Legislature(1997 - 1998)

1997-01-15 Senate Journal

Full Journal pdf

1997-01-15                     Senate Journal                      Page 0047
                                 SENATE JOURNAL                                
                            ALASKA STATE LEGISLATURE                           
                     TWENTIETH LEGISLATURE - FIRST SESSION                     
                                                                               
Juneau, Alaska                                                                 
                                                                               
                                   Third Day                                   
                                                                               
Pursuant to adjournment the Senate was called to order by President            
Miller at 10:59 a.m.                                                           
                                                                               
The roll showed eleven members present.  Senators Donley, Duncan,              
Ellis, Halford, Kelly, Lincoln, Parnell, Sharp, Torgerson were absent.         
                                                                               
The prayer was offered by the Chaplain, The Most Reverend Michael              
Warfel, Bishop of the Roman Catholic Church, Diocese of Juneau.                
                                                                               
Senator Hoffman moved and asked unanimous consent that the                     
prayer be spread.  Without objection, it was so ordered.                       
                                                                               
Almighty and gracious God, You grace us with life                             
and being.  We ask that You continue to bless and                              
sustain us in all that we do.                                                  
                                                                               
A saint of old once prayed, Lord, we entreat You                              
to help us.  Come to the aid of the afflicted, pity                            
the lowly, raise the fallen, show your face to the                             
needy, heal the sick, convert the wayward, feed the                            
hungry, deliver the captives, support the weak.  Let                           
all nations know that You alone are God.  May                                  
these lawmakers carry a like sense of concern for                              
the people of our state.  And in the difficult job of                          
governing, bless them with minds filled with                                   
wisdom and hearts filled with compassion.    Amen.                             
                                                                               
                                                                               
Senator Hoffman led the Senate in the pledge of allegiance.                    
                                                                               
                                       47                                      
                                                                               
                                                                               

1997-01-15                     Senate Journal                      Page 0048
                                CERTIFICATION                                
                                                                               
Senator Taylor moved and asked unanimous consent that the journal              
for the second legislative day and Senate and House Joint Journal              
Supplement No. 1 be approved as certified by the Secretary.                    
Without objection, it was so ordered.                                          
                                                                               
At this time, all members were present.                                        
                                                                               
                                COMMUNICATIONS                                
                                                                              
The following Budget and Audit Reports were received from Randy                
S. Welker, Legislative Auditor, in accordance with AS 24.20.311 and            
are on file in the Office of the Secretary of the Senate:                      
                                                                               
State of Alaska, Single Audit for the Fiscal Year Ended June 30,               
1995                                                                           
                                                                               
State of Alaska Unabridged 1996 Annual Report of the Legislative               
Budget and Audit Committee (Books 1 and 2)                                     
                                                                               
Statewide Federal Indirect Costs, August 22, 1996                              
                                                                               
Department of Administration:                                                  
                                                                               
University of Alaska, Printing and Publication                                
Expenditures, April 16, 1996                                                   
                                                                               
Application Controls over the Alaska Statewide                                
Accounting System, April 26, 1996                                              
                                                                               
Legislative Affairs Agency, Computer Procurement                              
and Related Appeals, October 17, 1996                                          
                                                                               
Department of Commerce and Economic Development:                               
                                                                               
Alaska Railroad Corporation, Chena Landings                                   
Development, August 20, 1996                                                   
                                                                               
                                                                               

1997-01-15                     Senate Journal                      Page 0049
Alaska Railroad Corporation, Anchorage Gravel                                 
Activities, July 3, 1996                                                       
                                                                               
Division of Occupational Licensing, Board of Public                           
Accountancy, September 15, 1996 (Sunset)                                       
                                                                               
State Board of Registration for Architects,                                   
Engineers, and Land Surveyors, September 17, 1996                              
(Sunset)                                                                       
                                                                               
Board of Dental Examiners, October 14, 1996                                   
(Sunset)                                                                       
                                                                               
Division of Occupational Licensing, State Physical                            
Therapy and Occupational Therapy Board, October                                
24, 1996 (Sunset)                                                              
                                                                               
Division of Occupational Licensing, Board of                                  
Barbers and Hairdressers, October 24, 1996 (Sunset)                            
                                                                               
Department of Corrections:                                                     
                                                                               
 Board of Parole, July 15, 1996 (Sunset)                                      
                                                                               
Fiscal Operations and Compliance with State Laws                              
and Regulations, July 19, 1996                                                 
                                                                               
Department of Environmental Conservation, Division of Statewide                
Public Service, Selected Alternative Sanitation Technology Issues,             
August 1, 1996                                                                 
                                                                               
Department of Health and Social Services, Juneau Alliance for the              
Mentally Ill, October 28, 1996                                                 
                                                                               
Department of Transportation and Public Facilities:                            
                                                                               
Recovery of Repair Costs for Damaged Highway                                  
Fixtures, May 13, 1996                                                         
                                                                               
                                                                               

1997-01-15                     Senate Journal                      Page 0050
Fairbanks Procurement and Surplus, Property                                   
Procedures, May 15, 1996                                                       
                                                                               
Alaska Marine Highway System, Selected                                        
Operational Issues, August 9, 1996                                             
                                                                               
University of Alaska, Institute for Circumpolar Health Studies,                
February 29, 1996                                                              
                                                                               
                                                                               
                          STANDING COMMITTEE REPORTS                         
                                                                               
Rules Committee Report dated January 13 was received stating:                  
                                                                               
In compliance with AS 24.10.030 and Uniform Rule 3(a), the Senate              
Rules Committee hereby reports its nomination of Nancy Quinto to               
serve as Secretary of the Senate for the Twentieth Legislature and             
recommends election by the Senate.                                             
                                                                               
The report was signed by Senator Kelly, Chair, Senators Taylor,                
Duncan, Leman, Torgerson.                                                      
                                                                               
Senator Taylor moved and asked unanimous consent that the Rules                
Committee Report be adopted.  Without objection, it was so ordered,            
thereby confirming Nancy Quinto as Secretary of the Senate.                    
                                                                               
                                                                               
                  INTRODUCTION AND REFERENCE OF SENATE BILLS                 
                                                                               
SB 49                                                                        
SENATE BILL NO. 49 BY THE SENATE RULES COMMITTEE                               
BY REQUEST OF THE GOVERNOR, entitled:                                          
                                                                               
An Act repealing certain filing statements and                                
bonds for enforcement and collection of certain                                
taxes and license fees; relating to service of process                         
on nonresident taxpayers; and providing for an                                 
effective date.                                                                
                                                                               

1997-01-15                     Senate Journal                      Page 0051
SB 49                                                                        
was read the first time and referred to the Labor and Commerce and             
Judiciary Committees.                                                          
                                                                               
Zero fiscal notes published today from Department of Commerce and              
Economic Development, Department of Revenue.                                   
                                                                               
Governor's transmittal letter dated January 15, 1997:                          
                                                                               
Dear President Miller:                                                         
                                                                               
Much of my effort in advertising Alaska as open and ready for                  
business includes removing unnecessary barriers to doing business              
in our state.  This bill does just that.  It discontinues our requirement      
that nonresident businesses file a bond or other security with the             
Department of Revenue -- a requirement, I must note, that makes                
Alaska unique among all 50 states.  In this area, Id rather join the           
norm than be different.                                                        
                                                                               
The bonding requirement, with a minimum $1,000 bond, was enacted               
in 1955 to ensure the collection of state taxes and license fees from          
nonresident businesses which have little security or property in the           
state.  It may have made sense back then when it was hard to find              
people if they abruptly closed up shop and left the state with a tax           
debt.  But modern technology has fixed that problem.                           
                                                                               
Many taxpayers now complain the bonding and related filing                     
requirements are excessive considering the amount of business they             
do in the state.  Moreover, no one in the Department of Revenue                
can recall a case where a bond was actually used to pay a delinquent           
tax lien; the department has other means of ensuring that tax                  
payments are made.                                                             
                                                                               
In fiscal year 1995, more than 2,000 corporations had to fill out              
lengthy paperwork and file these bonds.  If the program is                     
eliminated, the time the state spends on processing all these forms            
can be redirected toward expanded tax compliance work which would              
result in increased revenue to the state.                                      
                                                                               
                                                                               

1997-01-15                     Senate Journal                      Page 0052
SB 49                                                                        
I submitted this same proposal last year to the legislature where it           
received much support.  It passed the Senate as well as every                  
committee of referral in the House of Representatives. The non-                
resident tax bond program serves only to discourage business in                
Alaska.  Its time to take it off the books.                                    
                                                                               
						Sincerely,                                                               
						/s/                                                                      
						Tony Knowles                                                             
						Governor                                                                 
                                                                               
                                                                               
SB 50                                                                        
SENATE BILL NO. 50 BY THE SENATE RULES COMMITTEE                               
BY REQUEST OF THE GOVERNOR, entitled:                                          
                                                                               
An Act relating to administrative penalties for                               
violation of public water supply system                                        
requirements; amending Alaska Rule of Civil                                    
Procedure 82 regarding attorney's fees; and                                    
providing for an effective date.                                               
                                                                               
was read the first time and referred to the Community and Regional             
Affairs, Judiciary and Finance Committees.                                     
                                                                               
Zero fiscal notes published today from Department of Law,                      
Department of Environmental Conservation.                                      
                                                                               
Governor's transmittal letter dated January 15, 1997:                          
                                                                               
Dear President Miller:                                                         
                                                                               
Safe drinking water is essential to the health and well-being of any           
community.  As part of my ongoing effort to build healthy                      
communities in Alaska, this administration is dedicated to ensuring            
our public water systems meet all health requirements.  In order to            
meet that goal, it is important that the state retain control over             
enforcement of  the  federal  drinking  water  program.  Losing that           
                                                                               

1997-01-15                     Senate Journal                      Page 0053
SB 50                                                                        
control would lead to the loss of federal construction funds for               
drinking water systems -- something we cannot afford to see happen,            
particularly for rural Alaska.                                                 
                                                                               
This bill will guarantee the state maintains its control over drinking         
water programs by complying with a recent change to the federal                
Safe Drinking Water Act which mandates the state have                          
administrative penalties for violations of public water supply system          
requirements.  This bill appropriately places the administrative               
penalty authority with the Department of Environmental Conservation            
(DEC).                                                                         
                                                                               
The authority to impose administrative penalties is a more efficient           
and cost-effective way to enforce important public health laws.                
Presently, the state must initiate a lawsuit in order to impose a civil        
assessment for a violation of requirements for public water supply             
systems.  Legal costs for a court action potentially far exceed the            
costs involved in an administrative hearing and any related appeal.            
                                                                               
Enacting administrative penalty authority is essential if the state is         
to receive this important federal funding for improvement of Alaska            
public drinking water systems.  Maintaining Alaskas primary                    
enforcement authority for the federal drinking water program                   
provides maximum flexibility and local control over this program               
while at the same time working to ensure the safety of Alaskas                 
public water supply systems.                                                   
                                                                               
						Sincerely,                                                               
						/s/                                                                      
						Tony Knowles                                                             
						Governor                                                                 
                                                                               
                                                                               

1997-01-15                     Senate Journal                      Page 0054
                        CONSIDERATION OF THE CALENDAR                        
                                                                               
                                                                               
                                  CITATIONS                                  
                                                                               
                                                                               
Honoring - Victims for Justice, 1996 Foundation for Improvement of             
Justice Award                                                                  
Senator(s) Donley, Ellis, Leman, Pearce, Lincoln, R. Phillips, Parnell,        
Mackie, Kelly, Taylor, Halford, Duncan, Green                                  
                                                                               
Honoring - Sylvia Thompson for Her One Hundredth Birthday                      
Senator(s) Torgerson, Leman, Pearce, Adams, Lincoln, Mackie, Kelly,            
Taylor, Duncan, Green                                                          
                                                                               
Honoring - Dolly Spencer, National Heritage Fellowship Award                   
Senator(s) Torgerson, Pearce, Adams, Lincoln, Mackie, Kelly, Taylor,           
Leman, Duncan, Green                                                           
                                                                               
Honoring - Anchor Point Volunteer Fire Department                              
Senator(s) Torgerson, Leman, Pearce, Adams, Lincoln, Parnell,                  
Mackie, Kelly, Taylor, Donley, Duncan, Green                                   
                                                                               
                                                                               
Senator Taylor moved and asked unanimous consent that the citations            
be adopted.  Without objection, the citations were adopted and                 
referred to the Secretary for transmittal.                                     
                                                                               
                                                                               
                             UNFINISHED BUSINESS                             
                                                                               
Senator Lincoln moved and asked unanimous consent that she be                  
excused from a call of the Senate on January 20 and 21.  Without               
objection, Senator Lincoln was excused.                                        
                                                                               
                                                                               
                                ANNOUNCEMENTS                                
                                                                               
Announcements are at the end of the journal.                                   
                                                                               

1997-01-15                     Senate Journal                      Page 0055
                                 ADJOURNMENT                                 
                                                                               
Senator Taylor moved and asked unanimous consent that the Senate               
stand in adjournment until 11:00 a.m., January 16, 1997.  Without              
objection, the Senate adjourned at 11:06 a.m.                                  
                                                                               
                                                          Nancy Quinto         
                                               Secretary of the Senate         
                                                                               
                                                          January 1997         

1997-01-15                     Senate Journal                      Page 0056
                                ANNOUNCEMENTS                                
                                                                               
Americans with Disabilities Act Notice - Persons with disabilities who         
require special accommodation or alternative communication formats to          
access committee meetings may contact the appropriate committee office or      
the Legislative Information Office in their community. Reasonable advance      
notice is needed to accommodate the request. For further information, call     
the ADA Coordinator at 465-3854 Voice/465-4980 TDD.                            
                                                                               
                                                                               
                          SENATE STANDING COMMITTEES                          
+ indicates teleconference                                                    
                                                                               
                         COMMUNITY & REGIONAL AFFAIRS                        
                               BUTROVICH ROOM 205                              
JAN 20                          MONDAY  1:30 PM                                
	SB  29STATE AID TO MUNICIPALITIES & UNORG. BOR.                              
                    ----------------------------------------                   
                                                                               
                                   FINANCE                                   
                               SENATE FINANCE 532                              
JAN 16                         THURSDAY  9:00 AM                               
	STATE REVENUE FORECASTS                                                      
	..PRESENTED BY THE DEPARTMENT OF REVENUE                                     
                                                                               
JAN 17                          FRIDAY  9:00 AM                                
	BUDGET OVERVIEW, PRESENTED BY OMB                                            
	FOLLOW-UP REMARKS BY MIKE GREANY, LEG                                        
FINANCE                                                                        
	                                                                             
                                                                               
                               JOINT COMMITTEES                              
                                                                               
                          LEGISLATIVE BUDGET & AUDIT                         
                               SENATE FINANCE 532                              
JAN 16                         THURSDAY  8:30 AM                               
	LBA WILL MEET FOR ORGANIZATIONAL PURPOSES                                    
                                                                               
                                                                               

1997-01-15                     Senate Journal                      Page 0057
                                OTHER MEETINGS                               
                                                                               
                         STATE OF THE BUDGET ADDRESS                         
                                 HOUSE CHAMBER                                 
JAN 16                         THURSDAY  8:00 PM                               
	JOINT SESSION: STATE OF THE BUDGET ADDRESS                                   
	..HONORABLE TONY KNOWLES, GOVERNOR                                           
	                                                                             
                    ----------------------------------------                   
                                                                               
                                ENERGY COUNCIL                               
                                 FAHRENKAMP 203                                
JAN 15                         WEDNESDAY  3:30 PM                              
	ENERGY COUNCIL OVERVIEW