02/22/2024 01:30 PM Senate COMMUNITY & REGIONAL AFFAIRS
| Audio | Topic |
|---|---|
| Start | |
| SB236 | |
| SCR8 | |
| SB179 | |
| Adjourn |
+ teleconferenced
= bill was previously heard/scheduled
| *+ | SB 236 | TELECONFERENCED | |
| += | SB 161 | TELECONFERENCED | |
| *+ | SCR 8 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | SB 179 | TELECONFERENCED | |
ALASKA STATE LEGISLATURE
SENATE COMMUNITY AND REGIONAL AFFAIRS STANDING COMMITTEE
February 22, 2024
1:31 p.m.
MEMBERS PRESENT
Senator Forrest Dunbar, Chair
Senator Elvi Gray-Jackson
Senator Jesse Bjorkman
Senator Cathy Giessel
MEMBERS ABSENT
Senator Donald Olson, Vice Chair
COMMITTEE CALENDAR
SENATE BILL NO. 236
"An Act relating to grants to disaster victims."
- HEARD & HELD
SENATE CONCURRENT RESOLUTION NO. 8
Recognizing and commending the National Conference of State
Legislatures on its 50th anniversary in 2025.
- HEARD & HELD
SENATE BILL NO. 179
"An Act prohibiting municipalities from levying a tax on the
transfer of real property; prohibiting the state from levying a
tax on the transfer of real property; and relating to municipal
taxation of mobile telecommunications services."
- MOVED CSSB 179(CRA) OUT OF COMMITTEE
SENATE BILL NO. 161
"An Act relating to municipal taxation of farm use land; and
providing for an effective date."
- REMOVED FROM AGENDA
PREVIOUS COMMITTEE ACTION
BILL: SB 236
SHORT TITLE: GRANTS TO DISASTER VICTIMS
SPONSOR(s): SENATOR(s) KIEHL
02/15/24 (S) READ THE FIRST TIME - REFERRALS
02/15/24 (S) CRA, FIN
02/22/24 (S) CRA AT 1:30 PM BELTZ 105 (TSBldg)
BILL: SCR 8
SHORT TITLE: RECOGNIZING NCSL ON 50TH ANNIVERSARY
SPONSOR(s): SENATOR(s) STEVENS
01/16/24 (S) READ THE FIRST TIME - REFERRALS
01/16/24 (S) CRA
02/22/24 (S) CRA AT 1:30 PM BELTZ 105 (TSBldg)
BILL: SB 179
SHORT TITLE: PROPERTY TRANSFER TAX; MUNI TELECOMM TAX
SPONSOR(s): SENATOR(s) BJORKMAN
01/16/24 (S) PREFILE RELEASED 1/12/24
01/16/24 (S) READ THE FIRST TIME - REFERRALS
01/16/24 (S) CRA
02/15/24 (S) CRA AT 1:30 PM BELTZ 105 (TSBldg)
02/15/24 (S) Heard & Held
02/15/24 (S) MINUTE(CRA)
02/22/24 (S) CRA AT 1:30 PM BELTZ 105 (TSBldg)
WITNESS REGISTER
SENATOR JESSE KIEHL, District B
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Sponsor of SB 236.
ELLA ADKISON, Staff
Senator Jesse Kiehl
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Presented the sectional analysis for SB 236
on behalf of the sponsor.
WADE BRYSON, Assembly Member
City and Borough of Juneau
Juneau, Alaska
POSITION STATEMENT: Gave invited testimony on behalf of the
Juneau Assembly in support of SB 236.
SYLVIA HEINZ, representing self
Haines, Alaska
POSITION STATEMENT: Gave invited testimony in support of SB 236.
STEVE BRADFORD, Vice-President
Riverside Condo Association
Juneau, Alaska
POSITION STATEMENT: Gave invited testimony in support of SB 236.
TIM LAMKIN, Staff
Senator Gary Stevens
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Introduced SCR 8 on behalf of the sponsor.
SYDNE ENLUND, State Outreach Manager
National Conference of State Legislatures (NCSL)
Denver, Colorado
POSITION STATEMENT: Gave invited testimony on SCR 8.
KONRAD JACKSON, Staff
Senator Jesse Bjorkman
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Explained a Legal Services memo on SB 179
dated February 19, 2024, written by Mr. Dunmire.
ACTION NARRATIVE
1:31:10 PM
CHAIR FORREST DUNBAR called the Senate Community and Regional
Affairs Standing Committee meeting to order at 1:31 p.m. Present
at the call to order were Senators Giessel, Gray-Jackson,
Bjorkman, and Chair Dunbar. [Due to technical difficulty,
approximately 10 seconds of the recorded minutes were lost at
gavel-in. The Senate Records Office log notes were used to
complete the record.]
SB 236-GRANTS TO DISASTER VICTIMS
1:32:16 PM
CHAIR DUNBAR announced the consideration of SENATE BILL NO. 236
"An Act relating to grants to disaster victims."
He said this is the introductory hearing of SB 236. He invited
the bill sponsor to put himself on the record and begin his
testimony.
1:32:31 PM
SENATOR JESSE KIEHL, District B, Alaska State Legislature,
Juneau, Alaska, sponsor of SB 236, paraphrased the following
sponsor statement:
[Original punctuation provided.]
Living in Alaska is a privilege, but one that comes
with costs. Chief among them is the risk of natural
disasters. These disasters can upend lives, and be
incredibly destructive.
Many of these tragic events do not rise to the level
of a federal disaster declared by the President. SB
236 fixes two issues with aid in those state-only
disasters. Under current law, Alaskans who survive a
disaster can receive a mere $21,000half of the
federal relief numberfrom the state to cover the
costs of the damage. For many, that doesn't even come
close to covering the need. Not only that, but
Alaskans who are a part of a condo association can't
use that relief to pay off any condo-wide damage. So,
if the condo's foundation was damaged, you can't use
state help to pay for itbut you can replace
furniture. This is a real problem for the citizens of
our state.
SB 236 increases the state relief amount to the
greater of $50,000 or half the federal relief
allowable. It also gives Alaskans who own a condo the
flexibility to pay off their share of condo-wide
expenses with that money. It's the least we can do for
those striving to recover from a disaster.
1:33:33 PM
SENATOR KIEHL said in recent years, constituents and Alaskans
statewide have found gaps in the State's response to state-level
disasters. SB 236 proposes to close two of these gaps by:
Increasing the Amount of State Disaster Relief
• The amount of assistance available from the disaster relief
fund for a state-level disaster is currently up to half the
amount that FEMA will pay, about $21,000. He said that does
not fix much.
• Senate Bill 236 addresses this by setting the disaster
assistance available at the greater of $50,000 or half of the
federal disaster assistance level. State disaster assistance
is based on a person's actual losses, not automatically paying
$50,000.
Common Expense Liability for Condo Homeowners Associations
• The current law does not allow a homeowner in a condo
association to cover disaster-caused damages for which the
homeowners association bills them. The old saying is that you
own it from the paint in, while the roof and foundation are
owned by, and the obligation of, the homeowners association.
If the disaster damages the roof or foundation and the
homeowners association bills each unit owner, it doesn't meet
the current law for state disaster assistance eligibility. SB
236 fixes this by allowing condo owners to use disaster
assistance to pay such bills.
1:36:15 PM
SENATOR KIEHL said that although the legislature could spend a
lot of time and money addressing every possibility of disaster
damage, that is not the case with this bill. SB 236 plugs one
glaring hole and raises the amount of money provided to fellow
Alaskans to get them back on their feet.
1:36:51 PM
SENATOR GRAY-JACKSON asked what the federal disaster amount is.
SENATOR KIEHL replied that it is approximately $42,000.
1:37:20 PM
ELLA ADKISON, Staff, Senator Jesse Kiehl, Alaska State
Legislature, Juneau, Alaska, presented the following sectional
analysis for SB 236 on behalf of the sponsor:
[Original punctuation provided.]
SB 236 ver. U: Disaster Assistance
Sectional Analysis
Sec. 1: Repeals and reenacts a previously existing
section in statute without substantive changes so the
format is consistent with later sections.
Sec. 2: Increases the maximum amount of state aid to
the greater of $50,000 or half of the federal maximum,
currently, the maximum is approximately $21,000.
Allows a grantee who is a member of a condo
association to use state aid to pay for their share of
condo-wide damage expenses.
1:38:24 PM
CHAIR DUNBAR announced invited testimony on SB 236.
1:38:29 PM
WADE BRYSON, Assembly Member, City and Borough of Juneau,
Juneau, Alaska, gave invited testimony on behalf of the Mayor
and the Juneau Assembly in support of SB 236. He described the
flood damage caused by a jokulhlaup at the Mendenhall Glacier
last August. Water rose within a foot of cresting the Mendenhall
Back Loop Bridge; the bridge is usually 20 feet above the river.
He joined Capital City Fire and Rescue and U.S. Senator
Murkowski in the observation of land formation changes after the
flood. The river straightened where there were once "S" turns,
chunks of mountain hundreds of yards long were gone, and large
rocks were displaced. He attended a public neighborhood meeting.
He reported that residents were scared and panicked. As chair of
Public Works and Facilities, he heard public testimony from the
community. He said that residents felt the city was unsupportive
and expected more aid.
MR. BRYSON said that he felt helpless as a politician. He said
the only promise he could make was that there were no promises.
The situation was beyond the city's control and relied on the
State for relief. Disasters create panic because people do not
know what to do next, how quickly aid will come, or if insurance
will cover damages. In this case, earth movement disqualified
insurance claims. He said an increase in State assistance would
provide relief during trying times. He emphasized that most
people's wealth is in their homes. He stated that retirees who
lost their homes were the most affected and wondered how they
would start over. Increasing the assistance cap to $50,000
offers more surety to citizens experiencing one of the worst
moments of their lives where they had no home to return to. He
said that no district in Alaska is immune from natural
disasters.
MR. BRYSON expressed appreciation to the committee for the
opportunity to share his experience and speak on behalf of his
community.
1:43:02 PM
SYLVIA HEINZ, representing self, Haines, Alaska, gave invited
testimony in support of SB 236, stating she resides in Haines
and Juneau. She said that she worked with the Long Term Recovery
Group in Haines. It disbanded after that disaster work
concluded. She spoke from her professional experience as the
Tribal Emergency Manager for the Chilkoot Indian Association,
the Reconstruction Project Manager, and the Deputy Administrator
for Alaska Team Rubicon. She said she is honored to have
responded to disasters statewide and in the Lower 48.
MS. HEINZ encouraged support of SB 236 for the following
reasons:
• Alaskans need it, and the current funding is inadequate.
Disasters are increasing in frequency and intensity, and the
likelihood of experiencing one is growing.
• The economic benefits. This funding creates jobs, and much of
the money goes toward contractors and reconstruction efforts.
• Trust. She said Alaska has one of the country's best Homeland
Security and Emergency Management divisions. It and the
Individual Assistance (IA) program effectively manage disaster
funds.
1:45:05 PM
MS. HEINZ recounted the 2020 disaster in Haines, where heavy
rain and snow led to landslides, fatalities, and significant
damage to 250 households. About 34 percent of the community
reported damage. She later assessed another 140 households that
needed assistance. Communities cannot recover by themselves with
those numbers. She said that she could share story after story
of the community's reliance on state-managed funding for
recovery. Without funding, some people could not get back into
their homes and the State would still be supporting them through
tax dollars and public assistance. She reiterated that Alaskans
need this bill.
1:47:00 PM
STEVE BRADFORD, Vice-President, Riverside Condo Association,
Juneau, Alaska, gave invited testimony in support of SB 236. He
described the 2023 flood damage and the subsequent repair costs
as follows:
• The association lost one hundred feet of front yard out to the
river.
• One hundred cubic yards of soil was lost beneath the most
damaged building, which almost collapsed and was nearly lost
to the river.
• The association is in the process of repairing that building.
• The total repair costs are expected to be about $1.09 million.
• State law does not allow financial grants to condo owners, so
condo unit owners must bear the cost of repairs. Only single-
family residences are entitled up to the $21,000 in State
disaster relief.
• Each condo owner has been assessed $21,062 for the smaller
units and $26,882 for the larger units.
MR. BRADFORD emphasized that, in many cases, condos are starter
homes. Many condo owners could barely afford to get into the
condo and pay the monthly condo fees, making these assessments
especially burdensome. He noted that the internal costs for
sheetrock, tile, and flooring damage were in addition to the
condo assessments. Riverside condo owners wholeheartedly support
this bill, which would place them on the same emergency benefit
eligibility level as single-family homeowners.
1:49:26 PM
CHAIR DUNBAR asked who insures the Riverside Condo Association
and about the insurer's justification for refusing to pay for
the damage.
MR. BRADFORD replied that the insurer is State Farm. He said the
insurance policy states, "In Alaska, Florida, and several other
states, earth movement negates the insurance." He explained that
the insurer does not pay for any damage due to earth movement.
There was no water on residents' floors, so there was no actual
flooding. However, the river whisked away the soil beneath the
building and under the foundation. The policy was exactly right.
He said that it would not have mattered if the association had
flood insurance or not if there was earth movement, the
insurance would not pay.
1:50:44 PM
CHAIR DUNBAR commented that it is unfortunate. He surmised that
there are probably a lot of people who think they are covered
but are not. It is frightening to think and a little shameful.
He thanked Mr. Bradford for his testimony.
1:51:15 PM
CHAIR DUNBAR opened public testimony on SB 236; finding none, he
closed public testimony.
CHAIR DUNBAR held SB 236 in committee.
SCR 8-RECOGNIZING NCSL ON 50TH ANNIVERSARY
1:51:57 PM
CHAIR DUNBAR announced the consideration of SENATE CONCURRENT
RESOLUTION NO. 8 Recognizing and commending the National
Conference of State Legislatures on its 50th anniversary in
2025.
He said this is the introductory hearing of SCR 8. He invited
Mr. Lamkin to put himself on the record and introduce the
resolution.
1:52:39 PM
TIM LAMKIN, Staff, Senator Gary Stevens, Alaska State
Legislature, Juneau, Alaska, introduced SCR 8 on behalf of the
sponsor, stating NCSL is the acronym for the National Conference
of State Legislatures. He presented the highlights of the
following sponsor statement:
[Original punctuation provided.]
SENATE CONCURRENT RESOLUTION 8
Honoring NCSL's 50th Anniversary
SPONSOR STATEMENT
In 1974, three organizations represented the interests
of legislators and staff, but their influence was
diluted. So seven inventive legislative leaders and
two staffers got together and envisioned a single
national organization to support, defend and
strengthen state legislatures. The three organizations
dissolved, and on Jan. 1, 1975, the National
Conference of State Legislatures (NCSL) was born.
NCSL represents America's legislatures, in each state,
territory and commonwealth of the United States. Its
mission is to advance the effectiveness, independence
and integrity of legislatures and to foster interstate
cooperation and facilitate the exchange of information
among legislatures.
NCSL also represents legislatures in dealing with the
federal government, especially in support of state
sovereignty and state flexibility and protection from
unfunded federal mandates and unwarranted federal
preemption. The conference promotes cooperation
between state legislatures in the U.S. and those in
other countries.
NCSL is committed to improving the operations and
management of state legislatures, and the
effectiveness of legislators and legislative staff,
encouraging the practice of high standards of conduct
by legislators and legislative staff.
Every state legislator and staffer is a member of the
organization and has complete access to the latest in
bipartisan policy research, training resources and
technical assistance tailored specifically to their
needs. NCSL offers members a variety of opportunities
to connect and collaborate, notably at its signature
event, the NCSL Legislative Summit, occurring this
year August 5-7, 2024 in Louisville, KY.
May the Alaska Legislature please join in recognizing
the NCSL for its 50 years of outstanding service.
1:54:18 PM
CHAIR DUNBAR took up invited testimony on SCR 8 and asked Ms.
Enlund to put herself on the record and begin her testimony.
1:54:29 PM
SYDNE ENLUND, State Outreach Manager, National Conference of
State Legislatures (NCSL), Denver, Colorado, gave invited
testimony on SCR 8. She introduced herself and provided
background on NCSL. She explained that NCSL represents
legislatures in the states, territories, and commonwealths of
the United States. Its mission is to advance the effectiveness,
independence, and integrity of legislatures, foster interstate
cooperation, and facilitate information exchange among
legislatures.
MS. ENLUND said NCSL is excited to celebrate its 50th
Anniversary. The celebratory kickoff will occur at the 2024
Legislative Summit in Louisville, Kentucky, and conclude at the
2025 Legislative Summit in Boston, Massachusetts. She said that
as NCSL celebrates 50 years of service, it recommits to
supporting state legislatures in strengthening representative
democracy, modeling civility, and embracing innovation.
1:55:37 PM
MS. ENLUND said that every state legislator and legislative
staffer is a member of NCSL. She emphasized the importance of
state legislatures as models of civility and problem-solving.
State legislatures are America's laboratories of democracy. She
praised legislative staff for their nonpartisan guidance and
institutional knowledge. They are vital to ensuring the
resilience of democratic ideals.
MS. ENLUND said there are several ways to promote the 50th
Anniversary. She encouraged legislators to use NCSL as a policy
research resource, share successes in finding common ground,
connect with other legislators, and highlight the benefits of
NCSL involvement. She mentioned NCSL's podcast, "Across the
Aisle," which tells stories of bipartisan cooperation and
invited legislators to share their experiences.
1:58:18 PM
CHAIR DUNBAR opened public testimony on SCR 8; finding none, he
closed public testimony.
CHAIR DUNBAR held SCR 8 in committee.
1:58:43 PM
At ease.
SB 179-PROPERTY TRANSFER TAX; MUNI TELECOMM TAX
2:02:21 PM
CHAIR DUNBAR reconvened the meeting and announced the
consideration of SENATE BILL NO. 179 "An Act prohibiting
municipalities from levying a tax on the transfer of real
property; prohibiting the state from levying a tax on the
transfer of real property; and relating to municipal taxation of
mobile telecommunications services."
This second meeting on SB 179 is to hear a recap of the bill,
review a Legal Services memo, and take up an amendment. He
invited Mr. Jackson to put himself on the record and explain the
memo.
2:02:58 PM
KONRAD JACKSON, Staff, Senator Jesse Bjorkman, Alaska State
Legislature, Juneau, Alaska, explained a Legal Services memo
dated February 19, 2024, written by Mr. Dunmire. It explains the
session law repealer found in SB 179. He drew attention to the
top of page 2, the crux of the memo, which reads:
If that condition is metif the federal law is struck down by a
courtthen AS 29.45.750 will be automatically repealed.
MR. JACKSON said that since this section is referred to in the
bill, it points to a section of the statute that would no longer
exist. He said the repealer in Section 8 is a clarifying
amendment inserted by Legal Services.
2:04:05 PM
CHAIR DUNBAR agreed that the repealer in Section 8 does not seem
to make a substantive change.
2:04:40 PM
SENATOR BJORKMAN moved to adopt conceptual Amendment 1:
CONCEPTUAL AMENDMENT 1
OFFERED IN THE SENATE BY SENATOR BJORKMAN
TO: SB 179
Page 2, following line 19:
Insert "For the purposes of this chapter,
transfer has the meaning found in AS 34.70.200(4)."
SENATOR BJORKMAN further moved that the committee grant
Legislative Legal authorization to make technical and conforming
changes as needed.
CHAIR DUNBAR objected for purposes of discussion.
2:04:55 PM
SENATOR BJORKMAN explained that the definition of "transfer" is
found in statutes, and conceptual Amendment 1 adds that
statutory cite to the bill. The definition would provide clarity
to local sub-political units, such as municipalities.
2:05:26 PM
CHAIR DUNBAR confirmed that committee members had the definition
before them, then withdrew his objection. Finding no further
objection, conceptual Amendment 1 was adopted.
CHAIR DUNBAR invited Senator Bjorkman to make closing remarks.
2:06:14 PM
SENATOR BJORKMAN expressed appreciation to the chair for hearing
SB 179. He said he was happy to clarify the session law repealer
and bring forward legislation that proposes to relieve property
owners from the potential burden of onerous transfer taxes.
2:06:46 PM
CHAIR DUNBAR solicited the will of the committee.
2:06:50 PM
SENATOR GIESSEL moved to report SB 179, work order 33-LS1093\A,
as amended, from committee with individual recommendations and
attached fiscal note(s).
2:07:14 PM
CHAIR DUNBAR found no objection and CSSB 179(CRA) was reported
from the Senate Community and Regional Affairs Standing
Committee.
2:07:40 PM
There being no further business to come before the committee,
Chair Dunbar adjourned the Senate Community and Regional Affairs
Standing Committee meeting at 2:07 p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| Haines group helps neighbors find resources for disaster recovery.pdf |
SCRA 2/22/2024 1:30:00 PM SFIN 3/12/2024 9:00:00 AM |
SB 236 |
| Juneau condo owners take on $1M in flood repairs without state or federal aid - Alaska Public Media.pdf |
SCRA 2/22/2024 1:30:00 PM SFIN 3/12/2024 9:00:00 AM |
SB 236 |
| Prince of Wales added to state disaster declaration for Wrangell landslide - Alaska Public Media.pdf |
SCRA 2/22/2024 1:30:00 PM SFIN 3/12/2024 9:00:00 AM |
SB 236 |
| SB 236 Sectional Analysis.pdf |
SCRA 2/22/2024 1:30:00 PM SFIN 3/12/2024 9:00:00 AM |
SB 236 |
| SB 236 Sponsor Statement.pdf |
SCRA 2/22/2024 1:30:00 PM SFIN 3/12/2024 9:00:00 AM |
SB 236 |
| SB 236 Disaster Assistance.pdf |
SCRA 2/22/2024 1:30:00 PM |
SB 236 |
| SCR 8 Sponsor Statement 2.14.24.pdf |
SCRA 2/22/2024 1:30:00 PM |
SCR 8 |
| SB179 Fiscal Note-DOR-TAX 02.20.24.pdf |
SCRA 2/22/2024 1:30:00 PM |
SB 179 |
| SCR 8 Text version A.pdf |
SCRA 2/22/2024 1:30:00 PM |
SCR 8 |
| SB 179 Session Law Repealer Memo.pdf |
SCRA 2/22/2024 1:30:00 PM |
SB 179 |
| SB 236 Fiscal Note.pdf |
SCRA 2/22/2024 1:30:00 PM |
SB 236 |
| SB179 Fiscal Note-DOR-TAX 02.20.24.pdf |
SCRA 2/22/2024 1:30:00 PM |
SB 179 |
| SCR8 Fiscal Note LEG-SESS 2.21.24.pdf |
SCRA 2/22/2024 1:30:00 PM |
SCR 8 |