Legislature(1995 - 1996)
04/16/1996 02:20 PM House FIN
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SENATE BILL 69
"An Act relating to hazardous chemicals, hazardous
materials, and hazardous waste."
ANNETTE KREITZER, STAFF, SENATOR LOREN LEMAN, spoke in
support of SB 69. She explained that as we downsize
government, and make it more "user friendly", a need to
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assess the efficiency becomes more apparent.
Currently, businesses in Alaska must report virtually the
same information about hazardous chemicals, materials and
wastes in four different formats to four different entities.
The proposed legislation would eliminate three formats and
one entity.
The bill was drafted with input from industry, fire
departments, Department of Environmental Conservation (DEC)
and the Department of Public Safety (DPS), Division of Fire
Prevention. The information reported would be streamlined
to one form which would satisfy federal, state and local
reporting requirements.
Ms. Kreitzer continued, providing the Committee a sectional
analysis of the legislation. Section 1 was an amendment
added in the House Resources Committee and would add an
immunity to Title 9, protecting the State from strict
liability for oil spills or other environmental releases at
the REAA schools. Without the change, the State and school
districts could each be liable for 100% of damages claimed
from environmental problems on school sites. The amendment
was added as part of the State's response to the Toksook Bay
lawsuit.
Section 2 & 3 deletes reference to AS 18.70.310 of the state
fire marshals placarding program. A placarding program list
which hazardous substances or chemicals are in the vicinity
and how one should respond in fire suppression. The program
has not been effective nor well implemented.
Ms. Kreitzer commented that Section 4, Subsection (a) would
make the State Emergency Response Commission the agency to
approve a form to be used for the reporting of placarding
information under a municipal placarding program. The
action would ensure that if the form needs to be changed,
the commission could coordinate with all agencies that
receive such reports.
Section 5, Subsection (c) refers to the existing municipal
placarding program. Currently under State or federal law,
either a municipality or the State Emergency Response
Commission (SERC) may add substances to those already
required to be reported. This section ensures a public
process for adding or removing substances.
MARIE SANSONE, ASSISTANT ATTORNEY GENERAL, CIVIL DIVISION,
DEPARTMENT OF LAW, commented that the Attorney General's
Office was supportive of the proposed legislation.
Ms. Kreitzer spoke to Amendment #1 which would place a time-
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line on when the form should be developed, which would
provide date certain times for the public.
Representative Mulder MOVED to adopt Amendment #1, 9-
LS0360\K.1, Lauterbach, 2/06/96. There being NO OBJECTION,
it was adopted.
CHESTER WEGNER, (TESTIFIED VIA TELECONFERENCE), ASSISTANT
STATE FIRE MARSHAL, ANCHORAGE, advised that the State Fire
Marshal's Office was in support of the legislation. He
stated that the current program was difficult to implement.
CHRIS KENNEDY, (TESTIFIED VIA TELECONFERENCE), ASSISTANT
ATTORNEY GENERAL, CIVIL DIVISION, ANCHORAGE, offered to
answer questions on Section 1 of the legislation.
CRYSTAL SMITH, LEGAL ADMINISTRATOR, DEPARTMENT OF LAW,
provided an overview of Section 1. Section 1 represents one
aspect of the Administration's response to the States
exposure to the major liability which was revealed in the
Toksook Bay lawsuit. That lawsuit was brought in response
to a fuel spill at an REAA school which occurred in 1990.
The State received that school from the Bureau of Indian
Affairs (BIA) just a year prior to the incident.
The result of the lawsuit has been addressed by a consent
judgement. A settlement against the State was made and the
REAA's are now paying a portion of that settlement. As a
result, the State's liability for damages was revealed.
Without the change included in Section 1, the State and
school district could be held 100% liable for any damages at
the school sites. The exemption from liability is
"narrowly" drawn and would only apply for liability for
damages.
Ms. Smith continued, Section 14 includes the transitional
applicability language which has to do with Section 1
exemptions. Representative Parnell asked if under current
law, the State was exempt from strict liability. Mr.
Kennedy advised that the legislation would change liability
for both the State and the REAA.
Currently, both the State and the REAA are strictly liable
under AS 46.03.822. Representative Parnell asked if there
would be any other transfers by the federal government
similar to the REAA's that the State currently bears
exposure for which are not being addressed in the proposed
legislation. Mr. Kennedy suggested there probably were,
although in SB 69, a specific problem was addressed at the
request of the Senate leadership.
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FRANK JOHN DILLON, (TESTIFIED VIA TELECONFERENCE), EXECUTIVE
VICE PRESIDENT, ALASKA TRUCKING ASSOCIATION, ANCHORAGE,
commented that the association which he represents handles
the majority of the hazardous materials in the State.
Currently, that group is stringently regulated by the
federal government. Mr. Dillon requested that the
legislation not move beyond federal requirements and
regulations.
At this time, tremendous amounts of hazardous waste and
materials are moved without incident. The reason this can
be done, is that there currently exists a body of "good"
safety regulations and required enforcement of those rules.
He requested that the legislation not move beyond what is
reasonable or what is contained in federal regulations.
(Tape Change, HFC 96-123, Side 2).
Representative Kelly asked if "hazardous waste" as defined
in AS 46.03.900 and the Environmental Statute 40 CFR 261
were different. Ms. Kreitzer replied that the AS 46.03.900
was more encompassing than the other one referenced.
Ms. Sansone added that the hazardous waste definition which
is in law in Title 46 is broad and written in qualitative
terms. However, in implementing the State Statute, DEC
adopted the Environmental Protection Agency (EPA)
identification of hazardous waste sets in regulation,
whereas, the State is using the federal standard list of
hazardous waste. There is a provision in State law which
allows the commissioner of DEC to find other ways in which
something may be "hazardous". She added, the DEC
commissioner has never carried through and named an
additional substance.
The definition of "hazardous materials" references another
section in the federal regulations. Those regulations
designate and identifies hazardous materials for the
purposes of transportation laws. Regarding those
regulations, the State and local laws are pre-empted by
federal regulations which are more detailed.
Representative Kelly MOVED a conceptual amendment to Section
11, Subsection (A) & (B), removing (B), which he thought
would avoid "non-achievable" standards currently existing in
regulation. Representative Brown asked which chemicals
would be covered in removal of Subsection (B). There was no
representative from DEC who could explain that exemption.
Ms. Kreitzer asserted that the Senate Resources Committee
made it explicit that it was not their intent to include
anything more stringent then already existed in federal
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regulations. She thought that the legislation was a step
toward streamlining all the current reportings required.
Removing portions of the legislation could affect the entire
bill. Representative Kelly voiced concern that the language
was "too broad" and removal would make the State standard
less stringent.
Co-Chair Hanley pointed out that the intent was to combine
four different requirements into one. He explained that if
information was required to be reported "somewhere" in
statute, and then removed from the form, someone might not
be in compliance by not reporting on that one form.
Representative Kelly WITHDREW the MOTION to the amendment.
There being NO OBJECTION, it was withdrawn.
Representative Brown questioned Section 5, Page 3, Line 20,
the change from 500 pounds to 10 thousand pounds for
reporting of a hazardous chemical. Ms. Kreitzer stated that
change was consistent with federal law.
Representative Therriault asked why there was a zero fiscal
note for DEC. Ms. Kreitzer responded, currently, DEC has
been delegated by the State Emergency Response Commission
(SERC) as the agency which receives "community right to
know" reports. That motion has not been rescinded to date.
DEC currently makes the report available and the Senate
assumed that DEC could continue to provide that obligation.
She emphasized that this is not a new requirement.
Representative Martin MOVED to report HCS CS SB 69 (FIN) out
of Committee with individual recommendations. There being
NO OBJECTION, it was so ordered.
HCS CS SB 69 (FIN) was reported out of Committee with a "do
pass" recommendation and with a fiscal note by the
Department of Public Safety dated 2/07/96 and zero fiscal
notes by the Department of Military & Veterans Affairs dated
2/07/96 and the Senate Finance Committee dated 2/07/96.
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