Legislature(2025 - 2026)

2025-10-15 Senate Journal

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2025-10-15                     Senate Journal                      Page 1449
                                                                                                                                
                               SENATE JOURNAL                                                                                
                                                                                                                                
                          ALASKA STATE LEGISLATURE                                                                           
                                                                                                                                
                         THIRTY-FOURTH LEGISLATURE                                                                           
                                                                                                                                
                  FIRST SESSION AND FIRST SPECIAL SESSION                                                                    
                                                                                                                                
Juneau, Alaska Wednesday October 15, 2025                                                                                     
                                                                                                                                
                              Final Supplement                                                                               
                                                                                                                                
                                 Enrollment                                                                                  
                                                                                                                                
SB 54                                                                                                                         
CS FOR SPONSOR SUBSTITUTE FOR SENATE BILL                                                                                       
NO. 54(FIN) "An Act relating to registered interior designers and                                                               
interior design; relating to project costs for the construction,                                                                
enlargement, or improvement of airports; extending the termination                                                              
date of the State Board of Registration for Architects, Engineers, and                                                          
Land Surveyors; relating to the State Board of Registration for                                                                 
Architects, Engineers, and Land Surveyors; establishing requirements                                                            
for the practice of registered interior design; relating to the practice of                                                     
architecture, engineering, land surveying, landscape architecture, and                                                          
registered interior design; relating to the scope of the certification                                                          
requirements for architects, engineers, land surveyors, landscape                                                               
architects, and registered interior designers; relating to immunity for                                                         
design professionals; relating to the cost of construction for recreation                                                       
centers; relating to liens for labor or materials furnished; relating to the                                                    
procurement of landscape architectural and interior design services;                                                            
relating to the cost of construction of safe water and hygienic sewage                                                          
disposal facilities in villages; and providing for an effective date" was                                                       
enrolled, signed by the President and Secretary, Speaker and Chief                                                              
Clerk and the engrossed and enrolled copies transmitted to the Office                                                           
of the Governor at 1:40 p.m., September 8, 2025.                                                                                
                                                                                                                                
Memorandum from Division of Legal and Research Services,                                                                        
Legislative Affairs Agency, was received, reporting the following                                                               
manifest errors in CS FOR SPONSOR SUBSTITUTE FOR SENATE                                                                         
BILL NO. 54(FIN) which have been corrected in enrolling:                                                                        
                                                                                                                                
                                                                                                                                

2025-10-15                     Senate Journal                      Page 1450
Page 16, line 18:                                                                                                               
         Delete "[TO]"                                                                                                          
                                                                                                                                
Page 2, line 23, following "on":                                                                                                
         Insert "or after"                                                                                                      
                                                                                                                                
SB 113                                                                                                                        
SENATE BILL NO. 113 "An Act relating to the Multistate Tax                                                                      
Compact; relating to apportionment of income to the state; relating to                                                          
highly digitized businesses subject to the Alaska Net Income Tax Act;                                                           
and providing for an effective date" was enrolled, signed by the                                                                
President and Secretary, Speaker and Chief Clerk and the engrossed                                                              
and enrolled copies transmitted to the Office of the Governor at                                                                
10:00 a.m., September 8, 2025.                                                                                                  
                                                                                                                                
SCR 101                                                                                                                       
SENATE CONCURRENT RESOLUTION NO. 101 Authorizing the                                                                            
Senate and the House of Representatives to recess for a period of more                                                          
than three days was enrolled, signed by the President and Secretary,                                                            
Speaker and Chief Clerk and the engrossed and enrolled                                                                          
copies transmitted to the Office of the Governor at 10:00 a.m.,                                                                 
September 8, 2025.                                                                                                              
                                                                                                                                
                         Legislative Resolve No. 22                                                                            
                                                                                                                                
                                                                                                                                
                         Messages from the Governor                                                                          
                                                                                                                                
SCR 101                                                                                                                       
Message dated September 29 was received stating the Governor noted                                                              
the following resolution and transmitted the engrossed and enrolled                                                             
copies to the Lieutenant Governor’s Office for permanent filing:                                                                
                                                                                                                                
                    SENATE CONCURRENT RESOLUTION NO. 101                                                                       
         Authorizing the Senate and the House of                                                                                
         Representatives to recess for a period of more than                                                                    
         three days.                                                                                                            
                                                                                                                                
                         Legislative Resolve No. 22                                                                            
                                                                                                                                

2025-10-15                     Senate Journal                      Page 1451
SB 54                                                                                                                         
Letter dated September 22 was received:                                                                                         
                                                                                                                                
Dear President Stevens:                                                                                                         
                                                                                                                                
Under the authority vested in me by Article II, Section 15, of the                                                              
Alaska Constitution, I have vetoed the following bill:                                                                          
                                                                                                                                
         CS FOR SPONSOR SUBSTITUTE FOR SENATE                                                                                   
         BILL NO. 54(FIN)                                                                                                       
         "An Act relating to registered interior designers and                                                                  
         interior design; relating to project costs for the                                                                     
         construction, enlargement, or improvement of                                                                           
         airports; extending the termination date of the State                                                                  
         Board of Registration for Architects, Engineers, and                                                                   
         Land Surveyors; relating to the State Board of                                                                         
         Registration for Architects, Engineers, and Land                                                                       
         Surveyors; establishing requirements for the practice                                                                  
         of registered interior design; relating to the practice                                                                
         of architecture, engineering, land surveying,                                                                          
         landscape architecture, and registered interior design;                                                                
         relating to the scope of the certification requirements                                                                
         for architects, engineers, land surveyors, landscape                                                                   
         architects, and registered interior designers; relating                                                                
         to immunity for design professionals; relating to the                                                                  
         cost of construction for recreation centers; relating to                                                               
         liens for labor or materials furnished; relating to the                                                                
         procurement of landscape architectural and interior                                                                    
         design services; relating to the cost of construction of                                                               
         safe water and hygienic sewage disposal facilities in                                                                  
         villages; and providing for an effective date."                                                                        
                                                                                                                                
SB 54 goes well beyond a routine extension of the AELS Board.                                                                   
SB 54 would remove certified installers from most residential                                                                   
wastewater work and restrict them to only very small commercial                                                                 
systems. The Alaska Department of Environmental Conservation                                                                    
warns that this change would halt planned installations, force many                                                             
small systems to be routed to licensed professional engineers, and add                                                          
roughly $1,000 to $2,000 per system, with the sharpest impacts in                                                               
rural Alaska where engineers are scarce. That means higher costs,                                                               
longer waits, and fewer homes and businesses getting sanitation.                                                                

2025-10-15                     Senate Journal                      Page 1452
The bill would also repeal AS 36.30.270(e) and force qualifications-                                                            
based selection only for design-build procurements, barring any                                                                 
consideration of price. Eliminating competitive pricing in design-build                                                         
will drive up project costs and reduce flexibility across state                                                                 
construction.                                                                                                                   
                                                                                                                                
Finally, SB 54 expands the AELS Board to thirteen members and                                                                   
creates a new licensure track for “registered interior designers.”                                                              
Interior design is not a regulated practice in Alaska today; the bill does                                                      
not define “interior design,” and there is no public-safety rationale for                                                       
creating a new title and bureaucracy. The expansion increases cost and                                                          
confusion without a demonstrated benefit.                                                                                       
                                                                                                                                
Sincerely,                                                                                                                      
/s/                                                                                                                             
Mike Dunleavy                                                                                                                   
Governor                                                                                                                        
                                                                                                                                
SB 113                                                                                                                        
Letter dated September 27 was received:                                                                                         
                                                                                                                                
Dear President Stevens:                                                                                                         
                                                                                                                                
Under the authority vested in me by Article II, Section 15, of the                                                              
Alaska Constitution, I have vetoed the following bill:                                                                          
                                                                                                                                
         SENATE BILL NO. 113                                                                                                    
         "An Act relating to the Multistate Tax Compact;                                                                        
         relating to apportionment of income to the state;                                                                      
         relating to highly digitized businesses subject to the                                                                 
         Alaska Net Income Tax Act; and providing for an                                                                        
         effective date."                                                                                                       
                                                                                                                                
The state’s fiscal outlook has deteriorated in the face of decreasing oil                                                       
prices and ongoing reductions in federal spending. In response to the                                                           
state’s fiscal condition, several tax proposals have been introduced                                                            
during this legislative session. However, a truly durable fiscal plan                                                           
must include not only revenues but also clear guardrails: spending                                                              
limits, statutory and regulatory reviews, and policies that make Alaska                                                         
the most competitive state in the nation for investment and new                                                                 
business growth.                                                                                                                

2025-10-15                     Senate Journal                      Page 1453
Equally important is the need to evaluate all current state spending and                                                        
government functions – not only for efficiency, but for their relevance                                                         
and long-term impact. Any serious effort to stabilize Alaska’s fiscal                                                           
future must also focus on diversifying our economy and creating new                                                             
industries, which in turn broadens the economic base for potential                                                              
revenue. This bill is a simple tax bill that does not consider the                                                              
comprehensive fiscal approach outlined above.                                                                                   
                                                                                                                                
In addition, a component of this bill raises serious constitutional                                                             
concerns because it singles out a class of highly digitized out-of-state                                                        
businesses engaged in electronic commerce and imposes a less                                                                    
favorable tax system on them. States are prohibited from                                                                        
discriminating against interstate commerce. Additionally, by singling                                                           
out electronic commerce, the bill may run afoul of the federal Internet                                                         
Tax Freedom Act, which requires that states not tax e-commerce less                                                             
favorably than similar industries not engaged in e-commerce.                                                                    
                                                                                                                                
For these reasons, I will not sign standalone tax measures without a                                                            
complete fiscal framework. I could foresee incorporating the elements                                                           
of this bill, which would withstand constitutional scrutiny, into a                                                             
comprehensive fiscal approach this coming year. I agree that Alaska                                                             
needs to stabilize its finances, and I plan on having a robust discussion                                                       
this upcoming session on a sustainable fiscal plan, complete with                                                               
elements outlined above, but it must protect Alaskans, and provide the                                                          
resources to run government in a responsible manner, and survive                                                                
constitutional scrutiny.                                                                                                        
                                                                                                                                
Sincerely,                                                                                                                      
/s/                                                                                                                             
Mike Dunleavy                                                                                                                   
Governor                                                                                                                        
                                                                                                                                
A Declaration of Disaster Emergency dated August 29, 2025,                                                                      
regarding the 2025 Late August Storm Disaster in the Yukon-                                                                     
Koyukuk Regional Education Attendance Area, with an accompanying                                                                
letter and initial finance plan, was received pursuant to AS 26.23.020.                                                         
The declaration, letter and finance plan had been copied to the Finance                                                         
Committee Cochairs.                                                                                                             
                                                                                                                                

2025-10-15                     Senate Journal                      Page 1454
An amended Declaration of Disaster Emergency dated                                                                              
September 11, 2025, regarding the 2025 Late August Storm Disaster,                                                              
with an accompanying letter, was received pursuant to AS 26.23.020.                                                             
The declaration and letter had been copied to the Finance Committee                                                             
Cochairs.                                                                                                                       
                                                                                                                                
A letter dated September 24, 2025 was received requesting legislative                                                           
concurrence with the accompanying revised finance plan (as required                                                             
by AS 26.23.020(k)(2)), in response to the flooding from a glacial dam                                                          
outburst along Mendenhall Lake and River. The letter and revised                                                                
finance plan had been copied to the Finance Committee Cochairs.                                                                 
                                                                                                                                
A Declaration of Disaster Emergency dated September 24, 2025,                                                                   
regarding Elfin Cove landslides with accompanying letter and finance                                                            
plan was received. The declaration, letter and finance plan had been                                                            
copied to the Finance Committee Cochairs.                                                                                       
                                                                                                                                
A letter dated October 1, 2025 was received requesting legislative                                                              
concurrence to increase the funding limitation (as required by                                                                  
AS 26.23.020(k)(2)) in response to the 2024 Ketchikan Gateway                                                                   
Borough landslide. The letter had been copied to the Finance                                                                    
Committee Cochairs.                                                                                                             
                                                                                                                                
                                                                                                                                
                               Communications                                                                                
                                                                                                                                
The following reports are on file in the Office of the Secretary of the                                                         
Senate:                                                                                                                         
                                                                                                                                
Alaska Mental Health Trust Authority                                                                                            
2024 Grant Investment Report                                                                                                    
in accordance with AS 44.25.250                                                                                                 
                                                                                                                                
Alaska Permanent Fund Corporation                                                                                               
Power Cost Equalization Endowment Fund                                                                                          
Financial Statements June 30, 2025 and 2024                                                                                     
in accordance with AS 37.13.310                                                                                                 
                                                                                                                                
                                                                                                                                
                                                                                                                                

2025-10-15                     Senate Journal                      Page 1455
Department of Commerce, Community, and Economic Development                                                                     
Alaska Industrial Development and Export Authority                                                                              
Certification of Capital Reserve Fund Requirement                                                                               
in accordance with AS 44.88.105                                                                                                 
                                                                                                                                
Department of Health                                                                                                            
Health Information Exchange Systems                                                                                             
2024 Progress and Recommendations Report                                                                                        
in accordance with AS 18.23.315                                                                                                 
                                                                                                                                
Department of Health                                                                                                            
2025 Alaska Opioid Legislative Report                                                                                           
in accordance with AS 17.20.085                                                                                                 
                                                                                                                                
Department of Transportation and Public Facilities                                                                              
Alaska Marine Highway System                                                                                                    
Comprehensive Long-Range Plan                                                                                                   
in accordance with AS 19.65.011                                                                                                 
                                                                                                                                
Disclosure letters received in accordance with AS 24.06 will be                                                                 
published in Senate Journal Supplement No. 6 and House and Senate                                                               
Joint Journal Supplement No. 10.                                                                                                
                                                                                                                                
HB 53                                                                                                                         
The following was received and is on file in the Office of the                                                                  
Secretary of the Senate:                                                                                                        
                                                                                                                                
Letter dated September 30 from the Division of Legislative Finance                                                              
identifying the fiscal notes included in the packet (page 1343) that                                                            
accompanied CONFERENCE CS FOR HOUSE BILL NO. 53(brf sup                                                                         
maj fld H) "An Act making appropriations for the operating and loan                                                             
program expenses of state government and for certain programs;                                                                  
capitalizing funds; amending appropriations; making supplemental                                                                
appropriations; and providing for an effective date" which was                                                                  
adopted by the House and Senate on May 20.                                                                                      
                                                                                                                                
                                                                                                                                
                                                                                                                                
                                                                                                                                

2025-10-15                     Senate Journal                      Page 1456
The itemized fiscal notes are as follows:                                                                                       
                                                                                                                                
HB  57-SCHOOLS: COMM. DEVICES/CLASS SIZE/FUNDING                                                                                
     Fiscal Note No. 5, Senate Finance Committee                                                                                
     Fiscal Note No. 6, Senate Finance Committee                                                                                
     Fiscal Note No. 7, Senate Finance Committee                                                                                
                                                                                                                                
SB  95-CHILD CARE: ASSISTANCE/GRANTS                                                                                            
     Fiscal Note No. 2, Conference Committee on HB 53                                                                           
                                                                                                                                
SB  97-BIG GAME GUIDE PERMIT PROGRAM                                                                                            
 Fiscal Note No. 7, Conference Committee on HB 53                                                                               
                                                                                                                                
This final supplement of the Senate Journal completes the official                                                              
record of the First Session and First Special Session of the                                                                    
Thirty-fourth Legislature.                                                                                                      
                                                                                                                                
                                                                   Liz Clark                                                    
                                                    Secretary of the Senate