Legislature(2001 - 2002)
05/12/2002 09:06 PM Senate FIN
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
SENATE CS FOR CS FOR HOUSE BILL NO. 27(JUD)
"An Act relating to the registration of individuals who
perform home inspections; relating to regulation of
contractors; relating to registration fees for specialty
contractors, home inspectors, and associate home inspectors;
relating to home inspection requirements for residential loans
purchased or approved by the Alaska Housing Finance
Corporation; relating to civil actions by and against home
inspectors and to civil actions arising from residential unit
inspections; and providing for an effective date."
This was the first hearing for this bill in the Senate Finance
Committee.
REPRESENTATIVE NORM ROKEBERG, sponsor, testified to his four years
of effort on this matter. He explained this legislation would
regulate home inspectors, which Alaska currently does not regulate.
He noted "every other aspect" of home sales are regulated. He spoke
to the importance of this legislation to consumers, pointing out,
"anybody can go out and call himself a home inspector now; and
that's not good and that's not right."
Representative Rokeberg stated the legislation is lengthy because
of the necessary changes to the specialty contractor license
statutes. He noted this legislation imposes a $250 biannual license
fee, which he stated is less than would be required if a regulatory
board were established.
Senator Wilken relayed his experiences involving two "bad" home
inspectors.
Senator Wilken "moved to report House Bill 27 from Committee with
individual recommendations and attached fiscal notes."
Senator Olson objected to ask about the impact of this legislation
on inspections of homes in Rural Alaska.
Representative Rokeberg replied that currently home sales financed
by the Alaska Housing Finance Corporation (AHFC) must obtain an
inspection by an International Brotherhood of Electrical Workers
(IBEW) member home inspector. He noted that at the request of
AHFC, this practice would continue under the provisions in this
legislation. However, he pointed out, the current statutory
immunity from lawsuits, is removed for these inspectors.
Senator Olson asked how a rural homeowner or homebuyer obtains a
home inspection.
Representative Rokeberg responded that if a home inspector does not
reside in the area, a home inspector from another area could be
retained. He noted several hundred home inspectors operate in the
State and that many reside in smaller communities.
Senator Olson next asked about inspections of homes financed by
regional housing authorities and not through the AHFC.
Representative Rokeberg explained there is no statutory required
that a home inspection be conducted in the sale of a home. Rather,
he stated, lenders require the majority of home inspections.
Therefore, he assured, this legislation would have no impact on
regional housing authorities' activities.
Senator Olson removed his objection to the motion to report this
bill from Committee.
Without objection CS HB 27 (FIN) MOVED from Committee with zero
fiscal note #5 from the Department of Revenue, and $64,500 fiscal
note #6 from the Department of Community and Economic Development.
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