02/20/2014 09:00 AM Senate STATE AFFAIRS
| Audio | Topic |
|---|---|
| Start | |
| SB145 | |
| SB127 | |
| HJR23 | |
| HJR19 | |
| HJR23 | |
| Adjourn |
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 145 | TELECONFERENCED | |
| += | SB 127 | TELECONFERENCED | |
| + | HJR 23 | TELECONFERENCED | |
| + | HJR 19 | TELECONFERENCED | |
ALASKA STATE LEGISLATURE
SENATE STATE AFFAIRS STANDING COMMITTEE
February 20, 2014
9:04 a.m.
MEMBERS PRESENT
Senator Fred Dyson, Chair
Senator Cathy Giessel, Vice Chair
Senator John Coghill
Senator Bill Wielechowski
MEMBERS ABSENT
Senator Bert Stedman
COMMITTEE CALENDAR
SENATE BILL NO. 145
"An Act relating to the Teachers' Retirement System, the
Judicial Retirement System, and the Public Employees' Retirement
System for qualified military service; relating to the
definition of 'veteran' for purposes of housing, eligibility for
veterans' loans, and preferences in state employment hiring; and
providing for an effective date."
- MOVED SB 145 OUT OF COMMITTEE
SENATE BILL NO. 127
"An Act authorizing the commissioner of administration to enter
into agreements with agents to perform for compensation certain
transactions related to vehicles; relating to the duties of
those agents; and providing for an effective date."
- MOVED SB 127 OUT OF COMMITTEE
HOUSE JOINT RESOLUTION NO. 23
Proclaiming March 27, 2014, as Good Friday Earthquake
Remembrance Day.
- MOVED HJR 23 OUT OF COMMITTEE
CS FOR HOUSE JOINT RESOLUTION NO. 19(MLV)
Urging the Secretary of the United States Air Force, the Chief
of Staff of the United States Air Force, and the Commander of
the Pacific Air Forces to base F-35 aircraft assigned to the
Pacific Air Forces at Eielson Air Force Base.
- MOVED CSHJR 19(MLV) OUT OF COMMITTEE
PREVIOUS COMMITTEE ACTION
BILL: SB 145
SHORT TITLE: VETS' RETIREMENT/LOANS/HOUSING/EMPLOYMENT
SPONSOR(s): RULES BY REQUEST OF THE GOVERNOR
01/29/14 (S) READ THE FIRST TIME - REFERRALS
01/29/14 (S) STA
02/13/14 (S) STA AT 9:00 AM BUTROVICH 205
02/13/14 (S) Heard & Held
02/13/14 (S) MINUTE(STA)
02/20/14 (S) STA AT 9:00 AM BUTROVICH 205
BILL: SB 127
SHORT TITLE: VEHICLE TRANSACTION AGENTS
SPONSOR(s): GIESSEL
01/22/14 (S) READ THE FIRST TIME - REFERRALS
01/22/14 (S) STA
02/13/14 (S) STA AT 9:00 AM BUTROVICH 205
02/13/14 (S) Heard & Held
02/13/14 (S) MINUTE(STA)
02/20/14 (S) STA AT 9:00 AM BUTROVICH 205
BILL: HJR 23
SHORT TITLE: GOOD FRIDAY EARTHQUAKE REMEMBRANCE DAY
SPONSOR(s): MILLETT
01/21/14 (H) READ THE FIRST TIME - REFERRALS
01/21/14 (H) STA
01/28/14 (H) STA AT 8:00 AM CAPITOL 106
01/28/14 (H) Moved CSHJR 23(STA) Out of Committee
01/28/14 (H) MINUTE(STA)
02/04/14 (H) STA AT 8:00 AM CAPITOL 106
02/04/14 (H) Moved Out of Committee
02/04/14 (H) MINUTE(STA)
02/05/14 (H) STA RPT 7DP
02/05/14 (H) DP: MILLETT, GATTIS, KELLER, ISAACSON,
KREISS-TOMKINS, HUGHES, LYNN
02/07/14 (H) TRANSMITTED TO (S)
02/07/14 (H) VERSION: HJR 23
02/10/14 (S) READ THE FIRST TIME - REFERRALS
02/10/14 (S) STA
02/20/14 (S) STA AT 9:00 AM BUTROVICH 205
BILL: HJR 19
SHORT TITLE: BASE F-35 AIRCRAFT AT EIELSON AFB
SPONSOR(s): ISAACSON
01/21/14 (H) READ THE FIRST TIME - REFERRALS
01/21/14 (H) MLV
02/04/14 (H) MLV AT 1:00 PM CAPITOL 120
02/04/14 (H) Moved CSHJR 19(MLV) Out of Committee
02/04/14 (H) MINUTE(MLV)
02/07/14 (H) MLV RPT CS(MLV) 7DP
02/07/14 (H) DP: GRUENBERG, HIGGINS, REINBOLD,
SADDLER, HUGHES, FOSTER, LEDOUX
02/10/14 (H) TRANSMITTED TO (S)
02/10/14 (H) VERSION: CSHJR 19(MLV)
02/12/14 (S) READ THE FIRST TIME - REFERRALS
02/12/14 (S) STA
02/20/14 (S) STA AT 9:00 AM BUTROVICH 205
WITNESS REGISTER
MIKE BARNHILL, Deputy Commissioner
Alaska Department of Administration
Juneau, Alaska
POSITION STATEMENT: Provided an overview of SB 145.
MCHUGH PIERRE, Deputy Commissioner
Alaska Department of Military and Veterans Affairs
Joint Base Elmendorf-Richardson
Richardson, Alaska
POSITION STATEMENT: Addressed departmental questions regarding
SB 145.
MARK SAN SOUCI, Northwest Regional State Liaison
Department of Defense State Liaison Office
Office of the Deputy Assistant Secretary of Defense
Tacoma, Washington
POSITION STATEMENT: Supported Senator Wielechowski's proposed
amendment to SB 145.
CARY BOLLING, Sales Marketing Manager
Alaska Housing Finance Corporation
Anchorage, Alaska
POSITION STATEMENT: Announced being available for questions
regarding SB 145.
BOB PAWLOWSKI, representing himself
Anchorage, Alaska
POSITION STATEMENT: Supports SB 145.
MONICA SOUTHWORTH, Staff
Senator Wielechowski
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Provided a proposed amendment overview for
SB 145.
JON SHERWOOD, Deputy Director
Division of Senior & Disabilities Services
Alaska Department of Health and Social Services
Juneau, Alaska
POSITION STATEMENT: Explained how the Division of Senior &
Disabilities Services oversees the Medicaid Home and Community
Care Waiver program.
FORREST WOLFE, Staff
Senator Giessel
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Provided an overview for SB 127.
AMY ERICKSON, Director
Division of Motor Vehicles (DMV)
Alaska Department of Administration
Anchorage, Alaska
POSITION STATEMENT: Set forth that DMV supports SB 127.
DUANE BANNOCK, representing himself
Kenai, Alaska
POSITION STATEMENT: Announced being available for questions
regarding SB 127.
JEFF TURNER, Staff
Representative Millett
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Provided an overview of HJR 23.
CHARLES VOLANTI, representing himself
Olympia, Washington
POSITION STATEMENT: Supports HJR 23.
REPRESENTATIVE DOUG ISAACSON
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: HJR 19 sponsor.
LUKE HOPKINS, Mayor
Fairbanks North Star Borough
Fairbanks, Alaska
POSITION STATEMENT: Supports HJR 19.
ACTION NARRATIVE
9:04:19 AM
CHAIR FRED DYSON called the Senate State Affairs Standing
Committee meeting to order at 9:04 a.m. Present at the call to
order were Senators Giessel, Wielechowski, Coghill, and Chair
Dyson.
9:04:35 AM
CHAIR DYSON announced that there are two bills and two
resolutions before the committee. He stated that his intention,
with the committee's approval, is to move all four pieces of
legislation at today's meeting.
SB 145-VETS' RETIREMENT/LOANS/HOUSING/EMPLOYMENT
CHAIR DYSON announced the consideration of SB 145.
9:05:06 AM
MIKE BARNHILL, Deputy Commissioner, Alaska Department of
Administration, Juneau, Alaska, introduced the Governor's
veteran update bill. He said the bill does a handful of things
to update Alaska's laws with respect to treatment of veterans.
He specified that the hiring preference in the state's personnel
code updates the definition of veteran to include recent
conflicts that followed the Vietnam War; that update also
applies to Department of Commerce veterans' loans as well as
Alaska Housing Finance Corporation access to housing projects.
He added that the bill also updates Alaska pension law to comply
with the Heroes Earnings Assistance Relief Tax (HEART) Act of
2008. He explained that the HEART Act was enacted by Congress to
address active employees of employers that participate in the
Public Employee Retirement System, Teachers Retirement System,
or Judicial Retirement System. He specified that an employee who
is called into service and killed while performing qualified
military service that their last day of employment will be
deemed the date of death for purposes of pension benefits that
the survivors would receive such as accelerated vesting or
insularly life insurance benefits. He added that to comply with
the HEART Act, the wage differential is defined as the
difference between the wage that the employee receives in public
employment versus the wage that they receive from the military;
that is the differential wage that will be construed under
federal law as W-2 wages and the employer will include that as
wages paid to the employee for tax purposes.
9:07:55 AM
SENATOR WIELECHOWSKI addressed page 4, lines 14-18 regarding
qualifications for loans. He asked what would be the last date
of Operation Iraqi Freedom and time periods that will be listed
in 5 United States Code (USC) 2108(1).
MR. BARNHILL replied that the last date will be defined by the
federal government. He stated that he did not know when the date
will be. He said the federal statute is a statute that defines
veteran in much the same way that Alaska's statute does. He
explained that federal laws update conflicts on a more regular
basis and Alaska has not updated its veteran definition statutes
since the Vietnam War. He specified that the federal statute
include the initial Iraqi Conflict from 1990-1992 and Operation
Iraqi Freedom will be added.
SENATOR WIELECHOWSKI asked if people deployed in Afghanistan or
other parts of the world would be covered.
MR. BARNHILL specified that the bill covers all service rendered
during specific time periods wherever in the world that service
occurs, examples would include San Francisco, Iraq, and
Afghanistan.
9:09:47 AM
MCHUGH PIERRE, Deputy Commissioner, Alaska Department of
Military and Veterans Affairs (DMVA), Joint Base Elmendorf-
Richardson, Richardson, Alaska, said he had addressed the
service rendered issue with Mr. Barnhill and noted working with
the U.S. Department of Veterans Affairs that Operation Enduring
Freedom (OEF), which includes Afghanistan, is included in the
definition, but not specified until the conflict is completely
finished. He said OEF is expected to draw-down by sometime in
2015.
SENATOR WIELECHOWSKI asked if coverage for service rendered is
time or location based.
MR. PIERRE replied that coverage is dependent on a person's job
title and what the person is doing. For example, an individual
flying Unmanned Arial Vehicle (UAV) missions in Nevada would be
included as a combat veteran. He added that every veteran's DD-
214 document will have a combat identifier.
SENATOR COGHILL noted that he has a DD-214 document when he
separated from the military.
CHAIR DYSON asked if the committee should consider putting
wording in the bill that whenever the federal government changes
their classifications on a new conflict that Alaska's statutes
would follow that.
9:12:01 AM
MR. BARNHILL answered that was exactly what the bill proposes to
do by incorporating reference to 5 USC 2108.
SENATOR WIELECHOWSKI asked if there were other situations where
the state would not want to be bound by the federal government's
definition.
MR. PIERRE replied that following the federal code for the
definition of combat veteran should be safe. He advised that the
state follow the federal code.
SENATOR COGHILL remarked that he usually is not a fan of tying
statutes to federal code, but agrees with the proposal because
Alaskan veterans will benefit due to the state's slower statute
changes.
9:13:47 AM
CHAIR DYSON opened the hearing to public testimony.
9:14:00 AM
MARK SAN SOUCI, Northwest Regional State Liaison, Defense State
Liaison Office, Office of the Deputy Assistant Secretary of
Defense, Tacoma, Washington, stated that he will address Senator
Wielechowski's proposed amendment.
9:14:25 AM
CARY BOLLING, Sales Marketing Manager, Alaska Housing Finance
Corporation, Anchorage, Alaska, said he was available for
questioning.
9:14:40 AM
BOB PAWLOWSKI, representing himself, Anchorage, Alaska, pointed
out that he is a retired National Oceanic and Atmospheric
Administration (NOAA) commissioned officer and a federally
recognized veteran with service connected to injuries. He read
the following statement:
I appreciate your attention to the importance that our
veterans bring to our nation and our state and
revealing this bill as an update to the Alaskan
veteran's laws, which appears, listening to Deputy
Commissioner Barnhill, has not been updated since the
Vietnam era. I ask you to consider bringing
consistency between the present U.S. code definitions
and the Alaska statutes associated with Veterans Armed
Forces, Military Service, and Uniformed Services.
Specifically I am referring to: Title 10 USC, which is
the Armed Forces' title; Title 37 USC, which is pay
and allowances; and Title 38 USC, which is Veteran's
Benefits as they apply to the definitions of active
duty, military service, and uniformed services. I
respect the difference of combat veterans, combat
service, and armed service versus active duty military
uniformed services as it pertains to the lower parts
of the statute in front of you. I fully support the
eras and the conflict. I am just asking that the
veteran's language be brought consistent with federal
code.
MR. PAWLOWSKI noted his work background work as a state employee
and his inability to claim to be a service disabled veteran. He
called attention to the inconsistencies in statutes.
CHAIR DYSON asked Mr. Pierre to comment on Mr. Pawlowski's
testimony.
9:18:51 AM
MR. PIERRE noted that Mr. Pawlowski has some valid points and
his department can take a hard look at all of the locations of
"veteran" separate from what is a combat veteran and then what
is a veteran in general. He said he did not know if SB 145 is
the vehicle, but added that he can address Mr. Pawlowski's
points and provide a recommendation.
CHAIR DYSON asked where SB 145 goes next. He inquired if SB 145
had a Senate Finance Committee referral.
SENATOR WIELECHOWSKI revealed that SB 145 goes to the Senate
Floor.
CHAIR DYSON addressed Mr. Pierre and noted that he thinks Public
Health Service and NOAA are not considered to be military
veterans.
MR. PIERRE replied that Chair Dyson's assumption is not entirely
correct. He specified that individuals that separate from NOAA
receive a DD-214 document that provides for veteran status
determination. He said Mr. Pawlowski is an example of someone
who is a service connected veteran who the U.S. Department of
Veterans Affairs (VA) says is a veteran, so the question where
we have some discrepancies in the state's programs that might
not require to be fixed through statute and could be fixed
through regulation that specifies in personnel hiring to include
veterans recognized by the VA.
9:20:49 AM
CHAIR DYSON announced that the committee will stand at ease.
9:22:15 AM
CHAIR DYSON called the committee back to order.
9:22:57 AM
SENATOR WIELECHOWSKI offered Amendment 1 to the committee.
CHAIR DYSON objected for the purposes of discussion.
9:23:23 AM
MONICA SOUTHWORTH, Staff, Senator Wielechowski, Alaska State
Legislature, Juneau, Alaska, said the amendment before the
committee deals with Medicaid waivers and the wait list for
military families. She explained that the issue arose out of a
survey that was done by a national organization called
Specialized Training of Military Parents (STOMP,) which works
with military families that have special needs children. She
said often times the Tricare Echo Program, which is a
supplemental insurance program to Tricare Standard and Tricare
Prime, does not always fulfill all of the families' needs and
requires families to apply for a Medicaid waiver. She related
that many comments from the STOMP survey revolved around respite
care not being enough and the only option for a family was
Medicaid. She set forth situations where families apply for
Medicaid waivers and are then stationed outside of Alaska. She
revealed that Alaska's average Medicaid waiver wait list is
approximately four years for home and community based care. She
said families are removed from the waiver wait list when they
leave the state. She set forth that the amendment proposes that
families remain on the state's waiting list and maintain their
priority as long as they intend to return to Alaska within 18
months of separation. She specified that services will not
follow families out of the state. She said the amendment will
benefit families at Eielson Air Force Base and Joint Base
Elmendorf-Richardson (JBER), but only if families return to the
state. She revealed that Mr. San Souci is available for comment
and noted that allowing service members to retain their Medicaid
waiver priority is listed as a top ten issue for the DOD
Legislative Liaison Office.
9:25:34 AM
SENATOR WIELECHOWSKI mentioned that Amendment 1 has a zero
fiscal note, does not cost anything to do, and specifically
preserves a service member's place on a waiting list. He
specified that service members will not lose their wait list
position as long as they intend to come back and permanently
reside in Alaska.
MR. SAN SOUCI detailed that preserving the place on a waiting
list consistently becomes a key issue for special needs families
that move out of state and are required to start over from
square one. He specified that in some states the wait is two to
eight years with service families that move to another state
having to start over. He explained that the thought for the
easiest solution is to just have the legal residence of a state
apply during active duty and stay in the queue for future
military coverage. He specified that the request is not asking
for a new entitlement or to bump anyone else off a list. He
noted that family dependency will be reevaluated due to
potential medical change. He noted service wait list legislation
has passed in other states with zero fiscal notes.
CHAIR DYSON asked Mr. Barnhill for the Administration's position
on Amendment 1.
MR. BARNHILL replied that the question pertains to the
Department of Health and Social Services and DOD priorities.
9:28:30 AM
JON SHERWOOD, Deputy Director, Division of Senior & Disabilities
Services (DSDS), Alaska Department of Health and Social
Services, Juneau, Alaska, said DSDS oversees the Medicaid Home
and Community Care Waivers (MHCCW). He explained that Medicaid
waivers are alternatives to institutional care that must meet
institutional care standards for qualification. He said Alaska
currently operates four Medicaid waivers. He explained that
unlike the rest of the Medicaid program which could be called a
pure entitlement, states are allowed to limit the number of
people who are served on their waivers. Three of the state's
four waivers do not operate with waiting lists and provide for
immediate eligibility.
MR. SHERWOOD said the MHCCW wait list is approximately 600
people at any given time. He explained that people on the MHCCW
wait list are ranked according to need-score with approximately
20 people per month moved off of the wait list. He noted that
people who return to the state with a high need-score would be
ranked high on the registry list. He asserted that the amendment
will not have a substantial impact on the wait list.
CHAIR DYSON asked if there is a downside to Amendment 1.
MR. SHERWOOD replied that Amendment 1 would minimally impact
MHCCW.
9:31:27 AM
CHAIR DYSON noted that the Permanent Dividend Fund addresses
state residency. He asked if residency verification would be an
issue for DSDS.
MR. SHERWOOD answered that he did not think so. He said DSDS
would probably give people the benefit of the doubt if they
provided a reasonable case. He noted that candidates still have
to go through a thorough application process to be determined
for Medicaid qualification.
SENATOR COGHILL surmised that the speed of the qualification
process is slow. He noted his support for those who want to come
back to Alaska. He asked if Amendment 1 would "tip the scales"
in favor of a military family.
MR. SHERWOOD explained that DSDS draws people based on a numeric
score and people with similar scores would be drawn at the same
time.
SENATOR COGHILL set forth that MHCCW is generally services that
are the last best hope for families to help them survive. He
asserted that the state provides some pretty good services even
though the MHCCW wait list is long. He noted that many
communities are stepping up. He asked if Amendment 1 would act
as a draw or a convenience for military families.
9:35:06 AM
MR. SHERWOOD answered that he did not know. He noted that
multiple support services are available to Alaska residents
beyond MHCCW. He noted his concern that people do not know how
the MHCCW wait list works. He specified that the wait list is
not time based and people do not start back at the beginning. He
noted that a quarter of the people on the wait list have the
lowest possible score in terms of ranking and do not identify
for immediate needs. He added that lower ranked families have
access to other services.
9:37:01 AM
SENATOR COGHILL expressed his concern for individuals who are
waiting for the most intensive services. He said he did not want
individuals to think that people are going to be moved in and
individuals with intensive needs are going to be bumped off. He
specified that the wait list is based on need. He said with all
due respect to the military, the intent should be to assimilate
military families and help them everywhere the state can;
however, there are individuals with needs that must be treated
as fairly and equitably as possible.
CHAIR DYSON addressed Mr. Pierre and asked to clarify that DMVA
does not have a position on Amendment 1.
MR. PIERRE replied that DMVA has done a tremendous job to
identify all of the top ten priorities as Senator Wielechowski
has pointed out. He asserted that SB 145 deals with specific
cleanup language and Amendment 1 is not in line with what the
bill is trying to accomplish. He stated that Amendment 1 has
good merit and stands on its own, but does align with SB 145.
CHAIR DYSON asked Senator Wielechowski if Amendment 1 fits
within the title of SB 145.
9:39:18 AM
SENATOR WIELECHOWSKI replied that he thinks Amendment 1 does fit
within the bill's title and noted its intent was proposed as
sort of a military omnibus bill. He noted being careful not to
include the intent from Amendment 1 in a number of his military
bills that have fiscal notes. He stated his belief that the
intent in SB 145 was to make Alaska more attractive for active
duty and veterans to honor their services with Amendment 1
addressing the same intent. He reiterated that Amendment 1 holds
a spot as long as the service family returns within 17 months
and avoids an added three years of waiting.
CHAIR DYSON asked if Senator Wielechowski had Legislative
Legal's analysis on whether Amendment 1 fits under SB 145.
SENATOR WIELECHOWSKI answered yes and explained as follows:
It's not a bill that came from the House, there's not
a title change and it fits within the title. You have
to insert a provision and that's what we do on page 1
of the amendment to slightly change the title, it's
within the subject, so there is no constitutional
issue.
SENATOR GIESSEL pointed out that the Key Coalition of Alaska was
recently at the Capitol. She said she had meetings with multiple
parents talking about the wait list and how heart breaking it
was for them to persevere through the wait list until their
opportunity came up. She remarked that while the amendment may
have merit for the military folks and may not substantially
change who moves up on the wait list, she shared a concern that
her desperately waiting constituents may perceive being pushed
aside by someone else. She set forth that she will be a no vote
on Amendment 1.
9:42:25 AM
SENATOR WIELECHOWSKI replied that he certainly respects Senator
Giessel's opinion. He pointed out that the people affected by
his amendment are Alaska residents who are being required by the
government to go out of state. He asserted that his intent is to
specify the important distinction. He pointed out legislation
from last year that allows the Permanent Dividend Fund to grant
exemptions when an Alaska resident is forced to be out of state
by the government. He asserted that the intent of Amendment 1 is
similar to what is done with the Permanent Dividend Fund.
SENATOR COGHILL asked to address DSDS and noted that it is his
understanding that it is based on need and not on time. He
stated that at this point it is not a matter of holding a place.
He asked if a family that returns to the state would have to go
through the reapplication process and would Amendment 1 help
them receive their waiver more quickly.
MR. SHERWOOD replied that Amendment 1 will do nothing about
accelerating Medicaid eligibility and will not materially affect
an individual's score. He reiterated that individuals will have
to reapply when they return to the state. He noted that the
reapplication registry process may be sped up. He revealed that
the registry process takes approximately 30 days.
9:45:27 AM
SENATOR COGHILL verified that individuals would have to apply
for the Medicaid waiver because that is a state run program with
federal partnership.
MR. SHERWOOD answered correct. He explained that waiver services
are not portable and do not follow a family if they move out of
state.
SENATOR COGHILL commented that Amendment 1 may assist a military
family to quickly reestablish waiver eligibility. He said he did
not see any great material benefit from Amendment 1 and noted
that eligibility is qualification-based rather than time-based.
He asserted that verbiage in the amendment that a place is held
does not help. He inquired if Amendment 1's timelines adds
complexity for individuals who do not fall within its
parameters.
MR. SHERWOOD answered that DSDS would have to add some degree of
verification if timelines are involved. He added that Amendment
1 would not give an individual a particular qualification
advantage. He said people who did not meet a timeline
restriction would proceed through the registry process and
essentially compete with others on the wait list based on score.
He stated that Amendment 1 would not have a detrimental impact
on people who did not meet its timelines.
9:48:03 AM
CHAIR DYSON announced that he will maintain his objection and
asked for a roll call vote. Senators Wielechowski and Dyson
voted yea; Senators Giessel and Coghill voted nay; therefore
Amendment 1 fails.
9:48:31 AM
CHAIR DYSON announced the committee would stand at ease.
9:48:35 AM
CHAIR DYSON called the committee back to order.
CHAIR DYSON announced that Amendment 1 fails and asked for a
motion.
9:48:51 AM
SENATOR GIESSEL moved to report SB 145, labeled 28-GS2585\A from
committee with individual recommendations and attached zero
fiscal note.
9:49:05 AM
CHAIR DYSON announced that without objection, SB 145 passes out
of the Senate State Affairs Standing Committee.
9:49:12 AM
CHAIR DYSON announced that the committee will stand at ease.
SB 127-VEHICLE TRANSACTION AGENTS
9:50:20 AM
CHAIR DYSON called the committee back to order. He announced
that SB 127 will be the next order of business. He noted that SB
127 was previously heard.
9:50:24 AM
FORREST WOLFE, Staff, Senator Giessel, Alaska State Legislature,
Juneau, Alaska, said at the previous hearing it may have come
across that the Division of Motor Vehicles (DMV) was being
unfairly criticized. He set forth that the intent was to
demonstrate the volume of work that is done by the private
sector though its partnership with DMV. He said DMV has made
great strides in the past two years to increase their efficiency
through former Director Duane Bannock's advanced business
partnership program and current Director Amy Erickson. He noted
DMV's use of webcams for viewing waiting lines as well as a more
efficient ticket system.
He called attention to a criticism that businesses are already
receiving income from the state and why should the businesses
receive even more income from the state in addition to charging
fees above and beyond what the state is charging. He asserted
that the issue is not how much businesses are charging for
transactions and added that fees charged by businesses should be
dictated by the free market. He said the issue is that there is
a large volume of work being done by the private sector for the
state for which they are receiving no compensation from the
state at this time. He set forth that SB 127 is about fairness
and noted similar programs in other departments where the state
directly compensates businesses. He said SB 127 addresses
fairness due to the work volume done by businesses that partner
with DMV.
CHAIR DYSON stated that what Mr. Wolfe said did not make sense
to him. He asked if Mr. Wolfe meant the business surcharge being
placed on the delivery of service.
MR. WOLFE replied that businesses are not receiving any
compensation from the state.
CHAIR DYSON asked to verify that businesses receive the
surcharge that they place on delivery of service.
MR. WOLFE answered correct.
9:53:22 AM
AMY ERICKSON, Director, Division of Motor Vehicles (DMV), Alaska
Department of Administration, Anchorage, Alaska, set forth that
DMV supports making official its practices of partnering with
private businesses to conduct title and registration services.
She continued to read the following statement:
DMV provides the business partners with all of the
supplies needed to conduct title and registration
services including: license plates, month and year
tabs, forms, driver manuals, and handicapped placards
all free of charge. The DMV also provides free
training to process transactions and free access to
all of the agents to access the DMV data base. The
business partners charge a fee to customers that are
not regulated or even disclosed to DMV and some even
benefit from the supplies that are free at a DMV
office, including handicap placards and driving
manuals. While the business partners make up
approximately 26 percent of DMV revenues, these
businesses do not function autonomously. DMV staff
touches each and every transaction conducted by a
business partner and we have a staff of seven to
oversee and support their everyday operations. Even
with DMV support, they too make errors that DMV must
resolve and they are still paid by the customer
regardless of the mistake or the accuracy of their
transactions. We serve as a de facto helpdesk for the
business partners and spend hours reviewing documents
and correcting documents. Some of the errors can be
serious and time consuming to correct. Some of the
business partners have even registered a golf cart and
a dune buggy for highway use which has resulted in
litigation for the DMV.
MS. ERICKSON said her previous statement is not meant to say
that DMV does not also make mistakes. She summarized that DMV
supports the business partners in many ways. She said the
business partnerships are comprised of storefronts that provide
the services, car dealerships, financial institutions,
commissioned agents that serve the smaller communities, driving
school bus contractors, tour companies that administer road
tests, and medical facilities that issue disabled parking
permits. She said DMV's original fiscal note only addressed for-
profit determined store fronts, but noted a letter from the auto
dealers that the bill may also apply to car dealerships and
financial institutions that conducts the same transactions. She
stated that the clarification would affect the bill's fiscal
note and DMV will be submitting a new fiscal note at the next
committee meeting if the bill's implication is clarified.
9:56:23 AM
CHAIR DYSON asked Ms. Erickson to repeat her last sentence.
MS. ERICKSON responded that DMV would need to submit a new
fiscal note if SB 127 really does include the car dealerships
that do their own title and registration transactions in
addition to financial institutions. She explained that DMV did
not include car dealerships and financial institutions in their
original fiscal note. She said the business partners would also
benefit from the added 15 percent from proceeds if they are
included in SB 127. She noted that auto dealers support SB 127.
CHAIR DYSON asked at what point DMV realizes labor savings when
business partners perform part of the division's work.
MS. ERICKSON answered that she did not know and would attempt to
find out.
CHAIR DYSON suggested basing the cost savings on how many
transactions a DMV employee does in a day and compare the amount
of transactions done by the business partners to calculate the
amount of hours and benefits saved by DMV.
MS. ERICKSON replied that she would get back to Chair Dyson with
the information.
CHAIR DYSON noted that a fiscal note ought to reflect both the
revenue DMV does not leave and perhaps at some point expenses
that DMV does not have to incur. He asked if DMV supports SB
127.
MS. ERICKSON answered that DMV absolutely supports the idea of
putting into statute the business contracts. She said the fees
the state pays is really a policy call that she cannot comment
on.
9:59:12 AM
SENATOR GIESSEL noted that the Department of Fish and Game
contracts with businesses. She addressed DMV's business
partnership as a larger reach with auto dealerships. She pointed
out that auto dealerships are considering dropping extended DMV
services due to their added personnel costs. She noted that
personnel costs are a private business's highest operational
liability. She pointed out AS 28.10.431(e) allows DMV to collect
local government taxes for license plate renewal. She pointed
out that the statute allows DMV to retain 8 percent of the local
tax fees as administrative costs for tax collection. She said
while DMV may be saying it is inappropriate for private
businesses to be retaining some of the motor vehicle fees, DMV
is retaining money for collecting tax fees for local
governments.
CHAIR DYSON noted that the bill's sponsor has expressed approval
for the committee's recommendation for a Senate Finance
Committee referral. He remarked that the Finance Committee may
want the very kind of information that the committee asked
about.
10:01:53 AM
DUANE BANNOCK, representing himself, Kenai, Alaska, announced
being available to answer questions.
CHAIR DYSON asked if anyone would like to speak to the bill. He
stated that seeing and hearing none, [public testimony is
closed.]
10:02:12 AM
CHAIR DYSON moved SB 127 [labeled 28-LS1263\A] from Senate State
Affairs with individual recommendations with attached fiscal
note/s. Seeing no objection, [SB 127] moved out of committee.
10:03:06 AM
CHAIR DYSON announced that the committee will stand at ease.
HJR 23-GOOD FRIDAY EARTHQUAKE REMEMBRANCE DAY
10:04:05 AM
CHAIR DYSON announced that HJR 23 is before the committee.
10:04:12 AM
JEFF TURNER, Staff, Representative Millett, Alaska State
Legislature, Juneau, Alaska, said HJR 23 will mark the 50th
anniversary of the Good Friday Earthquake on March 27, 2014. He
continued to read the following statement:
The 9.2 magnitude quake tore apart about 50,000 square
miles of South Central Alaska and leveled entire
communities and triggered massive tsunamis that
brought even more devastation to the coastal areas.
The purpose of HJR 23 is not to highlight the
earthquake or the destruction, but to honor the
thousands of Alaskans who put the needs of other
before their own needs following the quake. First
responders, medical personnel, the Alaska Army and the
Air National Guard, the U.S. Army Corps of Engineers,
and government employees were joined by everyday
Alaskans to conduct search and rescue operations,
provide medical care, food, shelter, and the
restoration of vital services and infrastructure. It
was their selfless determination that saved unknown
numbers of lives and rebuilt Southcentral communities
before the return of winter that year. HJR 23
recognizes how a great disaster brought out the best
of all Alaskans by proclaiming March 27, 2014 as Good
Friday Earthquake Remembrance Day. Representative
Millett respectively asks for the committee's support
for the legislation so it can be included in the
events marking the 50th anniversary of the quake that
will be taking place in Anchorage and other
communities around Southcentral Alaska.
MR. TURNER pointed out letters of support from Valdez Mayor
David Cobb and Anchorage Mayor Dan Sullivan. He informed the
committee that on the phone is Mr. Chuck Volanti, an Alaska Air
Guard veteran who brought the idea for HJR 23 to Representative
Millett. He noted the Mr. Volanti served at Kulis Airbase during
the earthquake and is one of the individuals honored under HJR
23.
10:06:20 AM
CHARLES VOLANTI, representing himself, Olympia, Washington, read
the following statement:
I wish to thank Representative Millett for her
compassion, humanitarian efforts, and for
orchestrating overwhelming House support for this
resolution that honors Alaska state history. Thank
you, Mr. Chairman and Senate committee members, for
the opportunity to speak on this tragic and historical
event that not only affected all Alaskans, but also
carried death and destruction far beyond its Alaska
boarders.
Today much is known about the Alaska Earthquake of
1964, it is measured 9.2 magnitude strength and wide
spread areas of death and destruction are widely
published and appear across a variety of written and
electronic media. There are thousands of pictures and
equally countless testimonials, mine is but one and my
family one of lucky ones. The best way to describe my
experience is to say that most of us know what a bull
riding contest looks like, rider sitting on top of a
massive jumping, jolting, and twisting beast that is
doing everything possible to dislodge the rider, a
rider who is hoping to last the required 8 seconds, if
you can imagine that, then you will know what I and
countless thousands of others went through not for 8
seconds, but for almost 4 minutes where seconds seemed
liked hours. On March 27, 1964 I was a flight
dispatcher at Kulis Air National Guard Base in
Anchorage, a position that I held as part of a small
contingent of civilian employees, less than 100, and
an Air National Guardsmen. That evening I arrived home
from Kulis just about 5:00 p.m. and waited for my wife
and son to return home. Suddenly in the fading light
of day at 5:36 p.m. all hell broke loose and Alaska
was forever changed. I bolted for the door and tried
desperately to get out to reach the screams of my
neighbor and daughter, but try as I may there was no
way of standing, so I sat pinned to the floor with
both hands tightly wrapped around the entry way door
knob, waiting and praying for the violent shaking to
end. Finally after what seemed an eternity it stopped.
I jumped up, ran next door, entered, checked on the
women, once I saw they were alright I ran back outside
just in time to see my wife pulling into the driveway
with our six month old son strapped into his car seat.
She said when the quake started it felt like a flat
tire and promptly pulled to the curb, but soon
realized this was a massive quake and not a flat tire
and she watched in horror as plate glass windows of
store crashed to the sidewalk and people who sprang
out of the openings being knocked to the ground. We
exchanged hugs, some quick comments, and went back
into our home. There was no structural damage, but
plenty of disarray, it took a few minutes to see that
she and our son had the basic necessities and I
immediately turned to her and said I have to leave, I
have to get to Kulis. She was visibly shaken, but a
strong woman she replied "go," fully realizing there
would be those who were in desperate need. I ran to
the car and sped towards Kulis, jumping several
divisions in the road and all the time wondering if
there might be one I wouldn't be able to overcome, but
god was gracious and within 15 minutes I made it
without mishap. By now, Alaska Air Guard and Army
National Guard troops were converging on Kulis in
mass. We immediately set about doing what we had long
been trained to do and that was to expend all efforts
to alleviate and mitigate the suffering being
experienced by countless citizens of Alaska, wherever
that took us. Anywhere from freeing two souls trapped
in the rubble of a collapsed Anchorage International
Airport tower, to sending troops throughout
neighboring communities to recover the dead, provide
for the injured, free those still trapped, maintain
civil order, and finally to forge efforts to put
humanitarian relief flights in to the air.
That day, in the bond of human compassion we stood
shoulder to shoulder with thousands of first
responders, it was unlike anything ever seen before;
they came from all walks of life beginning with your
next door neighbor to those described within this
resolution. Many self-sacrificing people went into
unstable, unknown circumstances as they sought to
render aid and assistance to those in desperate need.
Tragically, some would pay the ultimate price. The
quakes and tsunamis, though ravaging, destructive, and
deadly as they were, is not the main focus of this
event. The cornerstone to this day remains the people
of Alaska, their strong will of resilience, resolve,
tenacity, and their unabated selfless sacrifice became
their legacy, that is what we should never forget,
never take for granted, and always remember. However
massive and tragic as this event was, there remains a
common thread that was even stronger and more
pervasive than all of that and it was the enduring
spirit that was found embedded within the milk of
human kindness. On March 27, 2014 at 5:36 p.m., in an
act of honor and tribute, church bells across Alaska
will toll in memorial for all we have spoken of here
today. Ladies and gentlemen of the Senate, your
support of this resolution and its ultimate passage
will ensure its rightful place in Alaska state
history. I close by saying that I dedicate all efforts
I have thus far expended to those who have perished,
those who suffered great loss, to the thousands who
selflessly served, and to those who paid the ultimate
sacrifice and are mentioned within this resolution and
the families that the left behind.
10:11:16 AM
CHAIR DYSON commended Mr. Volanti for his service. He noted that
an international earth quake symposium will occur in Anchorage
with 1,000 experts attending the spring of 2014. He asked if Mr.
Volanti served with Major Herb Bedrow in the Anchorage Air
Guard.
MR. VOLANTI answered yes and noted a letter addressed to him
from his wife following his passing.
CHAIR DYSON noted that Major Herb Bedrow perished [in a C-123
that went down] near Cape Romanzof [on the Bering Sea Coast in
1965.]
MR. VOLANTI answered yes.
10:14:26 AM
CHAIR DYSON announced that HJR 23 will be set aside for a few
minutes until the committee has a quorum.
HJR 19-BASE F-35 AIRCRAFT AT EIELSON OR JBER
10:14:37 AM
CHAIR DYSON announced that HJR 19 is before the committee.
10:14:42 AM
REPRESENTATIVE DOUG ISAACSON, Alaska State Legislature, Juneau,
Alaska, said he appreciated having the opportunity to bring HJR
19 before the committee. He said HJR 19 is very similar to one
that the Senate had already passed out with unanimous support.
REPRESENTATIVE ISAACSON set forth that HJR 19 is a very
important bill to Alaska's economy and security. He noted that
HJR 19 is identical to SJR 14 and had minimal amendments that
did not change the purpose of the resolution. He noted that page
3, line 13, "and all bases in Alaska" was added. He called
attention to page 3, line 14, "on all bases in Alaska" was
added. He pointed out the inclusion on page 3, line 21; that
copies are to be sent to Lieutenant General Russell J. Handy. He
reiterated the Senate unanimously passed SJR 14, but noted the
addition of two items that addresses the closure of Flint Hills
Refinery and support from the Greater Fairbanks Chamber of
Commerce. He explained that the Flint Hills Refinery closure
will not affect the military jet fuel supply. He detailed that
Petro Star has the contract for military jet fuels. He noted
that encouragement has been given to Petro Star to have a
railroad spur that can go to JBER to supply jet fuels and
mitigate some of the negative results from Flint Hills' closure.
CHAIR DYSON commented that Representative Isaacson has a
significant group of supporters.
10:17:09 AM
LUKE HOPKINS, Mayor, Fairbanks North Star Borough, Fairbanks,
Alaska, remarked that he is on the record from previous
testimony in support of HJR 19.
10:17:34 AM
CHAIR DYSON stated that the Chair will entertain a motion on HJR
19.
10:18:05 AM
SENATOR GIESSEL moved to report committee substitute (CS) for
HJR 19, labeled 28-LS1051\C from committee with individual
recommendations and attached zero fiscal note.
10:18:20 AM
CHAIR DYSON announced that without objection, CSHJR 19(MLV)
passes out of committee.
10:18:29 AM
CHAIR DYSON announced that the committee will stand at ease.
10:18:37 AM
CHAIR DYSON called the committee back to order.
HJR 23-GOOD FRIDAY EARTHQUAKE REMEMBRANCE DAY
10:19:01 AM
CHAIR DYSON returned attention to HJR 23 and announced that the
Chair will entertain a motion on HJR 23.
10:19:01 AM
SENATOR GIESSEL moved to report HJR 23, labeled 28-LS1038\C from
committee with individual recommendations and attached zero
note.
10:19:13 AM
CHAIR DYSON announced that without objection, HJR 23 passes out
of the Senate State Affairs Standing Committee.
10:19:26 AM
There being no further business to come before the committee,
Chair Dyson adjourned the Senate State Affairs Standing
Committee at 10:19 a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB 145 - Hearing Request.pdf |
SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB 145 - VeteransBill_Sectional.docx |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB0145A.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB145-DCCED-DED-01-17-14.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB145-DOA-DOP-01-20-14.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB145-DOA-DRB-01-20-14 (2).pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB145-DOA-DRB-01-20-14.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB145-DOR-AHFC-1-21-14.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB145-Supporting Document-Buck Consultants.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB145-Supporting Document-DOA Talking Points.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB145 Amendment - Wielechowski.pdf |
SSTA 2/20/2014 9:00:00 AM |
SB 145 |
| SB 127 Sectional Analysis.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB 127 Sponsor Statement.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB 127 Support Documents - DMV Revenue Sources.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB 127 Support Documents - Duane Bannock Email.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB 127 Ver A.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB127-DOA-DMV-02-07-2014.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB 127 Support Documents - Alaska Tags and Titles Revenue and Transactions by Fiscal year.pdf |
SSTA 2/13/2014 9:00:00 AM SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB 127 Sectional Analysis Ver U.pdf |
SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB 127 Ver U.pdf |
SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB 127 Support Documents - Talking Points in Response to First Hearing Questions.pdf |
SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB 127 Support Documents - Express Title Tag Support Letter.pdf |
SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| SB 127 Support Documents - AK Statute 28 10 431(e) Re Municipal Tax Collection.pdf |
SSTA 2/20/2014 9:00:00 AM |
SB 127 |
| HJR23-Legislation - Version 28-LS1038C.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 23 |
| HJR 23-Sponsor Statement.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 23 |
| HJR23-Fiscal Note-LAA php.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 23 |
| HJR 23-Letter of Support-Volanti.docx |
SSTA 2/20/2014 9:00:00 AM |
HJR 23 |
| HJR 23-Letter of Support-Mayor Dan Sullivan.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 23 |
| HJR 23-Letter of Support-ASHSC.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 23 |
| HJR19 Legislation 28LS1051C.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 19 |
| HJR19 Sponsor Statement.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 19 |
| HJR19 Fiscal Note.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 19 |
| HJR19 Legislation 28LS1051N.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 19 |
| HJR19 CS Changes Amendments (3).pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 19 |
| HJR19 Supporting Carlisle.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 19 |
| HJR 19 Supporting Luke AFB.pdf |
SSTA 2/20/2014 9:00:00 AM |
HJR 19 |