Legislature(2023 - 2024)GRUENBERG 120

03/14/2023 01:00 PM House MILITARY & VETERANS' AFFAIRS

Note: the audio and video recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.

Download Mp3. <- Right click and save file as

Audio Topic
01:03:38 PM Start
01:04:24 PM HB25
01:15:47 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 25 PFD ELIGIBILITY UNIFORMED SERVICES TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
            HB 25-PFD ELIGIBILITY UNIFORMED SERVICES                                                                        
                                                                                                                                
1:04:24 PM                                                                                                                    
                                                                                                                                
CHAIR WRIGHT announced  that the only order of  business would be                                                               
HOUSE  BILL NO.  25,  "An  Act relating  to  eligibility for  the                                                               
permanent fund  dividend; and providing  for an  effective date."                                                               
[Before the committee was CSHB 25(STA).]                                                                                        
                                                                                                                                
CHAIR  WRIGHT  advised the  committee  that  there is  a  revised                                                               
indeterminate fiscal note.                                                                                                      
                                                                                                                                
1:05:00 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ANDI STORY,  Alaska State  Legislature, as  prime                                                               
sponsor,  provided an  overview of  CSHB 25(STA).   She  said the                                                               
bill  provides  absence allowance  for  members  of the  National                                                               
Oceanic  and  Atmospheric  Administration  Commissioned  Officers                                                               
Corps and  the Public Health  Service Commissioned  Officer Corps                                                               
when applying  for the permanent  fund dividend (PFD).   She said                                                               
CSHB  25(STA)  added  merchant  marines, as  well  a  section  on                                                               
medical exemptions.                                                                                                             
                                                                                                                                
1:06:30 PM                                                                                                                    
                                                                                                                                
SETH  WHITTEN, Staff,  Representative  Andi  Story, Alaska  State                                                               
Legislature, said  he had  overestimated a  figure in  a question                                                               
posed at the  last meeting regarding the cost  impact the changes                                                               
would have on  individual dividends.  Using the  2022 dividend of                                                               
$3,284 as  an example, he had  advised that it would  cost $4 for                                                               
every   100   additional   people    added   to   the   dividend.                                                               
Subsequently, he checked the figure  with the Legislative Finance                                                               
Division,  who  advised  that  the  actual  impact  per  100  new                                                               
applicants would be $.52 cents rather than $4.00.                                                                               
                                                                                                                                
1:07:46 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   SADDLER  queried   Representative  Story   about                                                               
language on page 4, lines [5-7], of the bill, which read:                                                                       
                                                                                                                                
      Section 3.  AS 43.23.011 is amended by adding a new                                                                       
     subsection to read:                                                                                                        
          (d) An otherwise eligible individual may apply                                                                        
     for a current year dividend after March 31 and before                                                                      
     October 1 of that year                                                                                                     
                                                                                                                                
REPRESENTATIVE  SADDLER  asked  what   the  genesis  was  of  the                                                               
language "and before October 1".                                                                                                
                                                                                                                                
REPRESENTATIVE  STORY  replied  that  the  language  is  from  an                                                               
amendment  she  had worked  on  with  Representative Shaw.    She                                                               
shared  a  hypothetical scenario  where  a  person experiences  a                                                               
medical emergency and is unable  to apply for the dividend before                                                               
March 31.                                                                                                                       
                                                                                                                                
REPRESENTATIVE  SADDLER relayed  his understanding  that existing                                                               
statute already  provides that if  a parent or guardian  does not                                                               
apply for  a PFD on  behalf of their  child, the child  can apply                                                               
for retroactive dividends upon turning 18.   He said he is unsure                                                               
how the proposed language in Section 3 melds with existing law.                                                                 
                                                                                                                                
1:09:35 PM                                                                                                                    
                                                                                                                                
MR.  WHITTEN  responded  that the  proposed  section  deals  with                                                               
dependents, in  that the language  allows the parent  or guardian                                                               
to  file on  the  dependent's behalf  in the  case  of a  medical                                                               
emergency preventing the dependent from filing before March 31.                                                                 
                                                                                                                                
1:10:23 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRAY  asked Representative  Story about  the long-                                                               
term PFD  eligibility for members  of public health service.   He                                                               
relayed his understanding that deployment  in public health "is a                                                               
voluntary thing," and said that once  a person is hired, they are                                                               
not forced  to relocate.   He posed  a hypothetical scenario:   A                                                               
person is  hired by the  U.S. Food and Drug  Administration (FDA)                                                               
in  Alaska; there  are no  FDA jobs  in the  state but  there are                                                               
positions in  Wisconsin, and the  person then works out  of state                                                               
for decades.   He stressed  that his main concern  is individuals                                                               
receiving  dividend payments  over a  long period  of time  while                                                               
never stepping foot in Alaska.                                                                                                  
                                                                                                                                
REPRESENTATIVE STORY  offered her understanding  that Legislative                                                               
Legal Services is looking into the matter.                                                                                      
                                                                                                                                
1:12:19 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SADDLER  suggested  that Ms.  Wojtusik  from  the                                                               
Permanent  Fund  Dividend  Division   might  be  able  to  answer                                                               
Representative Gray's question.                                                                                                 
                                                                                                                                
1:12:39 PM                                                                                                                    
                                                                                                                                
GENEVIEVE   WOJTUSIK,   Director,    Permanent   Fund   Division,                                                               
Department of  Revenue, confirmed that Representative  Saddler is                                                               
referring  to the  five-year rule.   In  referring to  an earlier                                                               
line  of questioning,  she  noted  regulation around  retroactive                                                               
PFDs for  18-20 years  of age  whose parent  or guardian  did not                                                               
file  for  them:    15  AAC 23.133.    She  also  noted  existing                                                               
regulation   on  medical   conditions  as   it  relates   to  PFD                                                               
applications:   15 AAC 23.123.   She  said she is  unsure whether                                                               
the  proposed  language is  in  addition  to, or  competes  with,                                                               
existing law.  She mentioned that the five-year rule falls under                                                                
AS 43.23.008(d), which read as follows:                                                                                         
                                                                                                                                
          (d) After  an individual has been  absent from the                                                                    
     state  for more  than  180  days in  each  of the  five                                                                    
     preceding  qualifying   years,  the   department  shall                                                                    
     presume  that  the  individual is  no  longer  a  state                                                                    
     resident. The individual may  rebut this presumption by                                                                    
     providing   clear  and   convincing  evidence   to  the                                                                    
     department that                                                                                                            
          (1) the  individual was physically present  in the                                                                    
     state for at  least 30 cumulative days  during the past                                                                    
     five years; and                                                                                                            
          (2) the individual is a  state resident as defined                                                                    
     in AS 43.23.295.                                                                                                           
                                                                                                                                
1:14:58 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE STORY said she will investigate whether the                                                                      
language conflicts and determine whether any changes need to be                                                                 
made.                                                                                                                           
                                                                                                                                
1:15:23 PM                                                                                                                    
                                                                                                                                
[HB 25 was held over.]                                                                                                          

Document Name Date/Time Subjects
CSHB 25 Fiscal Note DOR-PFD 2.24.23.pdf HMLV 3/14/2023 1:00:00 PM
HB 25