02/03/2026 09:00 AM Senate FINANCE

SENATE BILL NO. 104                                                                                                           
                                                                                                                                
     "An  Act relating  to the  transfer of  a title  on the                                                                    
     death  of the  owner;  and providing  for an  effective                                                                    
     date."                                                                                                                     
                                                                                                                                
9:20:39 AM                                                                                                                    
                                                                                                                                
SENATOR SCOTT KAWASAKI, SPONSOR, read the Sponsor Statement                                                                     
(copy on file):                                                                                                                 
                                                                                                                                
     The death of a family  member is a difficult experience                                                                    
     for any person. It is  an emotional process we all have                                                                    
     or will  face that  drains an individual's  stamina and                                                                    
     motivation.  Add to  that the  legal complications  and                                                                    
     costs this  familial absence  inflicts on  a household,                                                                    
     it is  no wonder that a  death in the family  is one of                                                                    
     the  most  stressful events  in  a  person life.  Going                                                                    
     through  the   probate  process   can  cost   a  family                                                                    
     thousands, potentially tens of  thousands of dollars in                                                                    
     legal and filing  fees at a time when  an individual is                                                                    
     less able to cope with  such financial pressure. SB 104                                                                    
     would provide an option for  Alaskans to alleviate such                                                                    
     pressures when a loved one passes.                                                                                         
                                                                                                                                
     SB 104  aims to continue  the work of the  Uniform Real                                                                    
     Property Transfer on Death Act  (URPTDA). This piece of                                                                    
     legislation passed in 2014  with unanimous support from                                                                    
     both the House and the  Senate and created the Transfer                                                                    
     on  Death  (TOD)  deed, which  allows  for  non-probate                                                                    
     transfers of  real property.  TOD deeds  allow Alaskans                                                                    
     to select  a beneficiary who will  receive the property                                                                    
     at  their passing  and removes  that property  from the                                                                    
     process  of  probate which  can  take  anywhere from  6                                                                    
     months to  several years to  complete. At this  time, a                                                                    
     TOD deed cannot be issued  for boats and other vehicles                                                                    
     for  which   the  DMV  issues  titles.   SB  104  would                                                                    
     ameliorate this situation.                                                                                                 
     This piece  of legislation  would continue  the ongoing                                                                    
     effort  to  reduce  costs and  stress  of  probate  for                                                                    
     Alaskans by creating a  streamlined service through the                                                                    
     DMV   through   which   any   Alaskan   can   designate                                                                    
     beneficiaries for  both vehicles  and boats  by filling                                                                    
     out  a simple  form.  With this  TOD  deed, an  Alaskan                                                                    
     would be able to gain access  to a vehicle or boat much                                                                    
     faster  than if  they  had to  go  through the  probate                                                                    
     process. This may  seem like a moot  point but consider                                                                    
     a  situation where  a family  runs  a fishing  business                                                                    
     from their family boat. That  boat is a crucial part of                                                                    
     the business  and not being able  to use it for  even a                                                                    
     month  could lead  to bankruptcy.  SB 104  would ensure                                                                    
     such a situation would not happen.                                                                                         
                                                                                                                                
     The  TOD titles  will be  available for  all boats  and                                                                    
     vehicles for which the DMV  provides titles, which also                                                                    
     includes   some   mobile   manufactured   homes   under                                                                    
     AS.45.29.102(66). The program  would be self-sustaining                                                                    
     though  the fees  collected  from  the individuals  who                                                                    
     file for the TOD deeds.                                                                                                    
                                                                                                                                
     At no  cost to the  state, SB 104 will  allow countless                                                                    
     Alaskans  to  pass  down   boats,  vehicles,  and  some                                                                    
     manufactured homes to beneficiaries  with more ease and                                                                    
     will   help  simplify   the  potentially   complicated,                                                                    
     costly,  lengthy,   and  painful  process   of  probate                                                                    
     following the death of a loved one.                                                                                        
                                                                                                                                
9:24:12 AM                                                                                                                    
                                                                                                                                
Co-Chair Hoffman stated that SB 104 was related to                                                                              
insurance and prior authorizations.                                                                                             
                                                                                                                                
9:24:33 AM                                                                                                                    
                                                                                                                                
JENNA  COLQUHOUN, STAFF,  SENATOR SCOTT  KAWASAKI, discussed                                                                    
the presentation, "SB 104, 'An  Act relating to the transfer                                                                    
of a title  on the death of the owner;  and providing for an                                                                    
effective  date'" (copy  on file).  She looked  at slide  2,                                                                    
 Transfer on Death Deeds                                                                                                        
                                                                                                                                
     -Was created in Alaskan  Statute when the "Uniform Real                                                                    
     Property Transfer on                                                                                                       
     Death Act" was passed in 2014 by the 28th Legislature                                                                      
          -AS 13.48.010     "An individual may transfer                                                                         
          property to one or more beneficiaries effective                                                                       
          at the  transferor's death by a  transfer on death                                                                    
          deed."                                                                                                                
                                                                                                                                
     -AS  13.48.020      "A  transfer   on  death   deed  is                                                                    
     nontestamentary."                                                                                                          
          -Not involving or creating a will                                                                                     
          -Assets  subject to  a TOD  deed skip  the probate                                                                    
          process                                                                                                               
                                                                                                                                
     -TOD  deeds  currently  can  only   be  used  for  Real                                                                    
     Property                                                                                                                   
          -Land and anything permanently attached to it                                                                         
                                                                                                                                
Ms. Colquhoun pointed to slide 3, "What SB 104 Does                                                                             
                                                                                                                                
     -Extends  Transfer  on  Death   (TOD)  deed  to  boats,                                                                    
     vehicles,   and  certain   manufactured  homes   titled                                                                    
     through the DMV                                                                                                            
          -Owner  can   revoke  TOD   deed  or   change  the                                                                    
          beneficiary  at  anytime  without  notice  to  the                                                                    
          beneficiary                                                                                                           
          -No more than two beneficiaries                                                                                       
          -Designated   beneficiary   can   disclaim   their                                                                    
          interest                                                                                                              
          -Beneficiary  of a  TOD deed  would be  subject to                                                                    
          conveyances,       encumbrances,      assignments,                                                                    
          contracts,  liens, and  other  interests to  which                                                                    
          the boat or vehicle                                                                                                   
                                                                                                                                
     -Establishes the procedure to obtain a TOD deed                                                                            
          -Owner will  fill out an application  and submit a                                                                    
          fee to the Department of Administration                                                                               
          -These fees will serve to fund the program                                                                            
                                                                                                                                
9:27:40 AM                                                                                                                    
                                                                                                                                
Ms. Colquhoun highlighted slide 4, "Benefits of SB 104                                                                          
                                                                                                                                
     -Lowers the cost of probate for Alaskans                                                                                   
          -On average, it costs $14,225 to settle an estate                                                                     
     -2021 Estate Planning  Report from SeniorLiving.org and                                                                    
     Atticus                                                                                                                    
     -Reduces probate case load                                                                                                 
     -Enabling timely maintenance  and preservation of boats                                                                    
     and vehicles                                                                                                               
     -In the  instance of a family  fishing business, allows                                                                    
     the business to continue uninterrupted                                                                                     
     -Allows Alaskans without ready access to law services                                                                      
     estate planning tools                                                                                                      
     -Rural Alaska                                                                                                              
    -Expedites beneficiary access to boats and vehicles                                                                         
                                                                                                                                
9:29:57 AM                                                                                                                    
                                                                                                                                
ABIGAIL  O'CONNOR,  CHIEF   FIDUCIARY  OFFICER,  PEAK  TRUST                                                                    
COMPANY,  HOMER (via  teleconference), spoke  in support  of                                                                    
the legislation. She shared that  she was an estate planning                                                                    
attorney in  Alaska. She remarked  that the ability  to meet                                                                    
the  beneficiary  for a  vehicle  or  boat could  allow  for                                                                    
another tool to meet a person's estate planning goal.                                                                           
                                                                                                                                
9:31:49 AM                                                                                                                    
                                                                                                                                
LINDA HULBERT, SELF, FAIRBANKS  (via teleconference), was in                                                                    
support of  the bill.  She shared  that she  had experiences                                                                    
where the bill  would have been helpful  to individuals. She                                                                    
remarked  that  the  bill dealt  with  valuable  items  that                                                                    
allowed for inclusion in the estate.                                                                                            
                                                                                                                                
Co-Chair Hoffman OPENED and CLOSED public testimony.                                                                            
                                                                                                                                
Senator Kiehl discussed the fiscal note.                                                                                        
                                                                                                                                
Senator Kawasaki thanked the committee.                                                                                         
                                                                                                                                
9:35:39 AM                                                                                                                    
                                                                                                                                
Senator Kaufman  felt that the  fiscal note required  a high                                                                    
number of hours to incorporate the changes.                                                                                     
                                                                                                                                
SB  104  was  HEARD  and   HELD  in  committee  for  further                                                                    
consideration.