Legislature(2025 - 2026)BELTZ 105 (TSBldg)

05/08/2025 03:30 PM Senate STATE AFFAIRS

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ SB 152 HAROLD ESMAILKA AIRPORT AT RUBY TELECONFERENCED
Moved SB 152 Out of Committee
-- Public Testimony <Time Limit May Be Set> --
+= SB 104 VEHICLES/BOATS: TRANSFER ON DEATH TITLE TELECONFERENCED
Moved SB 104 Out of Committee
-- Public Testimony <Time Limit May Be Set> --
+= HB 121 ACCOUNTING; PRACTICE PRIVILEGE TELECONFERENCED
Moved SCS HB 121(STA) Out of Committee
-- Public Testimony <Time Limit May Be Set> --
*+ HB 75 PERM FUND; EMPLOYMENT; ELIGIBILITY TELECONFERENCED
Moved SCS CSHB 75(STA) Out of Committee
-- Public Testimony <Time Limit May Be Set> --
*+ SB 166 NOTICE REQS. FOR STATE ACTIONS TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
*+ SB 177 STATE AGENCY PUBLICATIONS TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
**Streamed live on AKL.tv**
Bills Previously Heard/Scheduled
           HB  75-PERM FUND; EMPLOYMENT; ELIGIBILITY                                                                        
                                                                                                                                
3:40:33 PM                                                                                                                    
CHAIR KAWASAKI announced  the consideration of CS  FOR HOUSE BILL                                                               
NO. 75(STA) "An Act relating  to national criminal history record                                                               
checks  for  certain  employees of  the  Department  of  Revenue;                                                               
relating to  allowable absences for  eligibility for  a permanent                                                               
fund  dividend;  relating  to   the  confidentiality  of  certain                                                               
information provided  on a  permanent fund  dividend application;                                                               
relating to  electronic notice of  debt collection executed  on a                                                               
permanent fund dividend; and providing for an effective date."                                                                  
                                                                                                                                
3:40:55 PM                                                                                                                    
TREVOR  SHAW, Staff,  Representative Jeremy  Bynum, Alaska  State                                                               
Legislature, Juneau, Alaska,  presented an overview of  HB 75. He                                                               
disclosed the companion legislation to HB  75 is SB 77 by Senator                                                               
Kiehl and read an overview:                                                                                                     
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
       Section 1. Requires the Permanent Fund Division to                                                                     
        conduct background checks on and fingerprint its                                                                        
     employees  and  applicants  for employment  within  the                                                                    
     Division.                                                                                                                  
                                                                                                                                
     Section   2.  Modifies   the  allowable   absences  for                                                                  
     Permanent Fund Dividend eligibility to include:                                                                            
                                                                                                                                
        • Absences for school breaks and holiday, not                                                                           
          including summer break, during the academic year.                                                                     
        • Education (1) to become a merchant mariner, and                                                                       
          (2) through other vocational programs approved by                                                                     
          the United States Coast Guard.                                                                                        
        • Prevents medical absences from limiting the                                                                           
          length of voluntary absences.                                                                                         
        • Changes "armed forces" to "uniformed services"                                                                        
                                                                                                                                
     Section  3.  Provides  the  definition  for  "uniformed                                                                  
     services"  to  encompass  the   armed  forces  and  the                                                                    
     Commissioned   Corps  of   the  National   Oceanic  and                                                                    
     Atmospheric  Administration   and  the   United  States                                                                    
     Public Health  Service, and renumbers  other provisions                                                                    
     of the statute accordingly.                                                                                                
                                                                                                                                
     Section 4.  Aligns to Sect 1.,  requiring the Permanent                                                                  
     Fund  Division  to  conduct background  checks  on  and                                                                    
     fingerprint   its   employees    and   applicants   for                                                                    
     employment within the Division.                                                                                            
                                                                                                                                
     Section 5.  Makes the names of  Permanent Fund Dividend                                                                  
     applicants confidential.                                                                                                   
                                                                                                                                
     Section 6.  Allows an opt-in option  for Permanent Fund                                                                  
     Dividend   recipients    to   receive    levy   notices                                                                    
     electronically.                                                                                                            
                                                                                                                                
3:42:41 PM                                                                                                                    
MR. SHAW read the letter of intent:                                                                                             
                                                                                                                                
[Original punctuation provided.]                                                                                                
                                                                                                                                
     AS  43.23.005(c)  lets  a parent,  guardian,  or  other                                                                    
     authorized  representative file  for  a permanent  fund                                                                    
     dividend on behalf of a  minor child or disabled adult.                                                                    
     The statute requires the child  or disabled adult to be                                                                    
     eligible in the same manner  as other Alaskans. It does                                                                    
     not require the sponsor to  be eligible for a permanent                                                                    
     fund dividend.                                                                                                             
                                                                                                                                
     By  regulation  in 15  AAC  23.123,  the Department  of                                                                    
     Revenue does not require a  disabled adult's sponsor to                                                                    
     be  eligible for  a permanent  fund dividend  to apply.                                                                    
     Despite  identical statutory  language, the  Department                                                                    
     of Revenue  does require the  sponsor of a  minor child                                                                    
     to  be  eligible  for  a  permanent  fund  dividend  in                                                                    
     regulation 15 AAC 23.113.                                                                                                  
                                                                                                                                
     The regulation 15 AAC  23.113 prohibits eligible minors                                                                    
     from receiving  a PFD if  their sponsor  is ineligible.                                                                    
     This  creates hardship  for minors  in kinship  care or                                                                    
     whose   parents  travel   for   work.  The   regulation                                                                    
     currently provides exceptions  for minors whose parents                                                                    
     are ineligible  because of incarceration.  By repealing                                                                    
     or  amending the  regulation,  the  Department can  use                                                                    
     this same model for  other eligible minors sponsored by                                                                    
     ineligible parents or guardians.                                                                                           
                                                                                                                                
     It  is the  intent  of the  Thirty-Fourth Alaska  State                                                                    
     Legislature that  the Department  of Revenue  repeal or                                                                    
     amend  regulation  15   AAC  23.113(b)(1)(a)  to  treat                                                                    
     eligible  minors   equitably  with   eligible  disabled                                                                    
     adults  by March  31, 2026.  The Department  of Revenue                                                                    
     shall  report to  the presiding  officers of  the House                                                                    
     and  Senate  on the  regulation  changes  by March  15,                                                                    
     2026.                                                                                                                      
                                                                                                                                
3:44:52 PM                                                                                                                    
CHAIR KAWASAKI opened public testimony on HB 75.                                                                                
                                                                                                                                
3:45:11 PM                                                                                                                    
RICK   BERKOWITZ,   representing   self,   Seattle,   Washington,                                                               
testified in  support of HB 75  and explained that the  Lynch and                                                               
Mariner  allowable  absence provision  has  long  been needed  to                                                               
support local  hire in  Alaska. Since  the late  1990s, companies                                                               
like  Crowley   and  Sea  Land   backed  legislation   to  ensure                                                               
vocational  training outside  Alaska  would qualify  for the  PFD                                                               
allowable absence. He  said over time, the  Department of Revenue                                                               
narrowed the definition, creating  barriers for maritime training                                                               
programs  that  guarantee  employment   upon  graduation.  HB  75                                                               
restores   eligibility,   helping   Alaskans   pursue   federally                                                               
recognized  training,  secure  good jobs,  and  strengthen  local                                                               
hire.                                                                                                                           
                                                                                                                                
3:49:17 PM                                                                                                                    
RALPH  MIRSKY,  Executive   Director,  Sealink  Inc.,  Ketchikan,                                                               
Alaska, testified  in support of  HB 75 and highlighted  that for                                                               
over 22 years  in Ketchikan, the seafarers  program recruited and                                                               
trained  workers, placing  more than  800 people  through federal                                                               
grants  and the  Alaska  Department  of Labor.  He  said a  major                                                               
challenge  arose when  trainees  were denied  the Permanent  Fund                                                               
Dividend.   During  the   salmon  industry   crash,  a   six-week                                                               
specialized program retrained 150  fishermen, many of whom stayed                                                               
in maritime work, though the  loss of PFD eligibility discouraged                                                               
some from returning.                                                                                                            
                                                                                                                                
3:52:08 PM                                                                                                                    
REPRESENTATIVE   JEREMY   BYNUM,   District   1,   Alaska   State                                                               
Legislature, Juneau, Alaska, sponsor of  HB 75 stated that though                                                               
it  may  appear to  make  only  minor  legal  changes, HB  75  is                                                               
considered significant for  Alaska, especially Southeast Alaska's                                                               
maritime industry. HB  75 also protects students  studying out of                                                               
state,  modernizes health  provisions,  and provides  long-needed                                                               
updates and safeguards within the division.                                                                                     
                                                                                                                                
3:53:15 PM                                                                                                                    
SENATOR  WIELECHOWSKI  expressed  concern  with  Section  5,  [AS                                                               
43.23.110(a)] which makes the names  of Permanent Fund applicants                                                               
confidential. He said constituents  have used this information to                                                               
detect fraud, though  the division also faces  hacking risks. The                                                               
suggestion is to  consider a middle ground  that balances privacy                                                               
with public assurance against fraud.                                                                                            
                                                                                                                                
3:54:32 PM                                                                                                                    
REPRESENTATIVE BYNUM emphasized the  need to balance transparency                                                               
with  security  in managing  state  resources.  HB 75  provisions                                                               
protect citizens  from fraud while still  allowing investigations                                                               
when fraud is suspected. He said  members of the public can raise                                                               
concerns through  available channels, and valid  reports would be                                                               
investigated even with the confidentiality provision in place.                                                                  
                                                                                                                                
3:56:15 PM                                                                                                                    
SENATOR WIELECHOWSKI  asked the  PFD Division  to explain  why HB
75, Section 5, is necessary.                                                                                                    
                                                                                                                                
3:56:28 PM                                                                                                                    
GENEVIEVE WOJTUSIK,  Director, Permanent Fund  Dividend Division,                                                               
Department of  Revenue, Juneau, Alaska, answered  questions about                                                               
HB  75 and  stated that  after  years of  collaboration with  the                                                               
Criminal Investigation Unit, CIO,  and risk manager, the division                                                               
concluded  that making  PFD  application  data easily  accessible                                                               
online  poses  unnecessary  risks.  She stated  her  belief  that                                                               
confidentiality  is  essential  and  prevents  more  issues  from                                                               
happening than HB 75 will solve.                                                                                                
                                                                                                                                
3:57:17 PM                                                                                                                    
SENATOR  WIELECHOWSKI  noted  that  while he  has  not  supported                                                               
similar  legislation  in the  past,  this  version only  protects                                                               
names. He said given the  abundance of public information online,                                                               
even  this limited  confidentiality provides  some Alaskans  with                                                               
reassurance that their PFD is  protected, especially against out-                                                               
of-state recipients or absentee residents.                                                                                      
                                                                                                                                
3:58:40 PM                                                                                                                    
SENATOR  BJORKMAN  said  that  HB 75  has  appeared  in  previous                                                               
legislative  sessions  and  asked  whether  last  year's  version                                                               
included the same provision.                                                                                                    
                                                                                                                                
3:58:57 PM                                                                                                                    
MS. WOJTUSIK answered  yes. She said last  year's amended version                                                               
included  the same  language making  the name  list confidential,                                                               
though addresses  have never been  public. The  Revenue Permanent                                                               
Fund Information  (RPFI) system  remains available  to government                                                               
agencies, while  HB 75 only  removes public access.  Alaskans can                                                               
still submit fraud tips to the Criminal Investigation Unit.                                                                     
                                                                                                                                
3:59:48 PM                                                                                                                    
SENATOR WIELECHOWSKI  noted that  voter lists,  election records,                                                               
and  property tax  information are  already public  and expressed                                                               
uncertainty about why PFD applicant names should be excluded.                                                                   
                                                                                                                                
4:00:18 PM                                                                                                                    
CHAIR KAWASAKI referred  to HB 75, Section 5 and  asked how often                                                               
the Criminal  Investigation Unit receives tips  about individuals                                                               
fraudulently  receiving  a PFD  and  asked  whether the  Criminal                                                               
Investigation Unit  tracks reports  of fraudulent  Permanent Fund                                                               
Dividend (PFD) activity and inquired  about the frequency of such                                                               
reporting.                                                                                                                      
                                                                                                                                
4:00:44 PM                                                                                                                    
MS. WOJTU answered yes, the  Criminal Investigation Unit receives                                                               
hundreds of fraud tips to review, analyze and investigate.                                                                      
                                                                                                                                
4:00:54 PM                                                                                                                    
CHAIR KAWASAKI  asked whether  PFD fraud  tips usually  come from                                                               
credible sources, such as someone  knowing an applicant no longer                                                               
lives in Alaska, or from other triggers for investigation.                                                                      
                                                                                                                                
4:01:13 PM                                                                                                                    
MS.  WOJTUSIK  replied that  fraud  tips  can come  from  various                                                               
sources  and may  be submitted,  including anonymously.  She said                                                               
she  could  provide  a  written  summary of  the  types  of  tips                                                               
received.                                                                                                                       
                                                                                                                                
4:01:36 PM                                                                                                                    
CHAIR  KAWASAKI asked  where he  could  find the  public list  of                                                               
current Permanent Fund recipients names.                                                                                        
                                                                                                                                
MS.  WOJTUSIK  replied  that  about   a  year  and  a  half  ago,                                                               
regulations were  changed to remove  the downloadable  Excel list                                                               
of  all  PFD  recipients.  She  said  now  only  individual  name                                                               
searches are available on the  PFD website, though a printed list                                                               
can still be requested in writing.                                                                                              
                                                                                                                                
4:02:41 PM                                                                                                                    
SENATOR  BJORKMAN asked  if  the list  requires  searching for  a                                                               
specific name, what level of risk does that tool pose.                                                                          
                                                                                                                                
4:03:04 PM                                                                                                                    
MS. WOJTUSIK replied that removing  the full list online was done                                                               
by  regulation, and  HB 75  provides  a statutory  fix. She  said                                                               
without it,  someone could still  pay for  a printed copy  of the                                                               
entire list and  potentially misuse it. Even  with name searches,                                                               
there are risks,  such as using death records  to file fraudulent                                                               
claims, which HB 75 aims to prevent.                                                                                            
                                                                                                                                
4:04:00 PM                                                                                                                    
SENATOR GRAY-JACKSON joined the meeting.                                                                                        
                                                                                                                                
4:04:27 PM                                                                                                                    
CHAIR KAWASAKI commented  that he has concerns with  Section 5 of                                                               
HB 75.                                                                                                                          
                                                                                                                                
4:04:42 PM                                                                                                                    
SENATOR WIELECHOWSKI said  his preference is to  remove Section 5                                                               
of HB 75.                                                                                                                       
                                                                                                                                
4:04:58 PM                                                                                                                    
At ease.                                                                                                                        
                                                                                                                                
4:06:21 PM                                                                                                                    
CHAIR KAWASAKI  reconvened the meeting and  commented that during                                                               
the at ease the committee discussed removing Section 5 of HB 75.                                                                
                                                                                                                                
SENATOR WIELECHOWSKI  stated that Section 5  appears ancillary to                                                               
HB 75  and he would  like it addressed  under a separate  bill to                                                               
avoid holding up HB 75.                                                                                                         
4:06:29 PM                                                                                                                    
SENATOR WIELECHOWSKI  moved to adopt  Conceptual Amendment  1, to                                                               
CSHB 75(STA)                                                                                                                    
                                                                                                                                
                   Conceptional Amendement 1                                                                                
                                                                                                                                
                                     BY SENATOR WIELECHOWSKI                                                                    
                                                                                                                                
     Page 6, line 28 - Page 7, line 13:                                                                                         
                                                                                                                                
             Delete all material.                                                                                               
                                                                                                                                
4:07:12 PM                                                                                                                    
CHAIR KAWASAKI objected for purposes of discussion.                                                                             
                                                                                                                                
4:07:23 PM                                                                                                                    
REPRESENTATIVE BYNUM  agreed it was reasonable  to remove Section                                                               
5  so HB  75 could  move forward  with its  other provisions.  He                                                               
noted that both he and the co-sponsor had no objection.                                                                         
                                                                                                                                
4:08:01 PM                                                                                                                    
CHAIR KAWASAKI removed his objection.                                                                                           
                                                                                                                                
4:08:10 PM                                                                                                                    
CHAIR  KAWASAKI   found  no  further  objection   and  Conceptual                                                               
Amendment 1 to CSHB 75(STA) was adopted.                                                                                        
                                                                                                                                
4:08:30 PM                                                                                                                    
CHAIR KAWASAKI solicited the will of the committee.                                                                             
                                                                                                                                
4:08:52 PM                                                                                                                    
SENATOR BJORKMAN  moved to  report CSHB  75(STA), work  order 34-                                                               
LS0475\I,   from   committee,   as   amended,   with   individual                                                               
recommendations  and attached  fiscal  note(s) and  authorization                                                               
for Legislative  Legal Services to make  technical and conforming                                                               
changes regarding the Conceptual Amendment.                                                                                     
                                                                                                                                
4:09:34 PM                                                                                                                    
CHAIR  KAWASAKI  found no  objection  and  SCS CSHB  75(STA)  was                                                               
reported from the Senate State Affairs Standing Committee.                                                                      

Document Name Date/Time Subjects
HB 75 Version B.pdf SSTA 5/8/2025 3:30:00 PM
HB 75
HB 75 Version B Zero Fiscal Note.pdf SSTA 5/8/2025 3:30:00 PM
HB 75
HB 75 Version B Sponsor Statement 03.19.2025.pdf SSTA 5/8/2025 3:30:00 PM
HB 75
HB 75 Version B Sectional Analysis 03.19.2025.pdf SSTA 5/8/2025 3:30:00 PM
HB 75
HB 75 Version A to B Explanation of Changes 03.19.2025.pdf SSTA 5/8/2025 3:30:00 PM
HB 75
HB 75 Letter of Intent.pdf SSTA 5/8/2025 3:30:00 PM
HB 75
SB0166A.pdf SSTA 5/8/2025 3:30:00 PM
SB 166
04.08.25 Public Notice TL Senate.pdf SSTA 5/8/2025 3:30:00 PM
SB 166
SB0166-2-2-040925-DNR-N.pdf SSTA 5/8/2025 3:30:00 PM
SB 166
SB0166-1-2-040925-DEC-N.pdf SSTA 5/8/2025 3:30:00 PM
SB 166
SB 166 Sectional Analysis Version A.pdf SSTA 5/8/2025 3:30:00 PM
SB 166
SB 177_Redacted.pdf SSTA 5/8/2025 3:30:00 PM
SB 177