04/23/1996 08:45 AM Senate FIN

                                                                               
  SENATE BILL NO. 283                                                          
                                                                               
       An Act relating  to filing, recording, and  indexing of                 
       documents  with  or  by   the  Department  of   Natural                 
       Resources;   repealing   certain   filing  requirements                 
       concerning property involving  nonresident aliens;  and                 
       providing for an effective date.                                        
                                                                               
  Co-chairman  Frank directed  that SB  283 be brought  on for                 
  discussion.  NICO BUS, Acting  Director, Division of Support                 
  Services, Dept.  of Natural Resources, came before committee                 
  accompanied by  SHARON  YOUNG, State  Recorder, Division  of                 
  Support  Services,  Dept.  of Natural  Resources.    Mr. Bus                 
  explained that the  bill represents an effort  to streamline                 
  department  operations.    Due  to  budget  reductions,  the                 
  department  has  explored means  by  which it  might improve                 
  processes.  While much may be done internally to re-engineer                 
  the  work flow,  certain statutes  must be modified  to gain                 
  efficiencies.   The department  worked with  title companies                 
  and banks to produce the proposed legislation which will:                    
                                                                               
       1.   Streamline the recording process.                                  
                                                                               
                                                                               
       2.   Reduce  requirements  documents  must  meet to  be                 
  recorded.                                                                    
       3.   Allow  a   broader  number  of  documents   to  be                 
  recorded.                                                                    
       4.   Reduce  the  likelihood  that  documents  will  be                 
  rejected.                                                                    
       5.   Make  basic  recording  requirements specific  and                 
  easy                                                                         
                 to understand.                                                
                                                                               
  With the  foregoing changes,  the division  believes it  can                 
  process more work and make recording easier  for the public.                 
                                                                               
                                                                               
  Sharon  Young  advised  that  Section  1 relates  to  mining                 
  documents.  It streamlines the process  and changes the date                 
  by which mining records are recorded.  The  principal thrust                 
  of AS 40.170.030  is contained within Section 3,  which sets                 
  forth basic recording  criteria.  The  proposed bill adds  a                 
  few sections to existing criteria, but its major function is                 
  to resolve some of  the ambiguities in current statutes.   A                 
  further provision  of the bill eliminates the classification                 
  statute.     That  statute  identifies   specific  documents                 
  eligible for recording.  It has been difficult to administer                 
  because  while 59  documents  are identified,  "hundreds and                 
  perhaps  thousands of  different types  of documents"  reach                 
  recording offices each year.  Provisions within SB 283 would                 
  do away with the classification and  broaden law so that any                 
  document is  recordable if  specific recording criteria  are                 
  met.  It is estimated that 30 percent of all  documents that                 
  are now  rejected would be recordable.   Other provisions of                 
  the bill  are housekeeping  and involve  minor word  changes                 
  that  will  clarify  the  recording   process  in  terms  of                 
  recording criteria and Uniform Commercial Code filings.                      
                                                                               
  Brief discussion followed  regarding signature  requirements                 
  for documents.   Ms.  Young advised  that the proposed  bill                 
  identifies documents that require acknowledgements and would                 
  limit acknowledgements to those documents.                                   
                                                                               
  Senator  Sharp MOVED  that SB  283 pass from  committee with                 
  individual  recommendations  and accompanying  fiscal notes.                 
  No objection having been raised, SB  283 was REPORTED OUT of                 
  committee with a zero fiscal note  from the Dept. of Natural                 
  Resources.   Co-chairman Frank  signed the  committee report                 
  with  a  "do  pass"  recommendation.   All  other  committee                 
  members signed "no recommendation."