HOUSE STATE AFFAIRS STANDING COMMITTEE March 9, 1993 8:00 a.m. MEMBERS PRESENT Representative Al Vezey, Chairman Representative Pete Kott, Vice Chairman Representative Harley Olberg Representative Jerry Sanders Representative Gary Davis Representative Fran Ulmer Representative Bettye Davis MEMBERS ABSENT None OTHER HOUSE MEMBERS PRESENT Representative Con Bunde Representative Carl Moses COMMITTEE CALENDAR HB 81 "An Act relating to the longevity bonus program." HELD IN COMMITTEE FOR FURTHER CONSIDERATION HJR 18 Relating to establishment of a fishing community at Adak. MOVED FROM COMMITTEE WITH A DO PASS RECOMMENDATION SB 47 "An Act relating to equipment, registration and identification of custom collector vehicles; and providing for an effective date." MOVED FROM COMMITTEE WITH A DO PASS RECOMMENDATION WITNESS REGISTER Representative Carl Moses Room 204, State Capitol Juneau, Alaska 99801-1182 465-4451 Position Statement: Prime Sponsor of HJR 18 Max Gifford, Legislative Aide to Senator Tim Kelly Room 101, State Capitol Juneau, Alaska 99801-1182 465-3822 Position Statement: Outlined SSSB 47 Juanita Hensley, Chief, Driver Services Division of Motor Vehicles Department of Public Safety P.O. Box 20020 Juneau, Alaska 99802-0020 465-4335 Position Statement: Explained the intent of SSSB 47 Nancy Bear Usera, Commissioner Department of Administration 10th Floor, State Office Building P.O. Box 110200 Juneau, Alaska 99811-0200 465-2200 Position Statement: Opposed CSHB 81; Supported HB 81 Representative Con Bunde Room 112, State Capitol Juneau, Alaska 99801-1182 465-4843 Position Statement: Opposed a need based program PREVIOUS ACTION BILL: HB 81 SHORT TITLE: PHASE OUT LONGEVITY BONUS BILL VERSION: SPONSOR(S): RULES BY REQUEST OF THE GOVERNOR TITLE: "An Act relating to the longevity bonus program." JRN-DATE JRN-PG ACTION 01/22/93 130 (H) READ THE FIRST TIME/REFERRAL(S) 01/22/93 130 (H) STATE AFFAIRS, JUDICIARY, FINANCE 01/22/93 130 (H) -2 FNS (ADM) 1/22/93 01/22/93 130 (H) GOVERNOR'S TRANSMITTAL LETTER 02/02/93 (H) STA AT 08:00 AM CAPITOL 102 02/02/93 (H) MINUTE(STA) 02/06/93 (H) STA AT 08:00 AM CAPITOL 102 02/13/93 (H) STA AT 08:00 AM CAPITOL 102 02/13/93 (H) MINUTE(STA) 02/13/93 (H) MINUTE(STA) 02/13/93 (H) MINUTE(STA) 02/13/93 (H) MINUTE(STA) 02/13/93 (H) MINUTE(STA) 02/13/93 (H) MINUTE(STA) 02/13/93 (H) MINUTE(STA) 02/27/93 (H) STA AT 08:00 AM CAPITOL 102 02/27/93 (H) MINUTE(STA) 02/27/93 (H) MINUTE(STA) 03/09/93 (H) STA AT 08:00 AM CAPITOL 102 BILL: HJR 18 SHORT TITLE: ESTABLISH FISHING COMMUNITY AT ADAK BILL VERSION: SPONSOR(S): REPRESENTATIVE(S) MOSES TITLE: Relating to establishment of a fishing community at Adak. JRN-DATE JRN-PG ACTION 01/22/93 126 (H) READ THE FIRST TIME/REFERRAL(S) 01/22/93 126 (H) MIL & VET AFF, FISHERIES, STATE AFFAIRS 02/18/93 (H) MLV AT 10:00 AM CAPITOL 17 02/24/93 (H) MLV AT 05:00 PM CAPITOL 17 02/24/93 (H) MINUTE(MLV) 02/25/93 461 (H) FSH REFERRAL WAIVED 03/01/93 482 (H) MLV RPT 3DP 1NR 03/01/93 483 (H) DP: MULDER, FOSTER, WILLIS 03/01/93 483 (H) NR: NAVARRE 03/01/93 483 (H) -ZERO FISCAL NOTE (DMVA) 3/1/93 03/09/93 (H) STA AT 08:00 AM CAPITOL 102 BILL: SB 47 SHORT TITLE: REGISTRATION/EQUIPMENT OF CUSTOM CARS BILL VERSION: SSSB 47 SPONSOR(S): SENATOR(S) KELLY,Halford,Taylor TITLE: "An Act relating to equipment, registration, and identification of custom collector vehicles; and providing for an effective date." JRN-DATE JRN-PG ACTION 01/15/93 72 (S) READ THE FIRST TIME/REFERRAL(S) 01/15/93 72 (S) LABOR & COMMERCE, THEN FINANCE 01/22/93 121 (S) SPONSOR SUBSTITUTE INTRODUCED- NEW TITLE 01/22/93 122 (S) LABOR & COMMERCE, FINANCE 01/26/93 (S) L&C AT 01:30 PM BELTZ ROOM 211 01/27/93 169 (S) L&C RPT 4DP 1NR 01/27/93 169 (S) FISCAL NOTE (DPS) 02/10/93 312 (S) FIN RPT 6DP 02/10/93 312 (S) PREVIOUS FISCAL NOTE (DPS) 02/10/93 (S) FIN AT 08:00 AM SENATE FINANCE 518 02/11/93 (S) RLS AT 11:45 AM FAHRENKAMP ROOM 203 02/11/93 (S) MINUTE(RLS) 02/17/93 385 (S) RULES RPT 3 TO CAL AND 1NR 2/17/93 02/17/93 387 (S) READ THE SECOND TIME 02/17/93 388 (S) ADVANCE TO 3RD READING FAILED Y11 N8 E1 02/17/93 388 (S) THIRD READING 2/19 CALENDAR 02/19/93 417 (S) THIRD READING HELD TO 2/22 CALENDAR 02/22/93 441 (S) READ THE THIRD TIME SSSB 47 02/22/93 441 (S) HELD IN THIRD READING TO 2/24/93 02/24/93 464 (S) HELD IN THIRD READING TO 2/26/93 02/26/93 512 (S) RETURN TO SECOND FOR AM 1 UNAN CONSENT 02/26/93 512 (S) AM NO 1 MOVED BY DONLEY 02/26/93 512 (S) AM NO 1 FAILED Y5 N12 E3 02/26/93 513 (S) RETURN TO SECOND FOR AM 2 UNAN CONSENT 02/26/93 513 (S) AM NO 2 MOVED BY DONLEY 02/26/93 513 (S) AM NO 2 FAILED Y7 N10 E3 02/26/93 514 (S) RETURN TO SECOND FOR AM 3 UNAN CONSENT 02/26/93 514 (S) AM NO 3 MOVED BY DONLEY 02/26/93 514 (S) AM NO 3 FAILED Y6 N11 E3 02/26/93 514 (S) AM NO 4 NOT OFFERED AT THIS TIME 02/26/93 514 (S) RETURN TO SECOND FOR AM 5 UNAN CONSENT 02/26/93 515 (S) AM NO 5 OFFERED BY DONLEY 02/26/93 517 (S) AM NO 5 FAILED Y4 N13 E3 02/26/93 517 (S) RETURN TO SECOND FOR AM 4 UNAN CONSENT 02/26/93 517 (S) AM NO 4 OFFERED BY DONLEY 02/26/93 518 (S) AM NO 4 FAILED Y7 N10 E3 02/26/93 518 (S) RETURN TO SECOND FOR AM 8 UNAN CONSENT 02/26/93 517 (S) AM NO 6, 7 NOT OFFERED AT THIS TIME 02/26/93 518 (S) AM NO 8 OFFERED BY LINCOLN 02/26/93 519 (S) AM NO 8 FAILED Y7 N10 E3 02/26/93 519 (S) AUTOMATICALLY IN THIRD READING 02/26/93 519 (S) PASSED Y11 N6 E3 02/26/93 520 (S) EFFECTIVE DATE PASSED Y17 N- E3 02/26/93 520 (S) ADAMS NOTICE OF RECONSIDERATION 03/01/93 548 (S) RECONSIDERATION NOT TAKEN UP 03/01/93 549 (S) TRANSMITTED TO (H) 03/02/93 501 (H) READ THE FIRST TIME/REFERRAL(S) 03/02/93 501 (H) STATE AFFAIRS, TRANSPORTATION, FINANCE 03/09/93 (H) STA AT 08:00 AM CAPITOL 102 ACTION NARRATIVE TAPE 93-27, SIDE A Number 000 CHAIRMAN AL VEZEY called the House State Affairs Committee to order at 8:02 a.m. Members present included Representatives Ulmer, Olberg, G. Davis, B. Davis, Kott, and Sanders, representing a quorum. Also in attendance was Representative Carl Moses, prime sponsor of HJR 18, and Representative Con Bunde. HJR 18: ESTABLISH FISHING COMMUNITY AT ADAK Number 018 CHAIRMAN VEZEY read the title to HJR 18 and invited its sponsor, Representative Carl Moses, to the table for his comments. Number 024 REPRESENTATIVE CARL MOSES, PRIME SPONSOR of HJR 18, outlined the intent of HJR 18, that being to establish the rights of private fishermen to utilize the harbors and facilities of Adak Naval Air Station. He reminded members fishermen had access to Finger Bay at Adak 15 years ago, and said allowing them use of the facilities again would aid the industry. Number 050 CHAIRMAN VEZEY asked Representative Moses if any additional information on the federal government's intentions for Adak was available. Number 058 REPRESENTATIVE MOSES stated Adak faced a 10% reduction in 1993, and that $30 million in contracts for expansion had been cancelled in the fall of 1992. Number 068 CHAIRMAN VEZEY asked if there was any news regarding the Congressional Base Closure Committee's intentions. Number 070 REPRESENTATIVE MOSES stated Adak was not mentioned in the latest round of closures. REPRESENTATIVE FRAN ULMER asked if the intent of HJR 18 was for eventual state ownership of the facilities or just access to them. Number 080 REPRESENTATIVE MOSES hoped for access to the harbor and that access to tie-ups would be beneficial to the fishing community. Number 100 REPRESENTATIVE ULMER asked if the Navy had been contacted. REPRESENTATIVE MOSES replied in the negative. Number 109 REPRESENTATIVE HARLEY OLBERG asked about the restrictions placed on vessels coming to Adak. Number 111 REPRESENTATIVE MOSES explained boats could not enter the harbor except for emergencies. He hoped to regain access to docks, as well as commissary privileges for crews. Number 135 REPRESENTATIVE OLBERG asked the status of land claims by the regional Native corporation. Number 140 REPRESENTATIVE MOSES stated to his knowledge, all claims had been made, but the potential for land exchanges between corporations and the government were always possible. Number 165 VICE CHAIRMAN PETE KOTT expressed concern over the message sent to the Defense Department. He stated it seemed Alaskans might be conceding the closure of Adak. He also asked if there was any fiscal impact with allowing a fishing community. Number 182 REPRESENTATIVE MOSES noted the community at Adak was already developed, with a harbor, as well as the infrastructure of a modern city. Number 192 REPRESENTATIVE GARY DAVIS MOVED passage of HJR 18 from committee. There being no objections, HJR 18 was PASSED by a 7-0 vote. SB 47: REGISTRATION/EQUIPMENT OF CUSTOM CARS Number 207 CHAIRMAN VEZEY read the title of SSSB 47 and invited Max Gifford, aide to Senator Tim Kelly, to present the sponsor's statement. Number 213 MAX GIFFORD, LEGISLATIVE AIDE TO SENATOR TIM KELLY, PRIME SPONSOR of SSSB 47, outlined the bill's intent to allow collectible cars to be exempted from certain regulations, to establish a special licensing of such cars, and the creation of special plates for collectibles; as well as the cost of the bill. Number 251 CHAIRMAN VEZEY asked about the registration requirements of SSSB 47. Number 253 MR. GIFFORD explained the license plate fee of $50 would be a one time fee, with annual registration charges similar to normal registration fees. He stated the cost to create the new license plates would be $10,900, which would be covered by the plate fee. Number 309 JUANITA HENSLEY, CHIEF, DRIVER SERVICES, DIVISION OF MOTOR VEHICLES, DEPARTMENT OF PUBLIC SAFETY, joined the discussion and explained the intent of SSSB 47 to bring collectibles up to a safety standard with some exemptions for show cars. She also explained the standards being set for emissions and equipment. Number 339 REPRESENTATIVE G. DAVIS asked why 1949 had been established as a date for "collectible or classic" status, and wondered if Alaska's statehood year, 1959, might be more appropriate. Number 351 MR. GIFFORD explained 1949 was chosen because it was the last year running boards were manufactured on American cars, and it was generally recognized by collectors as a bench mark date. Number 373 REPRESENTATIVE OLBERG understood SSSB 47 allowed cars without hoods, fenders or bumpers to be driven on Alaska roads. Number 376 MR. GIFFORD explained the limited number of cars not having all three parts, and agreed collectibles without them could be driven if they met all other technical requirements. Number 380 REPRESENTATIVE OLBERG wondered if other antiques might not be covered. Number 383 MS. HENSLEY stated they could qualify for "historic" plates, which would restrict them to be driven during parades, while SSSB 47 would allow "collectibles" to be driven anytime. Number 405 REPRESENTATIVE BETTYE DAVIS MOVED passage of SSSB 47. There being no objections, SSSB 47 PASSED committee by a 7-0 vote. HB 81: PHASE OUT LONGEVITY BONUS Number 419 CHAIRMAN VEZEY introduced a committee substitute (CS) to HB 81, explained a legal analysis of it, then ordered a five minute recess at 8:26 a.m. so members could look at the research. Number 432 CHAIRMAN VEZEY reconvened the meeting at 8:32 a.m., and explained the motivation behind the analysis. He stated concerns that under HB 81, costs would continue to rise for at least four years, and asked analysts if there was a way to begin cutting costs earlier. He then outlined the three options presented in the research. Number 504 CHAIRMAN VEZEY called another five minute at ease so members could read the presentation. Number 518 CHAIRMAN VEZEY, after calling the committee back to order, invited Commissioner of Administration, Nancy Bear Usera, to comment on the proposals. Number 520 NANCY BEAR USERA, COMMISSIONER, DEPARTMENT OF ADMINISTRATION, urged the committee to reject CSHB 81 in favor of HB 81. She stated the governor's proposal was fair, reasonable, and affordable even in the face of increasing costs. She also stated the governor had already considered proposals similar to CSHB 81, and rejected them. Number 542 VICE CHAIR KOTT asked if the governor was likely to veto the alternatives. COMMISSIONER USERA explained the governor was committed to his version of HB 81, and alternatives were likely to be vetoed. Number 553 REPRESENTATIVE ULMER asked if the Administration had legal opinions that the grandfathering provision based on age would withstand legal challenges. COMMISSIONER USERA assured Representative Ulmer that opinions had been written, and that the phaseout of any program was easily defended. She also stated the governor's commitment to the grandfathering clause, but noted a compromise on the amounts to be paid under it was possible. SB 6: ANNUITY PROGRAM AMENDMENTS Number 595 REPRESENTATIVE CON BUNDE joined the committee at the table, representing his constituents. He stated his constituents were not interested in a need based program, saying it would become "senior welfare." He also stated their opposition to SB 6, which would establish an annuity for seniors. He said many voters did not want the bill because it would discriminate against those who would not be able to place their permanent fund check into the annuity. Number 626 CHAIRMAN VEZEY noted he would add HB 81 to the next meeting's agenda. Number 628 VICE CHAIR KOTT expressed his concern to move HB 81 quickly. Number 639 REPRESENTATIVE OLBERG suggested members come prepared to move HB 81 at the next meeting with a minimum of discussion. Number 647 REPRESENTATIVE G. DAVIS favored moving a bill that had the best chance of passing. ADJOURNMENT Number 655 CHAIRMAN VEZEY noted all the arguments and adjourned the committee at 8:53 a.m.