04/06/2023 08:00 AM House COMMUNITY & REGIONAL AFFAIRS

        HB 123-ARTICLES OF INCORPORATION FOR ANCSA CORPS                                                                    
                                                                                                                                
8:24:00 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK announced that the  final order of business would                                                               
be HOUSE  BILL NO. 123, "An  Act relating to an  amendment to the                                                               
articles of  incorporation of a  corporation organized  under the                                                               
Alaska  Native  Claims  Settlement  Act;  and  providing  for  an                                                               
effective date."                                                                                                                
                                                                                                                                
8:24:14 AM                                                                                                                    
                                                                                                                                
TOM  WRIGHT, Staff,  Representative Craig  Johnson, Alaska  State                                                               
Legislature,  recapped HB  123,  on behalf  of Representative  C.                                                               
Johnson, prime  sponsor.   He explained that  HB 123  would bring                                                               
the Alaska Native Claims Settlement  Act (ANCSA) in line with the                                                               
Alaska Corporations Code, wherein  those who formed a corporation                                                               
after  1989 are  allowed  to  have [an  affirmative  vote of]  50                                                               
percent  plus one  threshold for  amendments to  the articles  of                                                               
corporation.   He  explained the  bill would  eliminate the  two-                                                               
thirds threshold corporations are currently under.                                                                              
                                                                                                                                
8:25:05 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK opened public testimony on HB 123.                                                                              
                                                                                                                                
8:25:27 AM                                                                                                                    
                                                                                                                                
ROBERT  MISULICH, General  Counsel, Aleut  Corporation, testified                                                               
in support of HB 123, which  addresses the important issue of the                                                               
voting threshold  for Alaska Native  corporations.   The proposed                                                               
legislation would  allow these corporations  to be able  to amend                                                               
their articles  of incorporation  through a simple  majority vote                                                               
of the outstanding voting shares.                                                                                               
                                                                                                                                
8:27:11 AM                                                                                                                    
                                                                                                                                
SUSAN TAYLOR,  CEO, St. Mary's  Native Corporation,  testified in                                                               
support of HB  123, noting that Mr. Misulich had  covered all the                                                               
points she had planned to make.                                                                                                 
                                                                                                                                
8:27:58 AM                                                                                                                    
                                                                                                                                
NICHOLAS OSTROVSKY,  General Counsel,  Ahtna, Inc.,  testified in                                                               
support  of HB  123.    He stated  the  bill  would bring  Native                                                               
corporations  in  line with  the  modern  corporation code.    He                                                               
stated that  this would  help Native  corporations be  more agile                                                               
and efficient,  so they can  continue with the  important mission                                                               
of  providing  economic and  social  benefits  for Alaska  Native                                                               
shareholders.                                                                                                                   
                                                                                                                                
8:28:43 AM                                                                                                                    
                                                                                                                                
SARAH  OBED,  Senior  Vice President,  External  Affairs,  Doyon,                                                               
Limited, testified  on behalf of  the ANCSA  Regional Association                                                               
(ARA) in  support HB  123.   She stated that  ARA and  the member                                                               
organizations are  tasked with providing for  their Alaska Native                                                               
shareholders,   supporting   them   socially,   culturally,   and                                                               
economically.     She  noted  the  current   two-thirds  majority                                                               
requirement is  an outdated rule and  a hurdle.  She  thanked the                                                               
committee for its consideration of the proposed legislation.                                                                    
                                                                                                                                
8:31:56 AM                                                                                                                    
                                                                                                                                
CHAIR MCCORMICK,  after ascertaining that  there was no  one else                                                               
who wished to testify, closed public testimony on HB 123.                                                                       
                                                                                                                                
8:32:33 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MCCABE  moved to  report HB  123 out  of committee                                                               
with individual recommendations and  the accompanying zero fiscal                                                               
note.  There  being no objection, HB 123 was  reported out of the                                                               
House Community and Regional Affairs Standing Committee.