03/28/2011 01:00 PM House JUDICIARY

          HB 169 - LAA REVIEW OF PROPOSED REGULATIONS                                                                       
                                                                                                                                
1:12:20 PM                                                                                                                    
                                                                                                                                
CHAIR GATTO announced  that the first order of  business would be                                                               
HOUSE BILL  NO. 169, "An Act  relating to the review  of proposed                                                               
regulations by the Legislative Affairs  Agency; and providing for                                                               
an effective date."                                                                                                             
                                                                                                                                
The committee took an at-ease from 1:13 p.m. to 1:15 p.m.                                                                       
                                                                                                                                
1:15:23 PM                                                                                                                    
                                                                                                                                
SARAH  MUNSON, Staff,  Representative  Carl  Gatto, Alaska  State                                                               
Legislature,  on  behalf  of the  sponsor,  the  House  Judiciary                                                               
Standing  Committee, chaired  by Representative  Gatto, explained                                                               
that [by  amending AS  24.20.105(e),] HB  169 would  fix problems                                                               
with  the statutes  pertaining to  regulation  review.   Existing                                                               
AS 24.20.105  enumerates who  can request  Legislative Legal  and                                                               
Research Services to  conduct a review of  proposed regulations -                                                               
a  standing  committee,   the  Administrative  Regulation  Review                                                               
Committee, and  Legislative Council  - and who  Legislative Legal                                                               
and  Research Services  is allowed  to notify  of the  results of                                                               
such  a  review  when  it  finds  a  problem  with  the  proposed                                                               
regulations  - the  Administrative  Regulation Review  Committee,                                                               
the president  of the  Senate, and  the speaker  of the  House of                                                               
Representatives.    The  existing   statute  does  not,  however,                                                               
currently  allow  the  standing   committee  or  the  Legislative                                                               
Council  that  requested  the  review  to  be  notified  of  such                                                               
results, and  HB 169 would  address this problem by  adding those                                                               
entities  to   the  list   of  those   who  could   be  notified.                                                               
Furthermore, in  order to address  situations involving  a review                                                               
of proposed  regulations implementing newly  enacted legislation,                                                               
HB  169 would  add language  allowing the  prime sponsor  of such                                                               
legislation  to  also  be  consulted  by  Legislative  Legal  and                                                               
Research Services  during the  review and to  be notified  of the                                                               
results of the review if  a problem with the proposed regulations                                                               
is found.  The bill  would also add language allowing Legislative                                                               
Legal  and  Research Services  to  notify  the requester  of  the                                                               
review  in   situations  where  no  problem   with  the  proposed                                                               
regulations is found.                                                                                                           
                                                                                                                                
MS.  MUNSON   mentioned  that  under  the   bill,  when  proposed                                                               
regulations are  found to  have a  problem, notification  must be                                                               
made in writing,  but when no problem is  found, notification may                                                               
be  communicated  by  [other,  less  formal  means].    She  also                                                               
mentioned that  some people  have expressed  concern that  HB 169                                                               
would  alter how  regulations are  promulgated,  but pointed  out                                                               
that those concerns are unfounded  because the bill only pertains                                                               
to  Legislative  Legal  and Research  Services'  review  of,  and                                                               
subsequent communications regarding, proposed regulations.                                                                      
                                                                                                                                
CHAIR GATTO indicated that HB 169 was developed at his request.                                                                 
                                                                                                                                
MS.  MUNSON,  in response  to  questions,  reiterated that  under                                                               
existing law, reviews  may be requested by  a standing committee,                                                               
the  Administrative Regulation  Review Committee,  or Legislative                                                               
Council; and offered  her understanding that when  a problem with                                                               
proposed regulations  is found by Legislative  Legal and Research                                                               
Services,  just  the  chair  of the  committee  or  council  that                                                               
requested the review would be notified.                                                                                         
                                                                                                                                
REPRESENTATIVE  HOLMES indicated  interest in  possibly expanding                                                               
the list of who could be notified.                                                                                              
                                                                                                                                
1:22:15 PM                                                                                                                    
                                                                                                                                
LISA  KIRSCH, Attorney,  Legislative  Legal Counsel,  Legislative                                                               
Legal and  Research Services,  Legislative Affairs  Agency (LAA),                                                               
as  [one   of  the  drafters],  explained   that  under  Alaska's                                                               
Administrative Procedure  Act (APA),  all legislators  get notice                                                               
of proposed regulations,  and so if an  individual legislator has                                                               
an  interest in  a particular  proposed regulation  but is  not a                                                               
member  of one  of the  aforementioned legislative  bodies, under                                                               
other  provisions  of  existing  AS  24.20,  he/she  could  still                                                               
request a legal  opinion on the proposed  regulation, which would                                                               
then undergo a similar, confidential  review as that provided for                                                               
under AS 24.20.105.  In response  to a question about the phrase,                                                               
"consult with", as  used on page 1, lines 6  and 9, she explained                                                               
that  under current  law, when  conducting a  review of  proposed                                                               
regulations, Legislative  Legal and Research Services  is allowed                                                               
to discuss the proposed regulation  and the issues surrounding it                                                               
with  the Department  of Law  (DOL),  the requesting  legislative                                                               
body,  and  the state  agency  proposing  the regulatory  change.                                                               
Under the  bill, in conducting  a review of  proposed regulations                                                               
implementing  newly enacted  legislation,  Legislative Legal  and                                                               
Research  Services would  also be  able to  discuss those  things                                                               
with the sponsor of the enabling legislation.                                                                                   
                                                                                                                                
MS.  MUNSON  -  in  response   to  a  question  about  the  term,                                                               
"statutory  standards"  as  used   in  the  sponsor  statement  -                                                               
clarified   that  under   existing  AS   24.20.105(d)(1)-(3),  in                                                               
reviewing a  proposed regulation, Legislative Legal  and Research                                                               
Services   is    required   to   evaluate   the    legality   and                                                               
constitutionality of  the proposed regulation; whether  the state                                                               
agency  has  the  statutory  authority   to  adopt  the  proposed                                                               
regulation in  order to implement,  interpret, make  specific, or                                                               
otherwise  carry   out  a  statute;  and   whether  the  proposed                                                               
regulation is consistent with the applicable statutes.                                                                          
                                                                                                                                
MS. KIRSCH noted that during  such reviews, Legislative Legal and                                                               
Research Services  also evaluates  whether a  proposed regulation                                                               
is consistent  with legislative intent  - at  least in so  far as                                                               
such can be determined.                                                                                                         
                                                                                                                                
CHAIR  GATTO,  after ascertaining  that  no  one else  wished  to                                                               
testify, closed public testimony on HB 169.                                                                                     
                                                                                                                                
1:33:39 PM                                                                                                                    
                                                                                                                                
DEBORAH  BEHR,  Chief  Assistant  Attorney  General  -  Statewide                                                               
Section  Supervisor,  Legislation  & Regulations  Section,  Civil                                                               
Division  (Juneau),  Department  of  Law (DOL),  in  response  to                                                               
questions and  comments, indicated that the  existing limitations                                                               
under AS 24.20.105 regarding who  may request a Legislative Legal                                                               
and Research  Services' review of  a proposed regulation  and who                                                               
receives notification of the results  of such a review were meant                                                               
to  ensure that  a  review didn't  take  on a  life  of its  own,                                                               
particularly when  the proposed regulation  raised constitutional                                                               
issues.    She, too,  noted  that  under Alaska's  Administrative                                                               
Procedure  Act  (APA), all  legislators  get  notice of  proposed                                                               
regulations, and  that under  other provisions  of AS  24.20, any                                                               
legislator may  request a  review of  a proposed  regulation from                                                               
Legislative Legal and Research Services.                                                                                        
                                                                                                                                
CHAIR GATTO  indicated that he  is disinclined to  further expand                                                               
the bill's proposed list of who is notified of review results.                                                                  
                                                                                                                                
MS. KIRSCH,  in response to  a question, clarified that  the bill                                                               
is not proposing  to expand the list of who  can request a review                                                               
under   AS  24.20.105;   reiterated  aspects   of  Ms.   Munson's                                                               
explanation of  the bill;  and pointed out  that if  a legislator                                                               
isn't  specifically  entitled  under   AS  24.20.105  to  receive                                                               
notification  of the  results of  a review  conducted under  that                                                               
provision,  he/she   could  simply  ask  Legislative   Legal  and                                                               
Research Services to conduct a  review of the proposed regulation                                                               
under other provisions of AS 24.20.                                                                                             
                                                                                                                                
REPRESENTATIVE  KELLER expressed  favor with  keeping the  bill's                                                               
proposed list of  who may receive notification  of review results                                                               
under AS 24.20.105 as is.                                                                                                       
                                                                                                                                
1:40:45 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRUITT  moved to  report HB  169 out  of committee                                                               
with  individual  recommendations  and  the  accompanying  fiscal                                                               
notes.   There being no objection,  HB 169 was reported  from the                                                               
House Judiciary Standing Committee.