03/01/2019 09:00 AM Senate FINANCE

SENATE BILL NO. 29                                                                                                            
                                                                                                                                
     "An Act extending the termination date of the Board of                                                                     
     Marine Pilots; and providing for an effective date."                                                                       
                                                                                                                                
9:03:54 AM                                                                                                                    
                                                                                                                                
DAVID  SCOTT, STAFF,  SENATOR BERT  STEDMAN, introduced  the                                                                    
bill.                                                                                                                           
                                                                                                                                
Senator Shower queried the reason  for a separate Board, and                                                                    
requested the  authority if  there were  no Marine  Board of                                                                    
Pilots.                                                                                                                         
                                                                                                                                
Co-Chair von Imhof  stated that Ms. Curtis  may provide more                                                                    
information on the general purpose on the boards.                                                                               
                                                                                                                                
Mr.  Scott replied  that if  the  bill did  not go  through,                                                                    
there  would  be  a  one-year winddown  of  the  Board.  The                                                                    
Division   of  Corporations,   Business,  and   Professional                                                                    
license would take over that role.                                                                                              
                                                                                                                                
9:07:45 AM                                                                                                                    
                                                                                                                                
KRIS  CURTIS,   LEGISLATIVE  AUDITOR,  ALASKA   DIVISION  OF                                                                    
LEGISLATIVE AUDIT, addressed the  question by Senator Shower                                                                    
about the need for the Board.                                                                                                   
                                                                                                                                
Senator Shower wondered whether the  Board was needed in the                                                                    
broader sense, and  wondered who would execute  the needs in                                                                    
the event of Board elimination.                                                                                                 
                                                                                                                                
Ms. Curtis  replied that it  was a federal  requirement that                                                                    
required  that  every  foreign   and  U.S.  flagged  vessels                                                                    
engaged  in international  trade  or moving  in the  state's                                                                    
waters was required to use  the services of a state-licensed                                                                    
pilot. She stated  that the question about  a board required                                                                    
to  license  those individuals  was  a  question for  policy                                                                    
makers.                                                                                                                         
                                                                                                                                
Ms. Curtis explained the audit.                                                                                                 
                                                                                                                                
Senator  Micciche  remarked  that   the  Boards  were  self-                                                                    
sustaining,  and required  thousands of  hours of  volunteer                                                                    
work that the  department would have to pay  for without the                                                                    
Boards.                                                                                                                         
                                                                                                                                
Ms.  Curtis noted  that there  was a  statute that  required                                                                    
that   the   Division   of   Corporations,   Business,   and                                                                    
Professional Licensing  set the  board fees  at such  a rate                                                                    
that it covered the cost of regulation.                                                                                         
                                                                                                                                
Co-Chair von Imhof remarked that  Ms. Chambers could provide                                                                    
further information. She remarked  that there was a standard                                                                    
formats in the audits, and  the table of contents showed the                                                                    
standard format.  She remarked that  as there would  be more                                                                    
board extensions,  the committee  members would get  used to                                                                    
what, why, and how the decisions were determined.                                                                               
                                                                                                                                
Ms.   Curtis  shared   that  the   reports  began   with  an                                                                    
organization   and   function   to   address   the   board's                                                                    
composition  and duties.  She remarked  that there  was also                                                                    
information about the board budget.                                                                                             
                                                                                                                                
9:16:49 AM                                                                                                                    
                                                                                                                                
CHARLES  WARD,   MARINE  PILOTS  COORDINATOR,   DIVISION  OF                                                                    
CORPORATIONS,    BUSINESS   AND    PROFESSIONAL   LICENSING,                                                                    
DEPARTMENT OF COMMERCE,  COMMUNITY AND ECONOMIC DEVELOPMENT,                                                                    
introduced himself.                                                                                                             
                                                                                                                                
Senator Bishop announced that he  had heard the bills in the                                                                    
Senate Labor and Commerce Committee.                                                                                            
                                                                                                                                
Co-Chair von Imhof OPENED public testimony.                                                                                     
                                                                                                                                
Co-Chair von Imhof CLOSED public testimony.                                                                                     
                                                                                                                                
Co-Chair  Stedman noted  that an  incident in  the Gastineau                                                                    
Channel  would   block  other   vessels.  He   stressed  the                                                                    
seriousness  of the  matter.  He also  pointed  to the  very                                                                    
large vessels  that travel through  the waters  near Alaska.                                                                    
He felt that it was  important to continue to have qualified                                                                    
pilots in the water to minimize potential incidents.                                                                            
                                                                                                                                
Senator Micciche  pointed out that  March was  the thirtieth                                                                    
anniversary of the  Exxon Valdez, and there  would have been                                                                    
a  different  outcome if  the  regulations  that required  a                                                                    
pilot  to be  on board  until the  passing the  narrows. The                                                                    
regulations stabilized  the skillset of everyone  bringing a                                                                    
vessel into the ports.                                                                                                          
                                                                                                                                
Senator Shower looked  at the budget, and  wondered what was                                                                    
driving the budget surplus.                                                                                                     
                                                                                                                                
9:21:22 AM                                                                                                                    
                                                                                                                                
SARA CHAMBERS, DIRECTOR,  DIVISION OF CORPORATIONS, BUSINESS                                                                    
AND   PROFESSIONAL   LICENSING,  DEPARTMENT   OF   COMMERCE,                                                                    
COMMUNITY AND  ECONOMIC DEVELOPMENT,  remarked that  she was                                                                    
impressed at the  ability and awareness to  explain her work                                                                    
at the committee. She provided an overview of the boards.                                                                       
                                                                                                                                
9:25:38 AM                                                                                                                    
                                                                                                                                
Co-Chair  von Imhof  wondered how  many boards  were in  the                                                                    
department.                                                                                                                     
                                                                                                                                
Ms. Chambers  replied that the  Governor's Office  of Boards                                                                    
and Commissions  was the appointing authority  for all state                                                                    
boards and commissions.  There were 21 in  the division that                                                                    
she managed, and  there were over a  hundred total statewide                                                                    
boards and commissions.                                                                                                         
                                                                                                                                
Ms. Chambers discussed the fiscal note.                                                                                         
                                                                                                                                
Co-Chair  von Imhof  announced that  amendments were  due by                                                                    
5pm on Monday, March 4.                                                                                                         
                                                                                                                                
SB  29  was   HEARD  and  HELD  in   committee  for  further                                                                    
consideration.