Legislature(2025 - 2026)BELTZ 105 (TSBldg)

05/01/2025 03:30 PM Senate STATE AFFAIRS

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ SB 104 VEHICLES/BOATS: TRANSFER ON DEATH TITLE TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
*+ SB 160 MEMBERS LEG COUNCIL; LEG BUDGET & AUDIT TELECONFERENCED
Heard & Held
-- Public Testimony --
+= SB 107 ALASKA SUNSET COMMISSION TELECONFERENCED
Heard & Held
-- Public Testimony --
Bills Previously Heard/Scheduled:
+= SB 167 CRIM. CONV. OVERTURNED: RECEIVE PAST PFD TELECONFERENCED
Moved CSSB 167(STA) Out of Committee
**Streamed live on AKL.tv**
                    ALASKA STATE LEGISLATURE                                                                                  
            SENATE STATE AFFAIRS STANDING COMMITTEE                                                                           
                          May 1, 2025                                                                                           
                           3:33 p.m.                                                                                            
                                                                                                                                
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Scott Kawasaki, Chair                                                                                                   
Senator Jesse Bjorkman, Vice Chair                                                                                              
Senator Bill Wielechowski                                                                                                       
Senator Elvi Gray-Jackson                                                                                                       
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Senator Robert Yundt                                                                                                            
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
SENATE BILL NO. 167                                                                                                             
"An Act relating  to a permanent fund dividend  for an individual                                                               
whose conviction  has been vacated,  reversed, or  dismissed; and                                                               
relating to  the calculation of  the value of the  permanent fund                                                               
dividend  by  including payment  to  individuals  eligible for  a                                                               
permanent fund  dividend because  of a  conviction that  has been                                                               
vacated, reversed, or dismissed."                                                                                               
                                                                                                                                
     - MOVED CSSB 167(STA) OUT OF COMMITTEE                                                                                     
                                                                                                                                
SENATE BILL NO. 104                                                                                                             
"An Act relating to  the transfer of a title on  the death of the                                                               
owner; and providing for an effective date."                                                                                    
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
SENATE BILL NO. 160                                                                                                             
"An Act  relating to the  membership of the  legislative council;                                                               
and  relating to  the membership  of the  Legislative Budget  and                                                               
Audit Committee."                                                                                                               
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
SENATE BILL NO. 107                                                                                                             
"An Act establishing a violation  for hindering the Alaska Sunset                                                               
Commission; establishing the Alaska  Sunset Commission to review,                                                               
audit, and make recommendations  on discontinuation of or changes                                                               
to state entities; and relating to the powers and duties of the                                                                 
Alaska Sunset Commission."                                                                                                      
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: SB 167                                                                                                                  
SHORT TITLE: CRIM. CONV. OVERTURNED: RECEIVE PAST PFD                                                                           
SPONSOR(s): SENATOR(s) KAWASAKI                                                                                                 
                                                                                                                                
04/10/25       (S)       READ THE FIRST TIME - REFERRALS                                                                        
04/10/25       (S)       STA, JUD                                                                                               
04/24/25       (S)       STA AT 3:30 PM BELTZ 105 (TSBldg)                                                                      
04/24/25       (S)       Heard & Held                                                                                           
04/24/25       (S)       MINUTE(STA)                                                                                            
05/01/25       (S)       STA AT 3:30 PM BELTZ 105 (TSBldg)                                                                      
                                                                                                                                
BILL: SB 104                                                                                                                  
SHORT TITLE: VEHICLES/BOATS: TRANSFER ON DEATH TITLE                                                                            
SPONSOR(s): SENATOR(s) KAWASAKI                                                                                                 
                                                                                                                                
02/19/25       (S)       READ THE FIRST TIME - REFERRALS                                                                        
02/19/25       (S)       TRA, STA                                                                                               
03/20/25       (S)       TRA AT 1:30 PM BUTROVICH 205                                                                           
03/20/25       (S)       Heard & Held                                                                                           
03/20/25       (S)       MINUTE(TRA)                                                                                            
04/10/25       (S)       TRA AT 1:30 PM BUTROVICH 205                                                                           
04/10/25       (S)       <Bill Hearing Canceled>                                                                                
04/24/25       (S)       TRA AT 1:30 PM BUTROVICH 205                                                                           
04/24/25       (S)       Moved SB 104 Out of Committee                                                                          
04/24/25       (S)       MINUTE(TRA)                                                                                            
04/25/25       (S)       TRA RPT 3DP                                                                                            
04/25/25       (S)       DP: TOBIN, STEDMAN, KIEHL                                                                              
05/01/25       (S)       STA AT 3:30 PM BELTZ 105 (TSBldg)                                                                      
                                                                                                                                
BILL: SB 160                                                                                                                  
SHORT TITLE: MEMBERS LEG COUNCIL; LEG BUDGET & AUDIT                                                                            
SPONSOR(s): SENATOR(s) SHOWER                                                                                                   
                                                                                                                                
04/09/25       (S)       READ THE FIRST TIME - REFERRALS                                                                        
04/09/25       (S)       STA, FIN                                                                                               
05/01/25       (S)       STA AT 3:30 PM BELTZ 105 (TSBldg)                                                                      
                                                                                                                                
BILL: SB 107                                                                                                                  
SHORT TITLE: ALASKA SUNSET COMMISSION                                                                                           
SPONSOR(s): SENATOR(s) HUGHES                                                                                                   
                                                                                                                                
02/19/25       (S)       READ THE FIRST TIME - REFERRALS                                                                        
02/19/25       (S)       STA, FIN                                                                                               
03/20/25       (S)       STA AT 3:30 PM BELTZ 105 (TSBldg)                                                                      
03/20/25       (S)       Heard & Held                                                                                           
03/20/25       (S)       MINUTE(STA)                                                                                            
05/01/25       (S)       STA AT 3:30 PM BELTZ 105 (TSBldg)                                                                      
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
SALLY RAFSON, Staff                                                                                                             
Senator Scott Kawasaki                                                                                                          
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Explained the summary of changes from                                                                     
version A to version N of SB 167.                                                                                               
                                                                                                                                
JENNA COLQUHOUN, Staff                                                                                                          
Senator Scott Kawasaki                                                                                                          
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Introduced SB 104 on behalf of the sponsor.                                                               
                                                                                                                                
CHELSEA RIEKKOLA, Attorney                                                                                                      
Foley and Pearson                                                                                                               
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified by invitation on SB 104.                                                                        
                                                                                                                                
CHRISTOPHER WALKER, representing self                                                                                           
Faulkner Banfield                                                                                                               
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Testified by invitation on SB 104.                                                                        
                                                                                                                                
ABIGAIL O'CONNOR, Chief Fiduciary Officer                                                                                       
Peak Trust Company                                                                                                              
Anchorage, Alaska                                                                                                               
POSITION STATEMENT: Testified by invitation on SB 104.                                                                        
                                                                                                                                
LINDA HULBERT, Agent                                                                                                            
New York Life Insurance                                                                                                         
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT: Testified by invitation on SB 104.                                                                        
                                                                                                                                
SENATOR MIKE SHOWER, District O                                                                                                 
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Sponsor of SB 160.                                                                                        
                                                                                                                                
SCOTT CRAWFORD, Staff                                                                                                           
Senator Mike Shower                                                                                                             
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Provided the sectional analysis for SB 160.                                                               
                                                                                                                                
SENATOR SHELLY HUGHES                                                                                                           
District M                                                                                                                      
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT: Sponsor of SB 107.                                                                                        
                                                                                                                                
MIKE COONS, representing self                                                                                                   
Wasilla, Alaska                                                                                                                 
POSITION STATEMENT: Testified in support of SB 107.                                                                           
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:33:35 PM                                                                                                                    
CHAIR  KAWASAKI   called  the   Senate  State   Affairs  Standing                                                               
Committee meeting  to order at 3:33  p.m. Present at the  call to                                                               
order  were Senators  Bjorkman,  Wielechowski, Gray-Jackson,  and                                                               
Chair Kawasaki.                                                                                                                 
                                                                                                                                
        SB 167-CRIM. CONV. OVERTURNED: RECEIVE PAST PFD                                                                     
                                                                                                                                
3:35:00 PM                                                                                                                    
CHAIR  KAWASAKI announced  the consideration  of SENATE  BILL NO.                                                               
167  "An  Act  relating  to  a permanent  fund  dividend  for  an                                                               
individual  whose  conviction  has  been  vacated,  reversed,  or                                                               
dismissed; and  relating to the  calculation of the value  of the                                                               
permanent  fund  dividend  by including  payment  to  individuals                                                               
eligible for  a permanent fund  dividend because of  a conviction                                                               
that has been vacated, reversed, or dismissed."                                                                                 
                                                                                                                                
3:35:13 PM                                                                                                                    
CHAIR KAWASAKI solicited a motion.                                                                                              
                                                                                                                                
3:35:20 PM                                                                                                                    
SENATOR  BJORKMAN moved  to adopt  the committee  substitute (CS)                                                               
for SB 167, work order 34-LS0491\N, as the working document.                                                                    
                                                                                                                                
3:35:33 PM                                                                                                                    
CHAIR KAWASAKI objected for purposes of discussion.                                                                             
                                                                                                                                
3:35:46 PM                                                                                                                    
SALLY  RAFSON,  Staff,  Senator   Scott  Kawasaki,  Alaska  State                                                               
Legislature,  Juneau, Alaska,  explained the  summary of  changes                                                               
from version A to version N of SB 167 and read the following:                                                                   
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     Page 1,  lines 12-13 of  Version N: Added  the language                                                                  
     "and the dismissal was not  part of a plea agreement in                                                                    
     another criminal  case under  Rule 11, Alaska  Rules of                                                                    
     Criminal Procedure;"                                                                                                       
                                                                                                                                
       This change makes it clear that individuals whose                                                                        
       cases have been dismissed because they took a plea                                                                       
     agreement would not qualify for this legislation.                                                                          
                                                                                                                                
3:36:40 PM                                                                                                                    
CHAIR  KAWASAKI  removed  his  objection;  he  found  no  further                                                               
objection and CSSB 167 was adopted as the working document.                                                                     
                                                                                                                                
3:37:00 PM                                                                                                                    
CHAIR KAWASAKI solicited the will of the committee.                                                                             
                                                                                                                                
3:37:03 PM                                                                                                                    
SENATOR  BJORKMAN  moved  to  report CSSB  167,  work  order  34-                                                               
LS0491\N,  from  committee  with individual  recommendations  and                                                               
attached fiscal note(s).                                                                                                        
                                                                                                                                
3:37:22 PM                                                                                                                    
CHAIR KAWASAKI found no objection  and CSSB 167(STA) was reported                                                               
from the Senate State Affairs Standing Committee.                                                                               
                                                                                                                                
3:37:37 PM                                                                                                                    
At ease.                                                                                                                        
                                                                                                                                
         SB 104-VEHICLES/BOATS: TRANSFER ON DEATH TITLE                                                                     
                                                                                                                                
3:38:57 PM                                                                                                                    
CHAIR  KAWASAKI   reconvened  the   meeting  and   announced  the                                                               
consideration  of SENATE  BILL NO.  104 "An  Act relating  to the                                                               
transfer of a title on the  death of the owner; and providing for                                                               
an effective date."                                                                                                             
                                                                                                                                
3:39:28 PM                                                                                                                    
JENNA COLQUHOUN, Staff, Senator Scott Kawasaki, Alaska State                                                                    
Legislature, Juneau, Alaska, introduced SB 104 on behalf of the                                                                 
sponsor and read the following quote from slide 1:                                                                              
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
       "An Act relating to the transfer of a title on the                                                                       
       death of the owner; and providing for an effective                                                                       
     date."                                                                                                                     
                                                                                                                                
3:39:53 PM                                                                                                                    
MS. COLQUHOUN moved to slide 2 and discussed the following:                                                                     
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     Transfer on Death Deeds                                                                                                    
                                                                                                                                
        • Was created in Alaskan Statute when the "Uniform                                                                      
          Real Property Transfer on Death Act" was passed                                                                       
          in 2014 by the 28th Legislature                                                                                       
                                                                                                                                
          -AS  13.48.010      "An  individual  may  transfer                                                                    
          property  to one  or more  beneficiaries effective                                                                    
          at the  transferor's death by a  transfer on death                                                                    
          deed."                                                                                                                
                                                                                                                                
        • AS 13.48.020  "A transfer on death deed is no                                                                         
          testamentary                                                                                                          
          -Not involving or creating a will                                                                                     
          -Assets subject to a Transfer on Death (TOD) deed                                                                     
          skip the probate process                                                                                              
                                                                                                                                
        • TOD deeds currently can only be used for Real                                                                         
          Property                                                                                                              
         -Land and anything permanently attached to it                                                                          
                                                                                                                                
3:41:14 PM                                                                                                                    
MS. COLQUHOUN moved to slide 3 and discussed the following:                                                                     
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     What SB 104 Does                                                                                                         
        • Extends Transfer on Death (TOD) deed to boats,                                                                        
          vehicles, and certain manufactured homes titled                                                                       
          through the DMV                                                                                                       
          -No more than two beneficiaries                                                                                       
          -Owner  can   revoke  TOD   deed  or   change  the                                                                    
          beneficiary  at  anytime  without  notice  to  the                                                                    
          beneficiary                                                                                                           
          -Designated   beneficiary   can   disclaim   their                                                                    
          interest                                                                                                              
        • Beneficiary of a TOD deed would be subject to                                                                         
          conveyances,       encumbrances,      assignments,                                                                    
          contracts,  liens, and  other  interests to  which                                                                    
          the boat or vehicle                                                                                                   
        • Establishes the procedure to obtain a TOD deed                                                                        
          -Owner will  fill out an application  and submit a                                                                    
          fee to the Department of Administration                                                                               
          -These fees will serve to fund the program                                                                            
                                                                                                                                
3:43:15 PM                                                                                                                    
MS. COLQUHOUN moved to slide 4 and discussed the following:                                                                     
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     Benefits of SB 104                                                                                                       
        • Lowers the cost of probate for Alaskans                                                                               
          -On  average,  it  costs   $14,225  to  settle  an                                                                    
          estate*                                                                                                               
        • Allows Alaskans without ready access to law                                                                           
          services estate planning tools                                                                                        
          -Rural Alaska                                                                                                         
        • Expedites beneficiary access to boats and                                                                             
          vehicles                                                                                                              
          -Enabling timely  maintenance and  preservation of                                                                    
          boats and vehicles                                                                                                    
          -In  the instance  of a  family fishing  business,                                                                    
         allows the business to continue uninterrupted                                                                          
        • Reduces probate case load                                                                                             
                                                                                                                                
3:45:55 PM                                                                                                                    
CHAIR KAWASAKI announced invited testimony on SB 104.                                                                           
                                                                                                                                
3:47:25 PM                                                                                                                    
CHELSEA  RIEKKOLA,   Attorney,  Foley  and   Pearson,  Anchorage,                                                               
Alaska, testified  by invitation  on SB  104 and  emphasized that                                                               
the bill improves  access to justice. She noted  that probate for                                                               
smaller  assetslike   vehicles  and boatsoften   doesn't  justify                                                               
using public  or court  resources, and SB  104 would  address the                                                               
issue.                                                                                                                          
                                                                                                                                
3:49:07 PM                                                                                                                    
CHRISTOPHER   WALKER,  representing   self,  Faulkner   Banfield,                                                               
Juneau, Alaska, testified  by invitation on SB 104  and said this                                                               
is a  common-sense measure that  fills a  gap in current  law. He                                                               
explained  that Alaska  lacks  effective  mechanisms to  transfer                                                               
certain  assets, especially  boats and  vehicleswithout  probate.                                                               
He said  existing tools like  TOD deeds are limited  because they                                                               
don't fully avoid probate for these items.                                                                                      
                                                                                                                                
3:51:29 PM                                                                                                                    
ABIGAIL O'CONNOR,  Chief Fiduciary  Officer, Peak  Trust Company,                                                               
Anchorage, Alaska, testified  by invitation on SB  104 and stated                                                               
this is a practical solution for  families when someone dies on a                                                               
boat in  Alaska. SB  104 addresses  timing and  insurance issues,                                                               
easing significant  challenges families face after  a loved one's                                                               
death.                                                                                                                          
                                                                                                                                
3:52:24 PM                                                                                                                    
SENATOR WIELECHOWSKI said noted Alaska  does not have estate tax.                                                               
He  asked if  the  transfer  of a  boat  or  vehicle would  count                                                               
towards federal estate tax.                                                                                                     
                                                                                                                                
3:52:49 PM                                                                                                                    
MS.  O'CONNOR replied  that vehicles  are included  in the  gross                                                               
estate  for federal  estate  tax  purposes and  SB  104 does  not                                                               
change that. If  the vehicle passes to a U.S.  citizen spouse, no                                                               
estate tax applies,  however, if it goes to  someone else, estate                                                               
tax may be owed.                                                                                                                
                                                                                                                                
3:53:28 PM                                                                                                                    
SENATOR WIELECHOWSKI asked whether  creditors can collect against                                                               
a boat  or vehicle asset if  the estate has liabilities  and that                                                               
asset is transferred.                                                                                                           
                                                                                                                                
3:54:03 PM                                                                                                                    
MS.  O'CONNOR  requested  confirmation   that  the  question  was                                                               
talking  about a  general estate  liability,  not a  lien on  the                                                               
vehicle.                                                                                                                        
                                                                                                                                
SENATOR WIELECHOWSKI answered yes.                                                                                              
                                                                                                                                
MS. O'CONNOR  replied that SB  104 does not provide  an exemption                                                               
for vehicles  and boats. She  referenced SB 104, Section  3, page                                                               
3,  lines 24-27,[AS  13.33.401 (j)],  "...the  state may  enforce                                                               
liability against  a boat or  vehicle transferred at  the owner's                                                               
death...                                                                                                                        
                                                                                                                                
3:55:17 PM                                                                                                                    
SENATOR  WIELECHOWSKI  asked if  the  deceased  co-owned a  boat,                                                               
would the share  be transferred upon death and how  would it work                                                               
if the new owner wanted to sell or not keep their share.                                                                        
                                                                                                                                
3:56:01 PM                                                                                                                    
MS. O'CONNOR replied that without  SB 104, a non-married co-owner                                                               
of a  boat could still  transfer only  their share at  death. The                                                               
beneficiary  designation  would  apply   only  to  that  person's                                                               
interest, and the  title would still list both  owners. She noted                                                               
that SB 104  doesn't change that outcome, and in  such cases, the                                                               
transfer-on-death designation might not be used.                                                                                
                                                                                                                                
3:57:43 PM                                                                                                                    
MR. WALKER replied  that under [AS 13.33.401] (a),  a TOD vehicle                                                               
title only takes  effect upon the death of the  sole owner or the                                                               
last surviving  joint owner. It  does not  apply to just  one co-                                                               
owner's fractional interest.                                                                                                    
                                                                                                                                
3:58:13 PM                                                                                                                    
SENATOR  WIELECHOWSKI  asked if  he  owned  a boat  with  Senator                                                               
Kawasaki, and died, would his daughter acquire the share.                                                                       
                                                                                                                                
3:58:31 PM                                                                                                                    
MR. WALKER replied that his  daughter would not acquire his share                                                               
because the other owner, Senator Kawasaki is still living.                                                                      
                                                                                                                                
SENATOR  WIELECHOWSKI asked  if Senator  Kawasaki died  would his                                                               
daughter get the boat.                                                                                                          
                                                                                                                                
MR. WALKER replied that it depends  on how the boat is titled. He                                                               
said unlike real property, vehicle  titles can be listed as "and"                                                               
or "or" between  owners. An "or" title is  usually interpreted to                                                               
grant  survivorship rights,  meaning  the vehicle  passes to  the                                                               
surviving  owner.  However,  under  the language  of  SB  104,  a                                                               
transfer-on-death  designation  would  not   apply  to  just  one                                                               
owner's share.                                                                                                                  
                                                                                                                                
4:00:31 PM                                                                                                                    
LINDA  HULBERT,  Agent,  New   York  Life  Insurance,  Fairbanks,                                                               
Alaska, testified  by invitation  on SB 104  and stated  that the                                                               
bill  helps  everyday  people  transfer   assets  like  boats  or                                                               
vehicles without probate, avoiding  delays and allowing continued                                                               
use for family or business. She  said TOD titles make the process                                                               
smoother, reduce  court involvement,  and are  easy to  revoke if                                                               
needed. She  emphasized a  TOD is  flexible, practical  tool that                                                               
simplifies estate planning and encourages more people to use it.                                                                
                                                                                                                                
4:03:08 PM                                                                                                                    
SENATOR WIELECHOWSKI  asked if  there is a  liability, such  as a                                                               
mortgage or loan,  on the boat or car, does  the debt transfer to                                                               
the beneficiary.                                                                                                                
                                                                                                                                
4:03:22 PM                                                                                                                    
MS. HULBERT answered  yes. She said beneficiaries  can disclaim a                                                               
boat or vehicle  if they don't want it, whether  for financial or                                                               
personal  reasons.  She  suggested attorneys  clarify  the  legal                                                               
details.                                                                                                                        
                                                                                                                                
4:04:19 PM                                                                                                                    
SENATOR WIELECHOWSKI  asked if a  boat or vehicle  is transferred                                                               
and later  the estate is found  to lack sufficient funds,  is the                                                               
recipient still responsible for the  debt if they already sold or                                                               
gave away the asset.                                                                                                            
                                                                                                                                
4:04:53 PM                                                                                                                    
MS. RIEKKOLA  answered that SB 104  mirrors the transfer-on-death                                                               
deed  process for  handling creditors.  Creditors  have one  year                                                               
from  the date  of death  to make  claims. If  someone accepts  a                                                               
vehicle through  a transfer-on-death title, they  also accept any                                                               
liabilities  attached, and  if they  later sell  the asset,  they                                                               
remain responsible for those obligations.                                                                                       
                                                                                                                                
4:06:48 PM                                                                                                                    
CHAIR KAWASAKI asked how SB 104  applies when someone owns both a                                                               
vehicle with a  TOD title and a home used  as a licensed assisted                                                               
living facility, since the real  property falls under a different                                                               
statute.                                                                                                                        
                                                                                                                                
4:07:41 PM                                                                                                                    
MS.  O'CONNOR  replied  that  if   a  vehicle  is  titled  to  an                                                               
individual,  it  can  transfer to  beneficiaries  under  SB  104,                                                               
regardless of its  use. Similarly, a house under  a revocable TOD                                                               
deed  would  pass  to  the   named  beneficiary.  He  noted  that                                                               
regulatory  requirements may  involve notifying  the state  about                                                               
ownership changes,  which is outside  their expertise.  She added                                                               
that assisted living homes and  related vehicles are often titled                                                               
under an  entity like an  LLC, in  which case this  statute would                                                               
not apply.                                                                                                                      
                                                                                                                                
4:09:43 PM                                                                                                                    
MS. RIEKKOLA clarified  that SB 104 is meant  to address simpler,                                                               
lower-income situations,  like transferring a car  to children or                                                               
a family fishing vessel, rather  than complex business scenarios.                                                               
She stated that businesses with  significant liabilities, such as                                                               
assisted  living facilities,  should be  structured as  LLCs with                                                               
legal   counsel.   Overall,   SB  104   effectively   streamlines                                                               
straightforward cases.                                                                                                          
                                                                                                                                
4:10:48 PM                                                                                                                    
SENATOR  WIELECHOWSKI  questioned  the accuracy  of  the  statute                                                               
referenced  in  SB 104,  page  5,  lines  2930,  which  cites  AS                                                               
28.10.201 for vehicle titles. He  suggested this may be incorrect                                                               
and  that AS  28.10.011 or  another section  might be  the proper                                                               
citation, urging a review of the reference.                                                                                     
                                                                                                                                
4:11:39 PM                                                                                                                    
MS.  COLQUHOUN stated  that, to  her  understanding, the  section                                                               
discusses vehicles that  can be titled through the  DMV. She said                                                               
it was reviewed  multiple times to clarify  distinctions, such as                                                               
between manufactured homes with  and without foundations, however                                                               
she is willing to reread it to confirm accuracy.                                                                                
                                                                                                                                
4:12:37 PM                                                                                                                    
CHAIR KAWASAKI opened  public testimony on SB  104; finding none;                                                               
public testimony was kept open.                                                                                                 
                                                                                                                                
4:14:14 PM                                                                                                                    
CHAIR KAWASAKI held SB 104 in committee.                                                                                        
                                                                                                                                
         SB 160-MEMBERS LEG COUNCIL; LEG BUDGET & AUDIT                                                                     
                                                                                                                                
4:14:19 PM                                                                                                                    
CHAIR  KAWASAKI announced  the consideration  of SENATE  BILL NO.                                                               
160  "An  Act  relating  to the  membership  of  the  legislative                                                               
council;  and  relating  to the  membership  of  the  Legislative                                                               
Budget and Audit Committee."                                                                                                    
                                                                                                                                
4:14:55 PM                                                                                                                    
SENATOR  MIKE  SHOWER,  District  O,  Alaska  State  Legislature,                                                               
Juneau, Alaska, sponsor of SB 160 read the sponsor statement:                                                                   
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     As outlined  in AS  24.20, the Legislative  Council has                                                                    
     the essential role of  conducting internal business for                                                                    
     the  Alaska Legislature,  while the  Legislative Budget                                                                    
     and  Audit (LB&A)  Committee plays  a  pivotal role  in                                                                    
     managing   state   finances  and   expenditures.   Both                                                                    
     committees  are established  in statute  with authority                                                                    
     to  conduct business  anytime  throughout  the year  so                                                                    
     that internal legislative business  may be conducted in                                                                    
     a timely manner.                                                                                                           
                                                                                                                                
4:16:01 PM                                                                                                                    
SENATOR SHOWER continued with the sponsor statement for SB 160:                                                                 
                                                                                                                                
     Alaska   State   Statute  establishes   membership   on                                                                    
     Legislative Council  and the LB&A Committee  to include                                                                    
     "at  least  one  member  from each  of  the  two  major                                                                    
     political parties  of each house." However,  the Alaska                                                                    
     Legislature has  a long  history of  coalition caucuses                                                                    
     and  unaffiliated legislators.  In addition,  following                                                                    
     passage of  voter initiative Ballot Measure  2 in 2020,                                                                    
     candidates are  not required to name  a political party                                                                    
     affiliation,  and therefore  may be  elected to  office                                                                    
     without  one.  Senate  Bill 160  seeks  to  update  the                                                                    
     membership  statutes for  both the  Legislative Council                                                                    
     and the LB&A Committee to  reflect these changes in law                                                                    
     and practice  to ensure  fair caucus  representation on                                                                    
     these committees.                                                                                                          
                                                                                                                                
     Every committee  established in the  Alaska Legislature                                                                    
     Uniform  Rules  ensures   representation  of  organized                                                                    
     minority  caucuses.  Under  current law,  there  is  no                                                                    
     guarantee that these two  joint interim committees will                                                                    
     include  representation of  all organized  caucuses. SB
     160  also  reflects  the Uniform  Rules  definition  of                                                                    
     "minority"  as constituting  at least  25 percent  of a                                                                    
     chamber's membership.                                                                                                      
                                                                                                                                
     As  all  Alaskans  have  a  right  to  vote  for  their                                                                    
     legislators, who in turn have  a right to form caucuses                                                                    
     if they  choose, those organized caucuses  have a right                                                                    
     to  have their  voices and  visions represented  on all                                                                    
     committees. Senate  Bill 160 seeks to  ensure this fair                                                                    
     representation is established in law                                                                                       
                                                                                                                                
4:18:15 PM                                                                                                                    
SCOTT CRAWFORD, Staff, Senator Mike Shower, Alaska State                                                                        
Legislature, Juneau, Alaska, provided the sectional analysis for                                                                
SB 160:                                                                                                                         
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     Section 1.                                                                                                                 
     Amends AS 24.20.020  to include at least  one member of                                                                    
     the  minority on  the  legislative  council.   Includes                                                                    
     language  from Uniform  Rule 1(e)  to entitle  minority                                                                    
     caucus membership  on the council that  is proportional                                                                    
     to their total house membership.                                                                                           
                                                                                                                                
     Section 2.                                                                                                                 
     Amends AS 24.20.161  to include at least  one member of                                                                    
     the  minority  on  the  Legislative  Budget  and  Audit                                                                    
     Committee, and changes "chairman" to "chair."                                                                              
                                                                                                                                
     Section 3.                                                                                                                 
     Adds a  new section to  AS. 24.20 to  define "minority"                                                                    
     as a  group of  members who  have organized,  elected a                                                                    
     minority  leader,  and  who   constitute  at  least  25                                                                    
     percent of the total house membership                                                                                      
                                                                                                                                
4:19:24 PM                                                                                                                    
CHAIR KAWASAKI opened  public testimony on SB  160; finding none;                                                               
public testimony was kept open.                                                                                                 
                                                                                                                                
4:20:59 PM                                                                                                                    
CHAIR KAWASAKI held SB 160 in committee.                                                                                        
                                                                                                                                
4:21:20 PM                                                                                                                    
At ease.                                                                                                                        
                                                                                                                                
                SB 107-ALASKA SUNSET COMMISSION                                                                             
                                                                                                                                
4:24:31 PM                                                                                                                    
CHAIR  KAWASAKI   reconvened  the   meeting  and   announced  the                                                               
consideration  of SENATE  BILL  NO. 107  "An  Act establishing  a                                                               
violation   for   hindering   the   Alaska   Sunset   Commission;                                                               
establishing the  Alaska Sunset Commission to  review, audit, and                                                               
make recommendations  on discontinuation  of or changes  to state                                                               
entities; and  relating to  the powers and  duties of  the Alaska                                                               
Sunset Commission."                                                                                                             
                                                                                                                                
4:25:05 PM                                                                                                                    
SENATOR  SHELLY HUGHES,  District  M,  Alaska State  Legislature,                                                               
Juneau, Alaska, sponsor of SB 107  presented a brief recap of the                                                               
bill  and  noting  that  it  promotes  efficiency  and  effective                                                               
operations in  state agencies  through an  independent, objective                                                               
panel. She stated that the  panel presents recommendations in the                                                               
form of a bill to the  legislature for action, which reduces bias                                                               
and increases public confidence.                                                                                                
for  legislative  action,  reducing bias  and  increasing  public                                                               
confidence.  The process  includes  a year  of  public input  and                                                               
thorough  review,  offering  a   practical,  impartial  tool  for                                                               
budgeting and ensuring taxpayer resources are used effectively.                                                                 
                                                                                                                                
4:27:48 PM                                                                                                                    
SENATOR  GRAY-JACKSON   asked  whether  the   responsibility  for                                                               
conducting all the audits would fall to the legislative auditor.                                                                
                                                                                                                                
4:27:58 PM                                                                                                                    
SENATOR HUGHES answered no. She  said the current setup maintains                                                               
independence  and neutrality,  unlike  expanding the  legislative                                                               
auditor's  duties,  which  could introduce  political  bias.  The                                                               
panel operates on a rotating  basis to ensure impartiality across                                                               
administration and legislative cycles.                                                                                          
                                                                                                                                
4:28:53 PM                                                                                                                    
SENATOR   GRAY-JACKSON  asked   who  will   be  responsible   for                                                               
conducting the audits.                                                                                                          
                                                                                                                                
4:29:07 PM                                                                                                                    
SENATOR  HUGHES replied  that SB  107  allows the  panel to  hire                                                               
auditors,  though funding  is not  currently available.  She said                                                               
implementation could start small, such  as one agency or auditor.                                                               
The goal is  to ensure independence, avoiding  conflicts with the                                                               
governor's or legislative auditor's perspectives.                                                                               
                                                                                                                                
4:29:55 PM                                                                                                                    
SENATOR WIELECHOWSKI  asked whether  commissioners, who  serve at                                                               
the  pleasure  of  the  governor,  have  any  protection  against                                                               
termination.                                                                                                                    
                                                                                                                                
4:30:12 PM                                                                                                                    
SENATOR  HUGHES suggested  SB 107  could include  a mechanism  to                                                               
prevent  commissioners  from  being fully  under  the  governor's                                                               
control, such as allowing the  legislature to override a removal,                                                               
though she is unsure of the exact solution.                                                                                     
                                                                                                                                
4:30:47 PM                                                                                                                    
CHAIR KAWASAKI  highlighted the stability  and experience  of the                                                               
Legislative  Audit Division.  He  said auditors  often serve  for                                                               
decades while legislators come and  go. He praised the system for                                                               
its  independence  and   effectiveness,  and  mentioned  upcoming                                                               
legislation related to this topic.  He emphasized that audits and                                                               
commissioners operate without political  influence. He noted that                                                               
the  legislative auditor  strictly  follows the  law and  remains                                                               
apolitical.                                                                                                                     
                                                                                                                                
4:32:31 PM                                                                                                                    
SENATOR HUGHES stated  that the legislature could  have the power                                                               
to remove  someone, noting that  while the  legislature currently                                                               
has a  good auditor,  oversight is necessary.  SB 107  places the                                                               
independent entity under the executive  branch without giving the                                                               
governor control, like other independent state entities.                                                                        
                                                                                                                                
4:33:30 PM                                                                                                                    
CHAIR KAWASAKI opened public testimony on SB 107.                                                                               
                                                                                                                                
4:33:42 PM                                                                                                                    
MIKE  COONS, representing  self,  Wasilla,  Alaska, testified  in                                                               
support  of SB  107  and  stated that  the  bill  aims to  reduce                                                               
spending  by requiring  divisions recommended  for sunsetting  by                                                               
audits to  end unless the  legislature acts. He said  past audits                                                               
have  identified $160  billion in  savings, including  long ended                                                               
programs. SB 107 ensures audit  recommendations are considered by                                                               
both   the  legislature   and  governor,   promoting  data-driven                                                               
decisions  and  preventing   repeated  overspending,  potentially                                                               
saving millions.                                                                                                                
                                                                                                                                
4:36:54 PM                                                                                                                    
CHAIR KAWASAKI held SB 107 in committee.                                                                                        
                                                                                                                                
4:37:50 PM                                                                                                                    
There being  no further  business to  come before  the committee,                                                               
Chair  Kawasaki  adjourned  the  Senate  State  Affairs  Standing                                                               
Committee meeting at 4:37 p.m.                                                                                                  

Document Name Date/Time Subjects
SB0160A.pdf SSTA 5/1/2025 3:30:00 PM
SB 160
sponsor SB 160.pdf SSTA 5/1/2025 3:30:00 PM
SB 160
sectional SB 160.pdf SSTA 5/1/2025 3:30:00 PM
SB 160
SB 104.pdf SSTA 5/1/2025 3:30:00 PM
SB 104
SB 104 - Sponsor Statement.pdf SSTA 5/1/2025 3:30:00 PM
SB 104
SB 104 - Sectional.pdf SSTA 5/1/2025 3:30:00 PM
SB 104
Explanation of Changes A to N SB 167.pdf SSTA 5/1/2025 3:30:00 PM
SB 167
CS SB 167.pdf SSTA 5/1/2025 3:30:00 PM
SB 167
SB 104 - Powerpoint.pdf SSTA 5/1/2025 3:30:00 PM
SB 104