANNETTE  KREITZER, staff  to Senator  Leman and testifying  on                                                              
behalf of the Senate Finance Committee,  informed members that two                                                              
amendments to  HB 262 have been  proposed. The first is  a request                                                              
from  the  Department  of  Transportation  and  Public  Facilities                                                              
(DOTPF) and pertains to passenger  facility charges. It will allow                                                              
DOTPF, as  recommended by the  Division of Legislative  Budget and                                                              
Audit, to  account for the  passenger facility charges  separately                                                              
as the  FAA requires. She  said it is  her understanding  that the                                                              
Finance Committee Chairs of both  houses have no objection to this                                                              
amendment.  It does not  affect the  intent of the  bill, it  is a                                                              
vehicle to correct an accounting problem.                                                                                       
                                                                                                                                
CHAIRMAN PHILLIPS  asked if the passenger facility  fees are being                                                              
charged now.                                                                                                                    
                                                                                                                                
MS. KREITZER said they are.                                                                                                     
                                                                                                                                
MS.  NANCY SLAGLE,  Division  of Administrative  Services,  DOTPF,                                                              
verified that  DOTPF has been  collecting passenger  facility fees                                                              
since October of 2000.                                                                                                          
                                                                                                                                
SENATOR COWDERY moved  to adopt Version O as the  working document                                                              
of the committee.                                                                                                               
                                                                                                                                
CHAIRMAN PHILLIPS announced that  with no objection, Version O was                                                              
adopted.                                                                                                                        
                                                                                                                                
SENATOR ELLIS moved to adopt Amendment 1.                                                                                       
                                                                                                                                
CHAIRMAN PHILLIPS  announced that  with no objection,  Amendment 1                                                              
was adopted.                                                                                                                    
                                                                                                                                
MS.  KREITZER  explained  the  next   proposed  amendment  adds  a                                                              
reference  to AS  02.15.020, which  pertains to  fingerprint-based                                                              
criminal  background  checks  that  DOTPF  is required  to  do  on                                                              
airport employees.                                                                                                              
                                                                                                                                
MS.  SLAGLE  explained that  the  FAA  has  required DOTPF  to  do                                                              
fingerprint-based  criminal  background   checks  on  anyone  with                                                              
access to secure  areas of Alaska's certificated  or international                                                              
airports,  as a  result of  the 9/11  event.  DOTPF has  requested                                                              
about $110,000  in the  Homeland Security  appropriation  bill for                                                              
receipt authority  to charge airline employees  and concessionaire                                                              
employees a fee for processing the background checks.                                                                           
                                                                                                                                
CHAIRMAN  PHILLIPS identified  the amendment  to insert,  after AS                                                              
02.15.090 on page 3, line 13, "and AS 02.15.020" [Amendment 2].                                                                 
                                                                                                                                
SENATOR  ELLIS offered  to  sponsor that  amendment  and moved  to                                                              
adopt it. Without objection, it was so ordered.                                                                                 
                                                                                                                                
SENATOR COWDERY moved to calendar  Version O of HB 262 as amended.                                                              
                                                                                                                                
CHAIRMAN  PHILLIPS announced  that with  no objection, the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
The committee took up CSHB 225(FIN)am-ALCOHOLIC BEVERAGE TAX.                                                               
                                                                                                                                
CHAIRMAN  PHILLIPS   announced  that  a  Senate   Rules  Committee                                                              
substitute (Version X) had been prepared.                                                                                       
                                                                                                                                
SENATOR COWDERY moved  to adopt SCS CSHB 225(RLS)  for the purpose                                                              
of discussion.                                                                                                                  
                                                                                                                                
CHAIRMAN PHILLIPS  asked Representative  Murkowski if she  had any                                                              
objections to Version X.                                                                                                        
                                                                                                                                
REPRESENTATIVE  MURKOWSKI, sponsor  of HB 225,  said if  Version X                                                              
gives certain members  the comfort level they need  to support the                                                              
measure, she  does not object. She  said that she sees  this as an                                                              
attempt to direct  certain monies toward treatment  programs while                                                              
recognizing that funds cannot be dedicated.                                                                                     
                                                                                                                                
CHAIRMAN PHILLIPS  said Sections 3 and  4 were added in  Version X                                                              
and offered to hold  it in committee for 24 hours  so that members                                                              
could study it further.                                                                                                         
                                                                                                                                
REPRESENTATIVE MURKOWSKI  clarified that Section 4 is  new as well                                                              
as the purpose clause. Section 3 was in the existing bill.                                                                      
                                                                                                                                
SENATOR  THERRIAULT  asked  what  happened  to  the  section  that                                                              
allowed local governments to adjust  the rates and deal with local                                                              
problems.                                                                                                                       
                                                                                                                                
REPRESENTATIVE MURKOWSKI said that  was in the initial draft of HB                                                              
225 but became  complicated with the discussion of  an increase to                                                              
the excise  tax. One section of the  bill was about an  excise tax                                                              
while another was  about the ability to assess on  a sales tax. It                                                              
became far more  complicated than the House was able  to deal with                                                              
at that point  in time so  the House Labor and  Commerce Committee                                                              
deleted that portion of the bill.                                                                                               
                                                                                                                                
CHAIRMAN PHILLIPS again asked Representative  Murkowski if Version                                                              
X was acceptable to her.                                                                                                        
                                                                                                                                
REPRESENTATIVE MURKOWSKI said it is.                                                                                            
                                                                                                                                
SENATOR COWDERY  moved to calendar  SCS CSHB 225(RLS)  [Version X]                                                              
with any accompanying fiscal notes.                                                                                             
                                                                                                                                
CHAIRMAN  PHILLIPS announced  that without  objection, the  motion                                                              
carried.                                                                                                                        
                                                                                                                                
SENATOR THERRIAULT  expressed concern about an amendment  that was                                                              
adopted to  SB 252.  He said  it was  his understanding  that they                                                              
were dealing with two sections pertaining  to administrative costs                                                              
on the  STIP funds. He  thought the two  sections, on pages  9 and                                                              
21,  dealt with  administrative costs.  However, on  page 21,  the                                                              
language  that  was  amended  has  nothing to  do  with  the  STIP                                                              
program. He asked that the bill be held for 24 hours.                                                                           
                                                                                                                                
CHAIRMAN  PHILLIPS  announced  that   he  would  hold  SB  252  in                                                              
committee for 24  hours for the purpose of clarification.  He then                                                              
adjourned the meeting at 10:20 a.m.                                                                                             
                                                                                                                                
                                                                                                                                

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