Legislature(2025 - 2026)BARNES 124
02/18/2025 10:15 AM House MILITARY & VETERANS' AFFAIRS
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| Audio | Topic |
|---|---|
| Start | |
| HB17 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | HB 17 | TELECONFERENCED | |
HB 17-DISABLED VETERANS: RETIREMENT BENEFITS
10:20:11 AM
CHAIR EISCHEID announced that the only order of business would
be HOUSE BILL NO. 17, "An Act relating to retirement benefits
and military service."
10:20:43 AM
REPRESENTIVE GEORGE RAUSCHER, Alaska State Legislature, as prime
sponsor, introduced HB 17 to the committee. He read from the
sponsor statement [included in committee packet] which read as
follows [original punctuation provided]:
House Bill 17 allows Veterans who are totally and
permanently disabled to access their accrued PERS
retirement benefits without penalty. HB 17 also allows
military service, which has been purchased in
accordance with the PERS standards to count towards
the credited service requirements for normal
retirement.
Veterans who are totally and permanently disabled
struggle to work and keep gainful employment due to
their service-connected disabilities. As such, this
class of veterans often struggles with income
stability. If HB 17 becomes law, it will provide
disabled veterans with access to their PERS retirement
benefits at a time when they need it most.
HB 17 does not provide any additional benefits beyond
those rightfully earned by veterans through their
dedicated public service.
By passing HB 17, the Legislature will help provide
stability to our disabled veterans when they need it
most.
10:22:50 AM
CRAIG VALDEZ, Staff, Representative George Rauscher, Alaska
State Legislature, on behalf of Representative Rauscher, prime
sponsor, presented HB 17 to the committee. He read from the
sectional analysis for HB 17 [included in committee packet]
which read as follows [original punctuation provided]:
Section 1: AS 39.35.370(a)
This section amends AS 39.35.370(a) to add additional
language related to eligibility requirements when a
terminated employee is eligible for a normal
retirement benefit. Specifically adding new
subsections, A and B to section 1, lines 7 through 10.
Section 2:
Repeals three statutes.
10:24:07 AM
REPRESENTATIVE ALLARD asked Representative Rauscher if he had a legal
definition for disabled and totally disabled.
MR. VALDEZ, on behalf of Representative Rauscher, answered that the
federal government sets the definition and standard of what it means
to be disabled or totally disabled.
10:25:13 AM
REPRESENTATIVE GRAY asked for confirmation regarding the bill language
surrounding age qualifications that a person would be qualified "at
age 60" or [emphasis on "or"] "permanently and totally disabled";
therefore, they would not need a disability rating because they could
qualify with five years of service at age 60.
MR. VALDEZ confirmed that is correct. In response to another
question, he offered his understanding that the bill would affect only
Tiers I, II, and III, not those who began working in 2006 or later.
To a follow-up question, he said he did not have an answer as to how
many would be able to take advantage of the provisions of the bill;
however, he noted that the numbers of those who retired reported for
2023 were two for Tier II and two for Tier III.
10:27:42 AM
REPRESENTATIVE ALLARD asked why the bill would benefit only those
disabled at 100 percent and whether the bill sponsor would be open to
an amendment that would qualify all disabled veterans for the proposed
benefits of HB 17.
REPRESENTATIVE RAUSCHER said that he is unsure as to how a proposed
amendment like the one Representative Allard mentioned would work but
would be open to suggestions.
10:30:15 AM
REPRESENTATIVE FIELDS asked what the word "terminated" referred to as
it is used in HB 17 and asked if there is a legal reason for not
allowing employees to have early access to their defined contribution
401(k).
MR. VALDEZ clarified that the term "termination" means "employment
ending" and said that the work requirement of someone who is totally
disabled is going to be less than someone who is still able to work.
He said that the office of the bill sponsor would follow up with more
information later with regard to the legality of 401(k) spending.
10:32:10 AM
CHAIR EISCHEID added his understanding that the term "termination"
does refer to people who were separated from state service.
10:32:49 AM
MARK WHISENHUNT, representing self, gave invited testimony in support
of HB 17. He said that disabled veterans often face challenges such
as limited employment opportunities, difficulties in accessing quality
healthcare, and higher rates of mental health issues such as post-
traumatic stress disorder (PTSD). He said that many service members
transition from military service by working for the state and
explained that there is an entire class of veterans who are totally
disabled that struggle with income stability. He said that HB 17
would support the unique needs of disabled veterans in Alaska and said
that the proposed legislation would provide a means for totally
disabled veterans to access retirement benefits that they earned "at a
time they need it most."
10:36:54 AM
REPRESENTATIVE ALLARD asked Mr. Whisenhunt if he is currently employed
by the U.S. Department of Veterans Affairs (VA) or the State of
Alaska. She asked if he was 100 percent disabled.
MR. WHISENHUNT answered that he is not representing any affiliation
and said that he would not be comfortable answering her second
question.
10:37:50 AM
CHAIR EISCHEID questioned the statistics that Mr. Whisenhunt shared
regarding disabled veterans.
MR. WHISENHUNT affirmed that disabled veterans do on average live 15
years shorter than other Americans.
10:39:05 AM
REPRESENTATIVE ALLARD shared information that she found on her phone
and asked where Mr. Whisenhunt's expertise lies with regard to
disabled veterans' affairs.
MR. WHISENHUNT responded that he is not an expert on veterans' affairs
and remarked that he was simply calling in as an invited testifier.
10:40:43 AM
REPRESENTATIVE RAUSCHER thanked the committee for hearing HB 17 and
said that his office would be available for questions and amendments
regarding HB 17.
10:41:07 AM
REPRESENTATIVE FIELDS suggested the bill sponsor consider veterans who
are currently covered by the 401(k) defined contribution system.
10:41:41 AM
CHAIR EISCHEID announced that HB 17 was held over.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 17 Sectional Analysis.pdf |
HMLV 2/18/2025 10:15:00 AM |
HB 17 |
| HB 17 Sponsor Statement.pdf |
HMLV 2/18/2025 10:15:00 AM |
HB 17 |
| HB0017A.pdf |
HMLV 2/18/2025 10:15:00 AM |
HB 17 |
| HB 17 Fiscal Note DOA -DRB-02-13-25.pdf |
HMLV 2/18/2025 10:15:00 AM |
HB 17 |
| HB 17 Written Testimony 02.18.25.pdf |
HMLV 2/18/2025 10:15:00 AM |
HB 17 |