03/01/2011 09:00 AM Senate STATE AFFAIRS
| Audio | Topic |
|---|---|
| Start | |
| SB93 | |
| SB2 | |
| SB16 | |
| SCR1 | |
| SB36 | |
| Adjourn |
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 93 | TELECONFERENCED | |
| += | SB 2 | TELECONFERENCED | |
| += | SB 16 | TELECONFERENCED | |
| *+ | SB 36 | TELECONFERENCED | |
| *+ | SCR 1 | TELECONFERENCED | |
ALASKA STATE LEGISLATURE
SENATE STATE AFFAIRS STANDING COMMITTEE
March 1, 2011
9:01 a.m.
MEMBERS PRESENT
Senator Bill Wielechowski, Chair
Senator Joe Paskvan, Vice Chair
Senator Kevin Meyer
Senator Cathy Giessel
MEMBERS ABSENT
Senator Albert Kookesh
COMMITTEE CALENDAR
SENATE BILL NO. 93
"An Act relating to special request specialty organization
registration plates; and providing for an effective date."
- MOVED SB 93 OUT OF COMMITTEE
SENATE BILL NO. 2
"An Act relating to National Rifle Association special request
license plates."
- MOVED CSSB 2(STA) OUT OF COMMITTEE
SENATE BILL NO. 16
"An Act relating to special request choose life license plates;
and providing for an effective date."
- MOVED CSSB 16(STA) OUT OF COMMITTEE
SENATE CONCURRENT RESOLUTION NO. 1
Designating May 2011 as Lupus Awareness Month.
- HEARD AND HELD
SENATE BILL NO. 36
"An Act relating to an opt-out charitable giving program offered
by an electric or telephone cooperative."
- HEARD AND HELD
PREVIOUS COMMITTEE ACTION
BILL: SB 93
SHORT TITLE: SPECIALTY LICENSE PLATES
SPONSOR(s): STATE AFFAIRS
02/21/11 (S) READ THE FIRST TIME - REFERRALS
02/21/11 (S) STA, TRA
02/22/11 (S) STA AT 9:00 AM BUTROVICH 205
02/22/11 (S) Heard & Held
02/22/11 (S) MINUTE(STA)
03/01/11 (S) STA AT 9:00 AM BUTROVICH 205
BILL: SB 2
SHORT TITLE: LICENSE PLATES: NATIONAL RIFLE ASSN.
SPONSOR(s): MENARD, HUGGINS
01/19/11 (S) PREFILE RELEASED 1/7/11
01/19/11 (S) READ THE FIRST TIME - REFERRALS
01/19/11 (S) STA, FIN
02/22/11 (S) STA AT 9:00 AM BUTROVICH 205
02/22/11 (S) Heard & Held
02/22/11 (S) MINUTE(STA)
03/01/11 (S) STA AT 9:00 AM BUTROVICH 205
BILL: SB 16
SHORT TITLE: SPECIAL REQUEST LICENSE PLATES
SPONSOR(s): MEYER
01/19/11 (S) PREFILE RELEASED 1/7/11
01/19/11 (S) READ THE FIRST TIME - REFERRALS
01/19/11 (S) STA, FIN
02/22/11 (S) STA AT 9:00 AM BUTROVICH 205
02/22/11 (S) Heard & Held
02/22/11 (S) MINUTE(STA)
03/01/11 (S) STA AT 9:00 AM BUTROVICH 205
BILL: SCR 1
SHORT TITLE: LUPUS AWARENESS MONTH
SPONSOR(s): DAVIS
01/19/11 (S) READ THE FIRST TIME - REFERRALS
01/19/11 (S) STA, HSS
03/01/11 (S) STA AT 9:00 AM BUTROVICH 205
BILL: SB 36
SHORT TITLE: OPT-OUT CHARITABLE GIVING PROGRAM
SPONSOR(s): THOMAS
01/19/11 (S) PREFILE RELEASED 1/14/11
01/19/11 (S) READ THE FIRST TIME - REFERRALS
01/19/11 (S) STA, JUD
03/01/11 (S) STA AT 9:00 AM BUTROVICH 205
WITNESS REGISTER
SENATOR LINDA MENARD
Alaska State Legislature
Juneau, AK
POSITION STATEMENT: Sponsor of SB 2.
CELESTE HODGE, Staff to Senator Bettye Davis
Alaska State Legislature
Juneau, AK
POSITION STATEMENT: Presented SCR 1 for sponsor.
SENATOR BETTYE DAVIS
Alaska State Legislature
Juneau, AK
POSITION STATEMENT: Sponsor of SCR 1.
MARY CRIMMINGS
Lupus Foundation of America
POSITION STATEMENT: Testified in support of SCR 1.
ANNA TILLMAN, Executive Director
Lupus Foundation Alaska Chapter
POSITION STATEMENT: Testified in support of SCR 1.
JUDY POWELL, Chairman of the Board
Alaska Lupus Chapter
POSITION STATEMENT: Testified in support of SCR 1.
CHRISTY BAUMGARTNER, family member
POSITION STATEMENT: Testified in support of SCR 1.
GRIER HOPKINS, Staff to Senator Joe Thomas
Alaska State Legislature
Juneau, AK
POSITION STATEMENT: Presented SB 36 for sponsor.
BRIAN NEWTON, CEO
Golden Valley Electric Association
Fairbanks, AK
POSITION STATEMENT: Testified in support of SB 36.
ED SNIFFEN, Assistant Attorney General
Consumer Protection Unit
Department of Law
Anchorage, AK
POSITION STATEMENT: Explained provisions of SB 36.
ACTION NARRATIVE
9:01:45 AM
CHAIR BILL WIELECHOWSKI called the Senate State Affairs Standing
Committee meeting to order at 9:01 a.m. Present at the call to
order were Senators Giessel, Meyer, and Chair Wielechowski.
SB 93-SPECIALTY LICENSE PLATES
9:02:23 AM
CHAIR WIELECHOWSKI announced the first order of business would
be SB 93.
SENATOR MEYER moved to report SB 93 from committee with
individual recommendations and attached fiscal note(s).
CHAIR WIELECHOWSKI announced that without objection, SB 93
passed out of the Senate State Affairs Standing Committee.
SB 2-LICENSE PLATES: NATIONAL RIFLE ASSN.
9:03:56 AM
CHAIR WIELECHOWSKI announced the next order of business would be
SB 2. He noted there was a new CS, version E, which is slightly
modified from the last version. It now requires the DMV to
consult with the Alaska Office of the American Cancer Society on
the design and color of the breast cancer awareness plates. It
also states that the legislature may appropriate excess funds
from the sale of this plate to programs that provide screening
for breast or cervical cancer.
SENATOR MEYER moved to adopt the proposed committee substitute
for SB 2, labeled 27-LS0016\E, as the working document.
CHAIR WIELECHOWSKI objected for discussion purposes.
SENATOR LINDA MENARD, sponsor of SB 2, said the bill was
introduced at the request of her constituents.
SENATOR MEYER asked what changes were made in the CS from the
original bill.
SENATOR MENARD explained that the original bill said excess
funds from the sale of breast cancer license plates would go
into the general fund. The CS says they may be appropriated by
the legislature to programs that provide screening for breast or
cervical cancer.
9:06:07 AM
SENATOR MEYER asked if the intent was to raise money.
SENATOR MENARD replied if the legislature appropriated the funds
the plates should raise some money for the organizations.
CHAIR WIELECHOWSKI responded that DMV would collect $10 per
plate, and anything beyond that could be appropriated.
CHAIR WIELECHOWSKI removed his objection and therefore, version
E was before the committee.
SENATOR MEYER moved to report SB 2, [version E,] from committee
with individual recommendations and accompanying fiscal note(s).
CHAIR WIELECHOWSKI announced that without objection, CSSB
2(STA), passed out of the Senate State Affairs Standing
Committee.
9:07:23 AM
Brief at-ease from 9:07-9:08.
SB 16-SPECIAL REQUEST LICENSE PLATES
9:08:29 AM
CHAIR WIELECHOWSKI announced the next order of business would be
SB 16. He noted there was a CS before the committee, version E,
which requires the DMV to consult with Planned Parenthood of the
Greater Northwest on the design and color of Pro Family Pro
Choice plates. The CS also states that the legislature may
appropriate excess funds from the sale of these plates to the
Alaska Children's Trust.
SENATOR MEYER moved to adopt the proposed committee substitute
to CS for SB 16( ), labeled 27-LS0120\E, as the working
document.
CHAIR WIELECHOWSKI objected for discussion purposes.
Seeing no discussion or questions, Chair Wielechowski removed
his objection and version E was before the committee.
SENATOR MEYER moved to report SB 16, [version E,] from committee
with individual recommendations and accompanying fiscal note(s).
CHAIR WIELECHOWSKI announced that without objection, CSSB
16(STA) moved from the Senate State Affairs Standing Committee.
9:09:55 AM
At-ease from 9:09-9:10.
SCR 1-LUPUS AWARENESS MONTH
9:10:45 AM
CHAIR WIELECHOWSKI announced the next order of business would be
SCR 1.
SENATOR MEYER moved to adopt committee substitute (CS) for SCR 1
( ), version 27-LS0099\B, as the working document.
9:12:41 AM
CHAIR WIELECHOWSKI objected for discussion purposes.
CELESTE HODGE, staff to Senator Bettye Davis, said SCR 1
designates May as Lupus Awareness Month, and it encourages all
Alaskans to observe Lupus Awareness Month with appropriate
activities that provide both education and support for people
diagnosed with lupus. Lupus is a disease that affects the immune
system, causing inflammation and tissue damage. Major gaps exist
in the understanding of the causes and consequences of lupus.
Lupus can affect any body part, including the skin, lungs,
heart, kidney, and brain. It can cause seizures, strokes, heart
attacks, miscarriages, and organ failure. Lupus strikes mostly
women of childbearing age and women of color develop lupus at a
rate two to three times the rate that Caucasians develop the
disease. It is difficult to diagnose because its symptoms are
similar to other illnesses. Each year the month of May is
designated as Lupus Awareness Month to show support for the
estimated 1.5 million Americans with lupus. More than 3,000
cases of lupus have been diagnosed in Alaska in patients 20 - 87
years of age. Ten members of the Lupus Foundation of America,
Alaska Chapter, recently passed away from lupus. By designating
May as Lupus Awareness Month, Alaska will join other states to
help increase awareness of lupus and show support for those
diagnosed with the disease.
SENATOR BETTYE DAVIS, sponsor of SCR 1, thanked the committee
for hearing the bill.
CHAIR WIELECHOWSKI asked what changes are in the CS from the
original version.
MS. HODGE answered that the year 2011 was removed, so that every
May is designated as Lupus Awareness Month.
MARY CRIMMINGS, Lupus Foundation of America, testified in
support of SCR 1. She said the Lupus Foundation of America is a
national, nonprofit health organization that conducts programs
of research, education, and advocacy. Lupus is a chronic auto
immune disease in which the immune system is out of balance,
causing inflammation and tissue damage to virtually any organ
system. Health effects can include heart attacks, strokes,
seizures, miscarriages, and organ failure. Lupus can cause
significant disability as well as death, and currently there is
no cure. It is estimated that 1.5 million Americans including
nearly 3,500 people living in Alaska have lupus. It is nine
times more common in women, and two to three times more common
among African Americans, Hispanic Latinos, Asian Americans, and
Native Americans. The reason for this disparity remains a
mystery. In 2003 the Lupus Foundation of America stimulated
funding for the first comprehensive epidemiology through the
Center for Disease Control and Prevention (CDC). This study is
being conducted in Alaska. Working in partnership with the
Indian Health Service, the CDC is discovering how many people
have lupus and determining how many new cases occur each year.
This will help researchers and policy-makers to gain a better
understanding of the individual and social impacts of the
disease. Twenty-one other states have already begun the process
of declaring May as Lupus Awareness Month.
ANNA TILLMAN, Executive Director, Lupus Foundation Alaska
Chapter, said they are trying to educate all Alaskans including
doctors and the medical community about this disease. Young
people are affected, mostly women in their childbearing years.
People struck by this disease can become unable to care for
themselves. Others never know from day to day what their
limitations will be. It can attack the lungs, brain, and all
organs. Lupus can be very debilitating as it affects all tissues
in the body.
JUDY POWELL, Chairman of the Board, Alaska Lupus Chapter,
explained the Alaska lupus problem. In the United States there
are more people with lupus than with multiple sclerosis, sickle
cell anemia, and cystic fibrosis combined. Blacks are at risk
three to one, and Alaska Natives as well as other minorities
including Asians and Hispanics are at risk two to one to
Caucasians. Symptoms can be as mild as a rash or as extreme as
kidney failure. The Anchorage office is the only one in Alaska.
It is important, because we are so isolated here, to spread the
word on a regular basis.
CHRISTY BAUMGARTNER testified in support of SCR 1 and said that
she has a family member with lupus.
CHAIR WIELECHOWSKI closed public testimony on SCR 1.
SENATOR DAVIS gave final comments on the resolution. She said
that the people involved are all volunteers, and they work very
hard. They have a fundraising walk once a year, but they work at
this all year long.
CHAIR WIELECHOWSKI said SCR 1 would be set aside for further
hearing.
SB 36-OPT-OUT CHARITABLE GIVING PROGRAM
9:24:07 AM
CHAIR WIELECHOWSKI announced the next order of business would be
SB 36.
GRIER HOPKINS, staff to Senator Joe Thomas, sponsor of SB 36,
said this bill was brought to their attention by Golden Valley
Electric Association (GVEA). Opt-out charitable giving programs
have been around for many years, and more than 250 utility
cooperatives across the U.S. have adopted similar programs.
These allow individuals to contribute small amounts that add up
quickly and help build a stronger community. Opt-out charitable
giving programs must be approved by co-op members. This program
rounds up a monthly bill to the nearest dollar, so the maximum
amount withheld per month would be anywhere between .01 cent and
.99 cents. These small amounts add up quickly, and the average
payment for a GVEA member would be approximately six dollars a
year. Collected funds are dispersed to qualified organizations
and individuals within the service district. Each co-op crafts
its own by-laws on this. Most distribute the funds to the board
of a separately created 501(c)(3) organization that they have
established. Among the more than 250 cooperatives with
charitable giving programs, most have adopted opt-out rather
than opt-in programs. These programs have 90 percent member
participation. Members may choose to opt out of the program at
any time. Donations may be refunded up to a full three years. SB
36 will remove any possible conflict with AS 45.45.930, dealing
with opt-out marketing plans. Opt-out charitable giving programs
in Alaska would require membership approval; disclosure of the
amount added would be identified on the member's bill; extended
refunds, if requested, could stretch back as far as three years.
Donations are tax deductible and must benefit the service area
of the cooperative.
9:28:05 AM
BRIAN NEWTON, CEO, Golden Valley Electric Association (GVEA),
Fairbanks, testified in support of SB 36. He said their members
have already approved initiating the program. GVEA became aware
of a possible conflict with AS 45.45.930, so this bill is
intended to remove any possible conflict. GVEA is proud of being
able to give back to the community. Collecting small amounts and
then returning them to the community is a way of giving to the
community. GVEA will rotate the money as quickly as possible.
9:30:37 AM
CHAIR WIELECHOWSKI asked how GVEA decides what charities to give
to.
MR. NEWTON said the board of directors of their 501(c)(3) will
review the applications. They will look at the need and purpose.
The board has specifically prohibited religious campaigns and
political donations. So the board will choose who receives the
funds, based upon criteria they have established.
SENATOR GIESSEL asked if GVEA had already started the program.
MR. NEWTON responded that GVEA has started the program, and
legal counsel advises they are not prohibited from doing this.
SB 36 is a clean-up bill to make sure there is no conflict with
existing statutes.
9:32:35 AM
ED SNIFFEN, Assistant Attorney General, Consumer Protection
Unit, Civil Division, Department of Law, Anchorage, said that AS
45.45.930 creates a potential conflict with the program as
outlined. There is some question about whether this program
would be prohibited under current statute. This bill would make
a specific exemption from AS 45.45.930 for electric and
telephone cooperatives. This bill provides good protection for
consumers.
9:33:33 AM
SENATOR PASKVAN joined the meeting.
9:34:55 AM
SENATOR GIESSEL asked about information in the committees'
packets referring to an amendment discussing the definition of
charitable purpose.
MR. SNIFFEN said in HB 114, the companion bill, there was
discussion in the House Labor & Commerce Committee about
restricting the ability of cooperatives to provide donations to
religious organizations. After doing research on how to define
charitable purpose, the committee came up with an amendment.
9:36:47 AM
MR. SNIFFEN noted that language in statutes and cases helps
define "charitable purpose." Alaska Statutes require charitable
solicitors to register and operate within certain guidelines.
Combining these resources led to a definition of charitable
purpose. GVEA is a model program, but the bill doesn't require
other electric associations to do the same thing. The definition
of charitable donations in the original bill is too broad.
SENATOR GIESSEL asked how the amendment narrowed the definition
of charitable donations.
MR. SNIFFEN said the definition was dealing with language that
does not exist in the bill, and would not apply to this bill.
The proposed amendment to the companion bill did not use that
language, but rather mirrored existing language which says that
they can make donations for the public welfare, charitable, and
educational purposes. They have narrowed the definition to
charitable purposes only. Entities other than 501(c) (3)s also
do charitable work.
SENATOR GIESSEL asked about the constitutional equal protection
issue. She mentioned the Salvation Army and Brother Francis
Shelter, and asked if organizations like these are included or
excluded.
MR. SNIFFEN said they would be included under this definition.
Religious based organizations can do charitable work. If there
is not a religious purpose, to promote a particular religion,
then they are eligible to receive donations.
9:42:18 AM
CHAIR WIELECHOWSKI suggested the bill sponsor's suggested
amendment could be included in a CS for the next meeting.
MR. HOPKINS explained the purpose of the amendment. This is an
amendment that Mr. Sniffen wrote to limit or more closely define
charitable purposes. The intent is to assure there is no
pecuniary profit, but it does not exclude specific types of
organizations or donations. This could also be addressed in the
by-laws of the utility co-op.
SENATOR PASKVAN asked about refunds going back three years.
9:45:25 AM
MR. HOPKINS said it was to give members the benefit of the doubt
in case they did not read their bill.
SENATOR PASKVAN asked if there was discussion about that length
of time.
MR. HOPKINS said GVEA took the recommendation from its members.
MR. NEWTON said that the board of GVEA was emphatic about the 3
years, because people vote with their dollars. GVEA will publish
the list of organizations donated to, and consumers get a three
year look at how money is given to the community. If they don't
like the board's choices, they can request a refund.
SENATOR MEYER noted that opt-out programs on credit card bills
required 60 days written notice for opting out. He stated he is
not concerned with this program, but he is concerned about the
length of three years, and asked where GVEA would get the refund
money.
9:48:22 AM
CHAIR WIELECHOWSKI noted the committee is setting policy for the
whole state. Other organizations might be affected.
MR. NEWTON said the committee could change the refund length to
one or two years. He stated the fund would have to maintain a
reserve for possible refunds. Other states have not had a
problem with this. If the committee wants to shorten the time,
that would be fine.
SENATOR MEYER said if there is an adequate reserve then three
years is probably okay. He does support the bill. In general he
favors opt in vs. opt out, but this program seems okay. He had a
bad experience with a credit card company and an opt-out
program, but is not concerned with this bill.
CHAIR WIELECHOWSKI asked if Mr. Sniffen could address opt in vs.
opt out programs.
MR. SNIFFEN said generally the DOL doesn't like opt out
programs. But for this particular program the statute has good
features to help protect consumers. The cooperative membership
has to vote on the program. The three year refund is a feature
that DOL likes, and would encourage keeping in the bill. If the
program is run correctly they will have a reserve. DOL also
likes the mandatory disclosures on monthly utility bills. He
stated SB 36 contains many protections to resolve potential
problems, it does benefit the community, and he supports the
bill.
MR. NEWTON stated that GVEA would support an amendment or CS as
proposed, with the changes proposed in the House version.
9:54:13 AM
CHAIR WIELECHOWSKI closed public testimony and announced he
would hold SB 36 in committee.
9:54:39 AM
There being no further business to come before the committee,
Chair Wielechowski adjourned the Senate State Affairs Standing
Committee meeting at 9:55 a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB 36 - Sectional Analysis.pdf |
SSTA 3/1/2011 9:00:00 AM |
SB 36 |
| SB 36 - GVEA Goodcents Website.pdf |
SSTA 3/1/2011 9:00:00 AM |
SB 36 |
| SB 36 - GVEA Explanation.pdf |
SSTA 3/1/2011 9:00:00 AM |
SB 36 |
| SB 36 - Utility Support Letters.pdf |
SSTA 3/1/2011 9:00:00 AM |
SB 36 |
| SB 36 - Bill Version M.pdf |
SSTA 3/1/2011 9:00:00 AM |
SB 36 |
| SB 36 - Sponsor Statement.pdf |
SSTA 3/1/2011 9:00:00 AM |
SB 36 |
| SB 36 - Utility Membership.pdf |
SSTA 3/1/2011 9:00:00 AM |
SB 36 |
| SCR 1 Committee Substitute.pdf |
SSTA 3/1/2011 9:00:00 AM |
SCR 1 |
| SCR 1 Legislative Counsel.pdf |
SSTA 3/1/2011 9:00:00 AM |
SCR 1 |