Legislature(2001 - 2002)

04/24/2002 03:25 PM House L&C

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
HB 277 - SELF-STORAGE FACILITY LIENS                                                                                          
                                                                                                                                
Number 0804                                                                                                                     
                                                                                                                                
CHAIR MURKOWSKI announced that the  final order of business would                                                               
be HOUSE  BILL NO. 277,  "An Act relating  to liens by  owners of                                                               
self-storage  facilities;  distinguishing  self-storage  facility                                                               
liens  from another  type of  storage lien;  and excluding  self-                                                               
storage liens from the treatment of certain unclaimed property."                                                                
                                                                                                                                
CHAIR MURKOWSKI  noted that  the subcommittee  did meet  with the                                                               
sponsor  and  a committee  substitute  (CS)  was drafted  and  is                                                               
before the committee.                                                                                                           
                                                                                                                                
Number 0839                                                                                                                     
                                                                                                                                
REPRESENTATIVE  ROKEBERG  moved  that  HB  277  be  removed  from                                                               
subcommittee.  There being no objection, it was so ordered.                                                                     
                                                                                                                                
REPRESENTATIVE  ROKEBERG moved  to adopt  the proposed  CSHB 277,                                                               
Version   22-LS0175\S,  Bannister,   4/22/02,   as  the   working                                                               
document.   There being  no objection, Version  S was  before the                                                               
committee.                                                                                                                      
                                                                                                                                
Number 0883                                                                                                                     
                                                                                                                                
REPRESENTATIVE  JOHN DAVIES,  Alaska State  Legislature, speaking                                                               
as the sponsor  HB 277, noted his appreciation for  the work done                                                               
by  the  [subcommittee].    Representative  Davies  announced  is                                                               
support  of Version  S.    He noted  that  [Version  S] tried  to                                                               
address  Representative Kott's  desire  for there  to  be a  good                                                               
faith  effort to  determine the  property value.   Representative                                                               
Davies  related his  belief  that  Version S  is  a good  balance                                                               
between the consumer interest and the commercial interest.                                                                      
                                                                                                                                
CHAIR  MURKOWSKI  expressed  concern   regarding  the  cost  that                                                               
included the  personnel and administrative  costs.   She recalled                                                               
that the  [costs] would  include actual  and documented  costs of                                                               
disposing of  the property.   However,  on page  3, line  12, the                                                               
language  refers  to  "the  actual  documented  costs,  including                                                               
personnel  and   administrative  costs,   of  disposing   of  the                                                               
property".   She  noted her  preference of  the language  she had                                                               
suggested, which read as follows:   "the amount owed includes the                                                               
cost, including actual  and documented costs of  disposing of the                                                               
property".    She  mentioned her  discomfort  with  leaving  this                                                               
language open-ended.                                                                                                            
                                                                                                                                
REPRESENTATIVE DAVIES said  that he didn't have  any problem with                                                               
deleting the  language ", including personnel  and administrative                                                               
costs," on page 3, line 13.                                                                                                     
                                                                                                                                
CHAIR MURKOWSKI said that addresses her concern.                                                                                
                                                                                                                                
Number 1080                                                                                                                     
                                                                                                                                
CHAIR MURKOWSKI  moved that the  committee adopt Amendment  1, as                                                               
follows:                                                                                                                        
                                                                                                                                
     Page 3, line 13,                                                                                                           
        Delete ", including personnel and administrative                                                                        
     costs,"                                                                                                                    
                                                                                                                                
     Page 3, line 29,                                                                                                           
        Delete ", including personnel and administrative                                                                        
     costs,"                                                                                                                    
                                                                                                                                
There being no objection, Amendment 1 was adopted.                                                                              
                                                                                                                                
Number 1124                                                                                                                     
                                                                                                                                
REPRESENTATIVE   ROKEBERG  directed   attention  to   the  notice                                                               
provisions on page 3, line 23.                                                                                                  
                                                                                                                                
REPRESENTATIVE  DAVIES  explained  that originally  the  language                                                               
specified  one notice  of publication  but  Version S  [requires]                                                               
notice to be published two times within 14 consecutive days.                                                                    
                                                                                                                                
REPRESENTATIVE  ROKEBERG   remarked  that  published   notice  is                                                               
expensive.                                                                                                                      
                                                                                                                                
CHAIR MURKOWSKI inquired as to  the notice requirements under the                                                               
current statute.                                                                                                                
                                                                                                                                
REPRESENTATIVE DAVIES replied that  he didn't believe the current                                                               
statutes were clear on the notice requirements.                                                                                 
                                                                                                                                
REPRESENTATIVE ROKEBERG asked  if there is a  general disposal of                                                               
property statute  that's being utilized.   He expressed  the need                                                               
to  balance  the  interests  of   the  property  owner  with  the                                                               
operator.   Representative  Rokeberg recalled  that normal  legal                                                               
notice is three times.                                                                                                          
                                                                                                                                
REPRESENTATIVE DAVIES pointed out  that published notice could be                                                               
a documented cost that could be recovered.                                                                                      
                                                                                                                                
Number 1232                                                                                                                     
                                                                                                                                
REPRESENTATIVE  ROKEBERG  recalled  previous  testimony  from  an                                                               
auctioneer who  was raising  the estimated values.   He  asked if                                                               
[that language] was eliminated or finessed.                                                                                     
                                                                                                                                
REPRESENTATIVE  DAVIES  specified  that  the  aforementioned  was                                                               
handled by requiring a good  faith effort to determine the value,                                                               
which can be found on page  4, lines 9-13.  Representative Davies                                                               
pointed  out  that  the  improvement  of  lien  doesn't  actually                                                               
[require] a publication notice but  rather requires that there be                                                               
notice of  sale by  registered letter to  the individual  to whom                                                               
the  article(s) belong  and also  by  posting notice  of sale  in                                                               
three public  places in the  recording district.   Representative                                                               
Davies  also  pointed  out  that   the  publication  and  posting                                                               
requirements on page 3, Sec. 34.35.630 use "or" language.                                                                       
                                                                                                                                
CHAIR MURKOWSKI  highlighted that  the legislation  doesn't allow                                                               
posting if  there is a  "newspaper of general circulation  in the                                                               
community where the self-storage facility is located".                                                                          
                                                                                                                                
REPRESENTATIVE  ROKEBERG related  his view  that this  is a  good                                                               
piece of legislation.                                                                                                           
                                                                                                                                
Number 1395                                                                                                                     
                                                                                                                                
REPRESENTATIVE  ROKEBERG moved  to report  CSHB 277,  Version 22-                                                               
LS0175\S, Bannister,  4/22/02, as  amended out of  committee with                                                               
individual  recommendations and  the  accompanying fiscal  notes.                                                               
There being  no objection,  CSHB 277(L&C)  was reported  from the                                                               
House Labor and Commerce Standing Committee.                                                                                    

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