04/04/2011 03:15 PM House LABOR & COMMERCE

                      HB 156-CHAIR OF RCA                                                                                   
3:20:30 PM                                                                                                                    
                                                                                                                                
CHAIR OLSON announced  that the first order of  business would be                                                               
HOUSE  BILL  NO. 156,  "An  Act  relating  to  the chair  of  the                                                               
Regulatory Commission of Alaska."                                                                                               
                                                                                                                                
3:20:48 PM                                                                                                                    
                                                                                                                                
JENNIFER SENETTE, Staff, Representative  Kurt Olson, on behalf of                                                               
the prime  sponsor, stated that  HB 156 would allow  the governor                                                               
to select a  commissioner of the Regulatory  Commission of Alaska                                                               
(RCA) to  serve as the  chair of the RCA  for a three  year term.                                                               
The appointment structure differs  from the current structure, in                                                               
which the RCA  commissioners select one member to  serve as chair                                                               
for the following  fiscal year.  Under the bill,  the RCA's chair                                                               
could serve  no more than  three successive terms, but  could sit                                                               
out for one  year and still be eligible to  be considered to once                                                               
again  serve as  chair.    She explained  that  having the  chair                                                               
appointed by the governor is not  a new concept.  She referred to                                                               
a history of the RCA in  members' packets that shows from 1970 to                                                               
2003  the  governor  designated  the  chair  of  the  commission,                                                               
formerly known as the Alaska  Public Utilities Commission (APUC).                                                               
Currently,  15  boards  have   a  similar  leadership  structure,                                                               
including the  Commercial Fisheries Entry Commission  (CFEC); the                                                               
Workers'  Compensation  Appeals   Commission  (WCAC),  the  Labor                                                               
Relations Agency,  the Occupational Health and  Safety Board, the                                                               
Board of  Marine Pilots, the  Knik Arm Bridge and  Toll Authority                                                               
(KABATA),  and the  Oil and  Gas Conservation  Commission (OGCC).                                                               
This bill  would provide a  three year-term for the  RCA's chair,                                                               
which  would  provide  greater  degree  of  consistency  for  its                                                               
leadership.   This  is important  since  many of  the issues  and                                                               
dockets  opened by  the  RCA  span numerous  years,  so having  a                                                               
leadership   structure  for   more   than  one   year  would   be                                                               
advantageous, she said.                                                                                                         
                                                                                                                                
3:23:10 PM                                                                                                                    
                                                                                                                                
MS. SENETTE  provided a section-by-section analysis  of the bill.                                                               
The first section  of HB 156 would allow the  governor to appoint                                                               
one member  of the RCA as  chair and would establish  the term at                                                               
three  years.    The  second  section of  HB  156  would  provide                                                               
transition language to account for  the current RCA chair's term.                                                               
Under this provision the governor  would designate the next chair                                                               
once the current RCA chair's term ends, she said.                                                                               
                                                                                                                                
3:23:55 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HOLMES related  her understanding  that currently                                                               
the RCA's chair is limited to  three terms.  She asked whether HB
 would allow the chair to serve successive terms.                                                                            
                                                                                                                                
MS. SENETTE  responded that nothing  in HB 156 would  prevent the                                                               
governor from designating the RCA's  chair for consecutive terms.                                                               
However,  given that  the term  limit  of a  commissioner is  six                                                               
years, two successive terms would be the maximum allowed.                                                                       
                                                                                                                                
REPRESENTATIVE HOLMES  recalled the RCA's commissioner  terms are                                                               
staggered terms  of six years.   Theoretically, a  governor would                                                               
be  more likely  to  choose  someone with  at  least three  years                                                               
remaining  of his/her  term.   However, HB  156 does  not require                                                               
full chair terms be completed, she said.                                                                                        
                                                                                                                                
CHAIR OLSON offered his belief  that it was unlikely the governor                                                               
would select  someone as chair who  has less than three  years of                                                               
his/her term  remaining.  He  suggested someone on  the committee                                                               
with  experience overseeing  boards and  commissions may  wish to                                                               
comment.                                                                                                                        
                                                                                                                                
REPRESENTATIVE  SADDLER  answered  that   he  did  not  have  any                                                               
recollection on the matter.                                                                                                     
                                                                                                                                
CHAIR  OLSON  reiterated his  belief  that  selecting someone  to                                                               
serve out the chair's term would not be an issue.                                                                               
                                                                                                                                
REPRESENTATIVE HOLMES  related a  scenario in which  the governor                                                               
selected  someone with  two  years remaining.    She offered  her                                                               
belief that HB  156 would not extend the  commissioner's term for                                                               
another year.                                                                                                                   
                                                                                                                                
MS. SENETTE related her understanding that it would not do so.                                                                  
                                                                                                                                
3:26:20 PM                                                                                                                    
                                                                                                                                
CHAIR  OLSON,  after first  determining  no  one else  wished  to                                                               
testify, closed public testimony on HB 156.                                                                                     
                                                                                                                                
REPRESENTATIVE  HOLMES asked  whether the  RCA or  the Governor's                                                               
office had a position on the bill.                                                                                              
                                                                                                                                
CHAIR  OLSON  related his  understanding  that  the RCA  and  the                                                               
Governor's office were neutral on HB 156.                                                                                       
                                                                                                                                
3:26:59 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHNSON  moved to report  HB 156 out  of committee                                                               
with  individual  recommendations  and  the  accompanying  fiscal                                                               
note.   There being no  objection, HB  156 was reported  from the                                                               
House Labor and Commerce Standing Committee.