SENATE STATE AFFAIRS COMMITTEE May 2, 1994 9:10 a.m. MEMBERS PRESENT Senator Loren Leman, Chair Senator Mike Miller, Vice Chair Senator Robin Taylor Senator Jim Duncan MEMBERS ABSENT Senator Johnny Ellis COMMITTEE CALENDAR CS FOR HOUSE BILL NO. 531(STA) am "An Act relating to the Milk Control Advisory Board, Museum Collections Advisory Committee, Alaska Workers' Compensation Board, resource development authorities, Board of Parole, railroad labor relations agency, Alaska School Activities Association, Steering Council for Alaska Lands, Rural Affairs Commission, Governor's Commission on the Involvement of Young People in Government, Yukon-Taiya Commission, environmental advisory board, Alaska Gas Pipeline Financing Authority, and Alaska Manpower Services Council; and establishing regional resource development authorities; and providing for an effective date." CS FOR HOUSE BILL NO. 328(FIN) "An Act allowing motor vehicle registration and licensing fees to be paid by credit card." CS FOR SENATE BILL NO. 304(HES) "An Act authorizing the issuance of bonds by the Alaska Housing Finance Corporation to pay for the costs of repair and rehabilitation of student housing facilities of the University of Alaska and for the construction of new student housing facilities at the University of Alaska Anchorage and the University of Alaska Southeast; authorizing the issuance of bonds by the University of Alaska to pay for the costs of repair and rehabilitation of facilities of the University of Alaska; amending powers of the Alaska Housing Finance Corporation; amending the definition of `public building'; and relating to the Alaska debt retirement fund; and providing for an effective date." PREVIOUS SENATE COMMITTEE ACTION HB 531 - No previous senate committee action. HB 328 - No previous senate committee action. SB 304 - See Health, Education & Social Services minutes dated 4/18/94 and 4/25/94. WITNESS REGISTER Kristie Leaf, Director Boards & Commissions Office of the Governor P.O. Box 110001, Juneau, AK 99811-0001¶465-3500 POSITION STATEMENT: prime sponsor of HB 531 Jeanne Larson, Aide Representative Larson State Capitol, Juneau, AK 99801-1182¶465-3783 POSITION STATEMENT: prime sponsor of HB 328 Juanita Hensley, Chief Driver Services Division of Motor Vehicles Department of Public Safety P.O. Box 20020, Juneau, AK 99802-0020¶465-4335 POSITION STATEMENT: in favor of HB 328 Allison Elgee, Budget Director University of Alaska 227 4th St., 2nd Floor, Juneau, AK 99801¶463-3086 POSITION STATEMENT: prime sponsor of SB 304 ACTION NARRATIVE TAPE 94-33, SIDE A Number 001 CHAIRMAN LEMAN calls the Senate State Affairs Committee to order at 9:10 a.m. Number 007 CHAIRMAN LEMAN brings up HB 531 (RELATING TO SOME STATE MULTIMEMBER BODIES) as the first order of business before the Senate State Affairs Committee and notes that the committee heard the senate companion bill earlier in the session. The chairman calls Ms. Leaf from the Governor's Office to testify. Number 013 KRISTIE LEAF, Director, Boards & Commissions, Office of the Governor, states there is a title change in HB 531, which is to list individually the boards affected by the bill. That was a house floor amendment. One other change is to section 8 of HB 531, which eliminates a July 1, 1986 statutory deadline for the creation of local resource development authorities. The purpose of these authorities is the improvement and establishment of facilities in a rural district, for transportation purposes in connection with natural resource development enterprises. Ms. Leaf states those were the only changes, and the only difference between the senate bill and HB 531. Number 039 CHAIRMAN LEMAN asks if the Museum Collections Advisory Committee language is okay with museums people. MS. LEAF responds that language is okay with them. Number 043 SENATOR TAYLOR asks if the provisions in HB 531 concerning the Parole Board comport with what the senate has done in another bill. Number 049 MS. LEAF replies that the wording is somewhat different, but there is no substantive difference between SB 286, which is now in the governor's office, and HB 531. SB 286 does have the preferred language, so the governor will try to sign that bill second so that it preempts the language in HB 531. Number 063 SENATOR MILLER asks why not simply take the Parole Board language out of HB 531. CHAIRMAN LEMAN states the committee would have to have a title change if that language was taken out. Number 068 SENATOR TAYLOR comments that HB 531 violates every title rule anyhow. Number 080 CHAIRMAN LEMAN asks if there is any further committee discussion, or if anyone in the public wishes to testify. Number 085 SENATOR MILLER makes a motion to discharge HB 531 from the Senate State Affairs Committee with individual recommendations. Number 087 CHAIRMAN LEMAN, hearing no objection, orders HB 531 released from committee with individual recommendations. Number 089 CHAIRMAN LEMAN brings up HB 328 (PAY MOTOR VEHICLE FEES BY CREDIT CARD) as the next order of business before the Senate State Affairs Committee. The chairman calls Ms. Larson to testify. JEANNIE LARSON, Aide to Representative Martin, the prime sponsor of HB 328, states HB 328 would amend existing statutes relating to registration fee rates to allow fees to be paid by credit card, including authorization by telephone. This would increase efficiency. By using a credit card, credit card companies assume responsibility for payment. Number 117 CHAIRMAN LEMAN asks what the fee would be from the credit card companies for use of the credit cards. The chairman asks if the fees paid to the credit card companies would be less than the fees paid for nsf (non-sufficient funds) checks. Number 125 JUANITA HENSLEY, Chief, Driver Services, Division of Motor Vehicles, Department of Public Safety, states the fiscal note accompanying HB 328 would give DMV to allocation to handle a 1.5% interest rate on credit card charges. Number 153 CHAIRMAN LEMAN asks Ms. Hensley if she thinks HB 328 will help DMV in speeding the processing of registration. Number 156 MS. HENSLEY responds DMV is certainly hoping that HB 328 will allow the department to more conveniently serve the public. DMV is currently exploring the idea of a venture with a private company to provide kiosk service. This will allow the division to renew licenses and registrations through a kiosk system, or ATM type machine. These kiosks will be placed in grocery stores, banks, those types of places. Number 177 CHAIRMAN LEMAN asks if people will be allowed to charge renewals of registration & licenses to their debit cards. MS. HENSLEY states she could see no reason why a person would not be allowed to use their debit card. MS. LARSON agrees, stating it was probably just an oversight that debit cards were not included in HB 328. SENATOR MILLER states there would be a title problem regarding adding debit cards to HB 328. MS. HENSLEY states that with HB 328, the state would have the chance to see if the program would be feasible. Number 193 SENATOR TAYLOR states the committee could put a definition section in the bill, basically saying a debit card shall be known as a debit card. SENATOR TAYLOR asks why not be able to charge all transactions with the state, such as the Court System. Number 201 MS. HENSLEY responds there is nothing to prohibit the state from using credit cards at this time, however, DMV cannot absorb the credit card fee. Ms. Hensley agrees that the Court System could very well utilize payment of fees by credit card. Number 221 CHAIRMAN LEMAN asks if there are further questions of the witness, or if anyone else would like to testify on HB 328. Number 222 SENATOR TAYLOR makes a motion to discharge HB 328 from the Senate State Affairs Committee with individual recommendations. Number 223 CHAIRMAN LEMAN, hearing no objection, orders HB 328 released from committee with individual recommendations. Number 225 CHAIRMAN LEMAN brings up SB 304 (AHFC BONDS FOR UNIV. OF ALASKA USES) as the next order of business before the Senate State Affairs Committee and calls the first witness. Number 235 ALLISON ELGEE, Budget Director, University of Alaska, states the governor introduced SB 304 to provide for 75,000,000$ in bonds to cover deferred maintenance. These bonds would take care of approximately one-half of the university's identified deferred maintenance. 30,000,000$ would be bonded through the Alaska Housing Finance Corporation (AHFC), while 45,000,000$ would be bonded under the university's debt authority. MS. ELGEE states SB 304 was amended in the Senate Health, Education & Social Services Committee to include 34,500,000$ of additional bonds through AHFC for new student housing in Anchorage and Juneau. Number 246 SENATOR TAYLOR moves amendment #1. CHAIRMAN LEMAN reads amendment #1: page 3, line 2, delete "6,000,000$", insert "7,500,000$". CHAIRMAN LEMAN asks Ms. Elgee if she would like to respond to the amendment. MS. ELGEE responds she is aware of the amendment, and knows that Regent Lew Williams is actively supporting the amendment. It is not a surprise to her. Number 260 CHAIRMAN LEMAN asks if the University of Alaska supports the amendment. Number 261 MS. ELGEE responds that one of the regents very actively supports the amendment, but it has not been before the full board, so she cannot give a response as to the board's position on the amendment. Number 269 CHAIRMAN LEMAN asks if anyone in the audience would like to respond to amendment #1. The chairman asks if there is any objection to the amendment. Hearing no objection, the chairman states amendment Number 282 CHAIRMAN LEMAN notes for the record that other areas of SB 304 may change as a result of amendment #1. The chairman asks Senator Taylor if it was his intent to adopt those conceptual changes along with amendment #1. SENATOR TAYLOR states it was his intent to do so. CHAIRMAN LEMAN asks if there is any objection to the conceptual changes. CHAIRMAN LEMAN, hearing no objection, states the conceptual changes have been approved. The chairman asks if there is any further discussion regarding SB 304 or if anyone else would like to testify. SENATOR MILLER makes a motion to discharge SB 304 from the Senate State Affairs Committee with individual recommendations. Number 288 CHAIRMAN LEMAN, hearing no objection, orders SB 304 released from committee with individual recommendations. Number 290 CHAIRMAN LEMAN adjourns the Senate State Affairs Committee meeting at 9:35 a.m.