04/07/2010 01:30 PM House FINANCE

HOUSE BILL NO. 363                                                                                                              
                                                                                                                                
     "An Act relating to the membership of the Alaska                                                                           
     Industrial Development and Export Authority."                                                                              
                                                                                                                                
Representative  Kelly  MOVED  to   adopt  Amendment  1,  26-                                                                    
LS1503\S.2, Cook, 4/7/10:                                                                                                       
                                                                                                                                
     Page 2, line 18, following "serve":                                                                                        
                                                                                                                                
          Insert "at the pleasure of the governor for"                                                                        
                                                                                                                                
Co-Chair Stoltze OBJECTED for the purpose of discussion.                                                                        
                                                                                                                                
Representative Kelly explained Amendment 1.                                                                                     
                                                                                                                                
Co-Chair Stoltze  MAINTAINED his OBJECTION. He  thought that                                                                    
the  amendment  could cause  confusion  and  create a  false                                                                    
sense of uncertainty for other boards.                                                                                          
                                                                                                                                
1:55:22 PM                                                                                                                    
                                                                                                                                
Representative  Doogan requested  a  clearer explanation  of                                                                    
the  law  in   respect  to  the  changes   proposed  in  the                                                                    
amendment.                                                                                                                      
                                                                                                                                
1:56:01 PM                                                                                                                    
                                                                                                                                
MIKE   BARNHILL,   ATTORNEY,    DEPARTMENT   OF   LAW   (via                                                                    
teleconference),  stated that  opinions from  the department                                                                    
dating back  to the 1980s  suggest that when a  board member                                                                    
was  to serve  for a  specified period  of time,  a property                                                                    
interest  was  created for  the  amount  of time  the  board                                                                    
member would serve. At that  time the department recommended                                                                    
that   the  governor   should  not   remove  board   members                                                                    
prematurely without  an established  cause. In  the interest                                                                    
of  caution,  if the  legislature  believed  that the  board                                                                    
members should  serve at  the pleasure  of the  governor, it                                                                    
should be explicitly stated in the legislation.                                                                                 
                                                                                                                                
A roll call vote was taken on the motion.                                                                                       
                                                                                                                                
IN FAVOR: Doogan,  Foster,  Gara,   Kelly,  Salmon,  Thomas,                                                                    
     Austerman                                                                                                                  
OPPOSED: Hawker, Stoltze                                                                                                        
                                                                                                                                
The MOTION PASSED (7-2).                                                                                                        
                                                                                                                                
1:58:59 PM                                                                                                                    
                                                                                                                                
ROB EARLE,  STAFF, REPRESENTATIVE BOB HERRON,  discussed the                                                                    
fiscal note. He stated that  the fiscal impact had increased                                                                    
due to the addition of 3 public members to the board.                                                                           
                                                                                                                                
Vice-Chair  Thomas  MOVED  to REPORT  CS  HB  363(L&C),  26-                                                                    
LS1503\S,  as  amended,  out of  Committee  with  individual                                                                    
recommendations  and  the  accompanying fiscal  note.  There                                                                    
being NO OBJECTION, it was so ordered.                                                                                          
                                                                                                                                
CS HB  363 (L&C) was  REPORTED out  of Committee with  a "do                                                                    
pass"  recommendation  and with  new  fiscal  note from  the                                                                    
Department of Commerce, Community and Economic Development.                                                                     
                                                                                                                                
2:00:53 PM     AT EASE                                                                                                        
2:02:03 PM     REONVENNED                                                                                                     
                                                                                                                                
2:02:12 PM