Legislature(1999 - 2000)

02/23/2000 03:20 PM House L&C

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
SB 229-REGULATORY COMM. OF ALASKA/AOGCC                                                                                       
                                                                                                                                
CHAIRMAN ROKEBERG  announced the first order of  business would be                                                              
CS  FOR  SENATE  BILL  NO.  229(FIN),  "An  Act  relating  to  the                                                              
employment  of hearing  examiners, arbitrators,  and mediators  by                                                              
the Regulatory Commission of Alaska;  repealing a requirement that                                                              
the  principal  office of  the  Alaska  Oil and  Gas  Conservation                                                              
Commission move  to the same location  as the principal  office of                                                              
the Regulatory  Commission of Alaska;  relating to the  sharing of                                                              
record-keeping   facilities  and   clerical  staff   by  the   two                                                              
commissions; and providing for an effective date."                                                                              
                                                                                                                                
Number 0104                                                                                                                     
                                                                                                                                
SENATOR  DRUE PEARCE, Alaska  State Legislature,  came forward  to                                                              
testify as  the sponsor of CSSB 229(FIN).   She said SB  229 makes                                                              
technical   changes  to   last  year's   SB  133,  regarding   the                                                              
abolishment of  the APUC [Alaska Public Utilities  Commission] and                                                              
the establishment  of the Regulatory  Commission of  Alaska [RCA].                                                              
Senator Pearce stated:                                                                                                          
                                                                                                                                
     Mr. Chairman, let me say that  from all indications that                                                                   
     I've  gotten  from all  of  the industries  involved  in                                                                   
     regulatory  issues in Alaska,  the changes that  we made                                                                   
     last year  have been well received  by the public.   The                                                                   
     new commission,  as they  came in  the door, have  found                                                                   
     nearly 800 open  dockets and requests for  action by the                                                                   
     old APUC  that had not been  dealt with.  So,  they came                                                                   
     in the  door with 800 things  on their plate,  and there                                                                   
     have been another 90 to 100  added as they've been doing                                                                   
     triage with  that huge number  of open items.   They are                                                                   
     making good progress.                                                                                                      
                                                                                                                                
Number 0220                                                                                                                     
                                                                                                                                
     The  three changes  in SB  133,  two of  them are  sheer                                                                   
     language  questions  and  the   third  one  is  actually                                                                   
     repealing  a provision contained  in the original  bill.                                                                   
     We had obligated the Regulatory  Commission of Alaska to                                                                   
     co-locate  with  the  Alaska Oil  and  Gas  Conservation                                                                   
     Commission [AOGCC], hoping two  things would happen.  We                                                                   
     thought  we  could  achieve   some  cost  savings,  both                                                                   
     through  shared record  storage  facilities  as well  as                                                                   
     shared clerical staff.                                                                                                     
                                                                                                                                
     The  Department  of  Administration  [DOA]  conducted  a                                                                   
     thorough review and came back  to the RCA, the AOGCC and                                                                   
     to us,  and said  that we  weren't going  to be able  to                                                                   
     achieve  economies of scale.   In  fact, trying to  find                                                                   
     space in  Anchorage where they  could co-locate  the two                                                                   
     agencies,  it  was going  to  cost  us  quite a  bit  of                                                                   
     additional  money because  the RCA  has quite a  special                                                                   
     lease,  I must  say,  in their  present  building.   And                                                                   
     leaving that  facility and leaving that space  was going                                                                   
     to be real costly, and it didn't  make a lot of sense to                                                                   
     pursuit that.                                                                                                              
                                                                                                                                
     I  understand  that the  Department  of  Administration,                                                                   
     though, is  still pursuing getting  the AOGCC  moved out                                                                   
     of their  building in Mountain  View - which is,  as you                                                                   
     remember, in extremely poor  shape and is no better than                                                                   
     it was when  I sat here last year - and  into new space.                                                                   
     We  can let the  Department of  Administration speak  to                                                                   
     how far along  they are in that, but they  are certainly                                                                   
     moving forward as quickly as they can.                                                                                     
                                                                                                                                
     The  second  change  in the  bill  corrects  a  drafting                                                                   
     error.  We allowed the commission,  in SB 133, to employ                                                                   
     hearing  officers  instead of  hearing  examiners.   The                                                                   
     difference is  that a hearing  officer does not  need to                                                                   
     be an attorney and the hearing  examiner does need to be                                                                   
     an  attorney.   The commission  needs hearing  examiners                                                                   
     because  they have  to adjudicate  legal matters  during                                                                   
     the hearing process, and that  requires them to act as a                                                                   
     judge  during  the  hearings.    So,  they  need  to  be                                                                   
     proficient in judicial proceedings....   As the chairman                                                                   
     of  the  RCA   attempted  to  hire  people   into  these                                                                   
     positions,  she ran into  a problem  because we had  the                                                                   
     wrong  language.     So,   we're  making  that   change:                                                                   
     officers rather than examiners.                                                                                            
                                                                                                                                
     The  final revision  clarifies that  the commission  can                                                                   
     employ and  utilize mediators as well as  arbitrators in                                                                   
     their hearing  process.  While that was our  intent last                                                                   
     year, the language  in the bill was unclear.   Mediation                                                                   
     is a  less formal process  than arbitration.   It's more                                                                   
     expeditious   in   finding   common  ground,   and   the                                                                   
     commission  hopes to  be able  to  employ mediation  and                                                                   
     utilize mediators  as a first step, before  having to go                                                                   
     to a formal arbitration process,  in some of the matters                                                                   
     that come  before the commission.   It should  help them                                                                   
     streamline their activities.   That's all the bill does.                                                                   
                                                                                                                                
Number 0462                                                                                                                     
                                                                                                                                
CHAIRMAN  ROKEBERG pointed  out that  the companion  bill to  CSSB
229(FIN), HB  323, had been heard  in the House  Special Committee                                                              
on  Utility Restructuring.    He indicated  that  the bill  packet                                                              
contains   a  letter   that   he  drafted   at   the  request   of                                                              
Representative  Hudson [chair  of the House  Special Committee  on                                                              
Utility Restructuring].   It  contains an  analysis of  the office                                                              
space premises situation and recommends against co-locating.                                                                    
                                                                                                                                
SENATOR PEARCE said the point is  to get the people moved from the                                                              
Mountain View building because it is an unsafe location.                                                                        
                                                                                                                                
CHAIRMAN  ROKEBERG agreed  and said  that is the  reason CSSB  229                                                              
(FIN) should be moved along expeditiously.                                                                                      
                                                                                                                                
REPRESENTATIVE  MURKOWSKI   referred  to  the  issue   of  hearing                                                              
examiners versus  hearing officers.   She wondered  if there  is a                                                              
need for hearing officers as well as hearing examiners.                                                                         
                                                                                                                                
NAN   THOMPSON,  Chairman,   Regulatory   Commission  of   Alaska,                                                              
testified  via teleconference  from  Anchorage.   She stated  that                                                              
there is  not presently  a need  to also  employ hearing  officers                                                              
because of  the nature of the work  the RCA assigns to  them.  The                                                              
hearing  officers generally  would be competent  to resolve  cases                                                              
where there  are not substantial legal  issues.  The RCA  uses the                                                              
hearing  officers to  sit  with them  in some  cases  and run  the                                                              
hearings  procedurally.    Generally,   the  nature  of  questions                                                              
presented to  the RCA are more  complex, and a lawyer  is required                                                              
to assist in resolving issues that are raised.                                                                                  
                                                                                                                                
REPRESENTATIVE MURKOWSKI noted that  the position descriptions for                                                              
both hearing  examiners and hearing  officers are included  in the                                                              
bill packet.  It was unclear to her,  however, if there was a need                                                              
for the ability to hire hearing officers.                                                                                       
                                                                                                                                
MS. THOMPSON said she does not believe that ability is needed.                                                                  
                                                                                                                                
Number 0643                                                                                                                     
                                                                                                                                
CHAIRMAN  ROKEBERG  asked  Ms.  Thompson  is  she  would  like  to                                                              
comment.                                                                                                                        
                                                                                                                                
MS. THOMPSON  thanked the committee  for the prompt  consideration                                                              
of  this bill.   She  agreed with  Senator  Pearce's comments  and                                                              
requested passage of the bill by the committee.                                                                                 
                                                                                                                                
Number 0677                                                                                                                     
                                                                                                                                
BOB  CHRISTENSON,  Chairman,  Alaska   Oil  and  Gas  Conservation                                                              
Commission (AOGCC),  testified via teleconference  from Anchorage.                                                              
He stated that  he supports Senator Pearce and the  changes in the                                                              
bill.  He is looking forward to moving the bill.                                                                                
                                                                                                                                
CHAIRMAN  ROKEBERG  asked  Mr.  Christenson  to  describe  AOGCC's                                                              
current location.                                                                                                               
                                                                                                                                
MR. CHRISTENSON  responded that  it is a  kind of vintage,  right-                                                              
after-the-earthquake,  single-storage-lot  building  in  a  fairly                                                              
obscure part  of the  city.  It  would be  more beneficial  to the                                                              
business process  of AOGCC to be  closer to their clients  and the                                                              
public.                                                                                                                         
                                                                                                                                
Number 0810                                                                                                                     
                                                                                                                                
REPRESENTATIVE HALCRO  made a motion to move CSSB  229(FIN) out of                                                              
committee with individual recommendations  and the attached fiscal                                                              
note.   There being  no objection,  CSSB 229(FIN)  moved from  the                                                              
House Labor and Commerce Standing Committee.                                                                                    
                                                                                                                                

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