03/12/2018 03:15 PM House LABOR & COMMERCE

        SB  80-TELECOMMUNICATIONS: DISABLED SUBSCRIBERS                                                                     
                                                                                                                              
                       [Mentions HB 202]                                                                                        
                                                                                                                                
3:17:57 PM                                                                                                                    
                                                                                                                                
CHAIR KITO  announced that the  first order of business  would be                                                               
SENATE  BILL  NO.  80, "An  Act  relating  to  telecommunications                                                               
services for  certain disabled subscribers; and  providing for an                                                               
effective date."                                                                                                                
                                                                                                                                
3:18:12 PM                                                                                                                    
                                                                                                                                
SENATOR MIA  COSTELLO, Alaska State Legislature,  presented SB 80                                                               
as  prime  sponsor.   She  explained  she  had learned  from  the                                                               
Regulatory Commission  of Alaska (RCA)  about the need  to update                                                               
state statutes to better help the hearing-impaired community.                                                                   
                                                                                                                                
3:19:07 PM                                                                                                                    
                                                                                                                                
JOSHUA  WALTON,   Staff,  Senator  Mia  Costello,   Alaska  State                                                               
Legislature,  presented  SB 80  on  behalf  of Senator  Costello,                                                               
prime  sponsor.   He relayed  that  in 1990  the legislature  had                                                               
authorized the RCA to adopt a    surcharge on a per line basis to                                                               
telephone subscribers.   He said it  was a nominal charge  of .01                                                               
cent  for the  purpose of  funding subscribers  that are  hard of                                                               
hearing or  deaf.   The surcharge applied  only to  landlines. He                                                               
added the challenge is that  technology has changed over the past                                                               
30 years and the number of  land lines has dropped sharply.  More                                                               
people are subscribing  to cell phones and  internet services and                                                               
as  a result,  the RCA  has  had to  increase the  amount of  the                                                               
surcharge.    He said  the proposed legislation would  change the                                                               
language  from   telephone   to  telecommunications   to  provide                                                               
more  flexibility.    He  said the  surcharge  would  be  reduced                                                               
significantly to between .04 cent or .05 cent per line.                                                                         
                                                                                                                                
3:23:11 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE BIRCH  asked whether  the use  of texting  for the                                                               
hearing impaired had been investigated.                                                                                         
                                                                                                                                
MR. WALTON said  he thinks that hard of hearing  people would use                                                               
texts.  The proposed bill  would make technologies available.  He                                                               
pointed out that  the people who need the  technologies need them                                                               
in connection with  their VOIP or videoconference  equipment.  He                                                               
stated the  proposed legislation would  make it possible  for the                                                               
RCA to collect needed funds.                                                                                                    
                                                                                                                                
REPRESENTATIVE  BIRCH  asked  what  kind of  equipment  would  be                                                               
purchased with the funding.                                                                                                     
                                                                                                                                
MR. WALTON deferred to former  Representative Norman Rokeberg and                                                               
mentioned some accessibly options on telecommunication devices.                                                                 
                                                                                                                                
3:27:19 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KNOPP asked  whether  the  surcharge is  "outside                                                               
what the Universal Service Fund does."                                                                                          
                                                                                                                                
MR. WALTON answered in the affirmative.                                                                                         
                                                                                                                                
REPRESENTATIVE KNOPP surmised there are more subsidies.                                                                         
                                                                                                                                
MR. WALTON  answered he  was not sure  whether the  equipment was                                                               
supplied directly by the program.                                                                                               
                                                                                                                                
REPRESENTATIVE KNOPP asked how much  revenue was anticipated from                                                               
the surcharge.                                                                                                                  
                                                                                                                                
MR. WALTON deferred to Mr. Rokeberg.                                                                                            
                                                                                                                                
3:30:12 PM                                                                                                                    
                                                                                                                                
NORMAN  ROKEBERG, Former  Commissioner, Regulatory  Commission of                                                               
Alaska (RCA),  testified in the hearing  on SB 80.   He mentioned                                                               
HB 202  is the companion bill.   He said the  proposed bill would                                                               
create a  statutory fix to  update telecommunication  services in                                                               
Alaska.  He  said over 15,000 land lines had  been eliminated due                                                               
to  technological  advances  in  telephony.    He  indicated  the                                                               
proposed bill would allow the  commission to reduce the surcharge                                                               
in the range  of .03 cents to .05 cents  to spread more equitably                                                               
the small  burden of providing services  to the deaf and  hard of                                                               
hearing community.                                                                                                              
                                                                                                                                
MR.  ROKEBERG  said AS  42.05.296  contains  the language,  "that                                                               
makes  available  reasonable  access  of  all  phases  of  public                                                               
telephone service to  deaf, hard of hearing,  and speech impaired                                                               
telephone  subscribers."     He   informed  that   currently  the                                                               
equipment  being  distributed   is  obsolete.  Additionally,  the                                                               
companies  provide an  analog type  of tap  tell system  which is                                                               
essentially texting over a landline  service.  He described a new                                                               
technology  called  real  time   texting  (RTT)  which  has  been                                                               
approved by the  FCC and will allow other types  of devices to be                                                               
implemented.   He further relayed the  commission has established                                                               
an iPad or tablet pilot program  and in the first phase 22 people                                                               
were selected throughout the state.   He stated there were issues                                                               
with connections in terms  of speed.   He said  a number of other                                                               
states  have done  similar  things and  Alaska  is learning  from                                                               
those programs.  He added  the technology  would aid  people with                                                               
speech disabilities.   He said the initial  appropriation was for                                                               
$3,000.   He  said no  additional  funding was  required and  the                                                               
program was entirely  self-funding.   He spoke to  other types of                                                               
services  such  as  video  services  on  computers,  which  allow                                                               
translators to use  American Sign Language.  He  added the Alaska                                                               
statute mandates  that hearing  disabled people  must be  able to                                                               
communicate  with   everyone.  He  said  the   bill  provides  an                                                               
effective date.  He requested the chairman [indisc.]                                                                            
                                                                                                                                
3:44:34 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE BIRCH  asked about the  zero fiscal note  (FN) for                                                               
the proposed bill.  He asked who allocated the funds.                                                                           
                                                                                                                                
MR. ROKEBERG  answered the surcharge  goes into a  dedicated fund                                                               
which is managed by a provider  - currently Sprint - who annually                                                               
submits  a  budget  which  must  be approved  by  the  RCA.    He                                                               
explained  a  portion  of  the  funds  go  to  pay  interpreters,                                                               
equipment  distribution,  and  the  outreach  program,  Assistive                                                               
Technology of Alaska  (ATLA), who travel throughout  the state to                                                               
provide information on  the program. He said the  budget is self-                                                               
contained and  one of  the concerns is  finding a  stable funding                                                               
source. He  said he thinks the  commission may not have  done the                                                               
job consistently with legislative intent.                                                                                       
                                                                                                                                
3:49:24 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE BIRCH asked how the funds are distributed.                                                                       
                                                                                                                                
MR.  ROKEBERG  answered  there  is   a  large  national  pool  of                                                               
interpreters. He  said equipment  is a  relatively small  part of                                                               
the budget currently.                                                                                                           
                                                                                                                                
REPRESENTATIVE  BIRCH asked  for a  copy of  the latest  approved                                                               
budget.                                                                                                                         
                                                                                                                                
MR. ROKEBERG clarified  he was speaking as a  private citizen and                                                               
is no longer a commissioner.                                                                                                    
                                                                                                                                
REPRESENTATIVE WOOL asked about the new rate.                                                                                   
                                                                                                                                
MR. ROKEBERG  said if he were  still on the commission,  he would                                                               
be recommended a single tier for ease of interpretation.                                                                        
                                                                                                                                
3:55:49 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  WOOL  asked how  many  customers  the program  is                                                               
covering currently.                                                                                                             
                                                                                                                                
MR. ROKEBERG answered there is  a large number of people affected                                                               
by hearing and  speech disabilities.  He said he  was not sure of                                                               
the exact numbers.                                                                                                              
                                                                                                                                
3:57:31 PM                                                                                                                    
                                                                                                                                
JAN  WILSON, Commissioner,  testified in  the hearing  on SB  80.                                                               
She updated  the information on  landlines and underlined  use of                                                               
landlines has continued to decline.                                                                                             
                                                                                                                                
REPRESENTATIVE WOOL  asked whether there are  outsourcing options                                                               
that aren't housed within the state.                                                                                            
                                                                                                                                
MS.  WILSON said  she  thinks Commissioner  Rokeberg  had done  a                                                               
thorough  examination of  the available  technologies during  his                                                               
tenure.                                                                                                                         
                                                                                                                                
4:00:23 PM                                                                                                                    
                                                                                                                                
CHAIR KITO  opened public testimony  on SB  80.  He  announced he                                                               
would leave public testimony open.                                                                                              
                                                                                                                                
REPRESENTATIVE SULLIVAN-LEONARD  said the  Key Coalition  and the                                                               
Special Council on Disabilities had expressed support.                                                                          
                                                                                                                                
REPRESENTATIVE KNOPP said he thinks it is a good bill.                                                                          
                                                                                                                                
4:02:32 PM                                                                                                                    
                                                                                                                                
CHAIR KITO held over SB 80.