04/06/2017 09:00 AM House FINANCE

HOUSE BILL NO. 114                                                                                                            
                                                                                                                                
     "An Act relating to boiler and unfired pressure vessel                                                                     
     inspection reports and fees."                                                                                              
                                                                                                                                
9:05:11 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   SAM    KITO,   SPONSOR,    introduced   the                                                                    
legislation.  The  bill  included proposed  changes  to  the                                                                    
boiler/pressure  vessel   inspection  reports   program.  He                                                                    
detailed  that  there were  a  limited  but fair  number  of                                                                    
reports   that  were   currently  submitted   manually.  The                                                                    
department [Department  of Labor and  Workforce Development]                                                                    
was required to  take the information and reenter  it into a                                                                    
database. The goal of the  department was to take the manual                                                                    
reports and recover  costs at $10 per report that  had to be                                                                    
filed; however,  there was an electronic  filing option that                                                                    
did not  have the $10  additional fee. He furthered  that if                                                                    
all of  the reports  were filed electronically,  there would                                                                    
be no  additional revenue, but  there would be  less expense                                                                    
for  the  department because  it  would  no longer  have  to                                                                    
manually enter  all of the  reports. The bill  would improve                                                                    
timeliness  of reports  so individuals  would receive  their                                                                    
inspection certificate  quicker and would no  longer have to                                                                    
wait  30 days.  The bill  provided  a cleanup  and aimed  at                                                                    
moving  the inspection  report process  into the  electronic                                                                    
age.                                                                                                                            
                                                                                                                                
9:07:47 AM                                                                                                                    
                                                                                                                                
Representative  Thompson asked  for verification  there were                                                                    
3,200 manual reports submitted.                                                                                                 
                                                                                                                                
Representative  Kito answered  there  were 3,200  individual                                                                    
boiler  and pressure  vessel reports  that were  filed by  a                                                                    
company manually.                                                                                                               
                                                                                                                                
Representative Wilson  asked if  there would  be individuals                                                                    
who could not submit electronically.                                                                                            
                                                                                                                                
DEBORAH  KELLY, DIRECTOR,  DIVISION OF  LABOR STANDARDS  AND                                                                    
SAFETY,  DEPARTMENT  OF  LABOR  AND  WORKFORCE  DEVELOPMENT,                                                                    
replied   the   3,200   reports    that   were   not   filed                                                                    
electronically was  generally due  to the  fact that  one or                                                                    
two companies  did not want  to use the online  program. She                                                                    
detailed  the process  used software  that required  a usage                                                                    
fee. She  explained that one company  nationwide had decided                                                                    
it would rather rely on the department for its data entry.                                                                      
                                                                                                                                
Representative Wilson asked for the  cost of the system. Ms.                                                                    
Kelly specified  that under  the system  the company  had to                                                                    
negotiate with  the manufacturer  based on company  size and                                                                    
the department had been unable to obtain an estimate.                                                                           
                                                                                                                                
Representative Wilson  wanted to know the  burden that could                                                                    
be  placed  on  the  users.   Ms.  Kelly  replied  that  the                                                                    
department had  unable to obtain the  information, which was                                                                    
the reason  it had gone with  a very reasonable fee  for its                                                                    
data  entry  -  it  was  willing to  offer  the  service  to                                                                    
companies it had.                                                                                                               
                                                                                                                                
Vice-Chair Gara  asked for verification  that the  bill gave                                                                    
companies  the  option  to file  the  reports  manually.  He                                                                    
surmised a  company could file  manually for $10  per report                                                                    
or save the money by filing electronically.                                                                                     
                                                                                                                                
Representative Kito  answered in the affirmative.  There was                                                                    
an  option for  a  company  that did  not  want  to use  the                                                                    
electronic  program. The  department  was  merely trying  to                                                                    
acknowledge  it  had a  cost  associated  with entering  the                                                                    
data.                                                                                                                           
                                                                                                                                
9:11:49 AM                                                                                                                    
                                                                                                                                
Co-Chair Foster OPENED and CLOSED public testimony.                                                                             
                                                                                                                                
Co-Chair  Seaton   reviewed  the  fiscal  note   1  for  the                                                                    
Department   of  Labor   and   Workforce  Development.   The                                                                    
department estimated the bill  would result in an additional                                                                    
$32,000 in  revenue to the  building safety  account. [Note:                                                                    
Co-Chair  Seaton  referred  to  the  fiscal  note  as  zero;                                                                    
however, the note  was technically a fiscal  impact note due                                                                    
to  the potential  generation of  $32,000 per  year for  the                                                                    
state.]                                                                                                                         
                                                                                                                                
Representative  Wilson remarked  that the  $32,000 would  be                                                                    
generated only  if people chose not  to file electronically.                                                                    
Otherwise the fiscal  note could be zero. She  added she was                                                                    
not sure $10 would cover the whole fee.                                                                                         
                                                                                                                                
Co-Chair  Seaton MOVED  to REPORT  HB 114  out of  committee                                                                    
with individual recommendations  and the accompanying fiscal                                                                    
note.                                                                                                                           
                                                                                                                                
There  being  NO  OBJECTION,  HB 114  was  REPORTED  out  of                                                                    
committee  with  a "do  pass"  recommendation  and with  one                                                                    
previously published fiscal impact note: FN1 (LWF).                                                                             
                                                                                                                                
9:14:31 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:16:21 AM                                                                                                                    
RECONVENED