Legislature(2023 - 2024)BARNES 124

02/06/2023 03:15 PM House LABOR & COMMERCE

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Audio Topic
03:15:25 PM Start
03:16:05 PM HB51
03:41:17 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 51 USE OF DESIGNATED REFRIGERANTS TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
              HB 51-USE OF DESIGNATED REFRIGERANTS                                                                          
                                                                                                                                
3:16:05 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER announced that the  only order of business would be                                                                
HOUSE BILL NO.  51, "An Act  relating to refrigerants designated                                                                
as acceptable for use under federal law."                                                                                       
                                                                                                                                
3:16:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE WRIGHT,  as prime sponsor,  presented HB 51.   He                                                                
stated  that the  bill  adds  a section  to  the state  statutes                                                                
allowing,   but    not   mandating,    the   move    away   from                                                                
hydrofluorocarbons (HFCs).  He said  that the bill would prevent                                                                
building codes from banning EPA approved alternatives to HFCs.                                                                  
                                                                                                                                
3:17:58 PM                                                                                                                    
                                                                                                                                
BILLY  HENTHORN, Staff,  Representative  Stanley Wright,  Alaska                                                                
State  Legislature,   provided  information  and   a  PowerPoint                                                                
presentation on HB 51  on behalf of Representative Wright, prime                                                                
sponsor.  [A  hard copy of the  PowerPoint presentation is found                                                                
in the committee packet.]  He said that the proposed legislation                                                                
would  allow the  HVAC and  construction industries  to move  to                                                                
newer and less polluting refrigerants, and thus keep up with the                                                                
federal push to do so.                                                                                                          
                                                                                                                                
3:18:56 PM                                                                                                                    
                                                                                                                                
MR. HENTHORN stressed that the  bill does not have any mandates,                                                                
and  instead allows  Alaska  to move  forward  by ensuring  that                                                                
building codes cannot  prevent the use of HFC  alternatives.  He                                                                
said  that allowing  Alaska to  keep  up with  the  rest of  the                                                                
country in this area would be a job creator.  He stated that the                                                                
bill would have a zero fiscal note and introduced two experts on                                                                
the subject available for questions.                                                                                            
                                                                                                                                
3:20:41 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER asked what the  motivation was for moving                                                                
towards next generation refrigerants.                                                                                           
                                                                                                                                
MR. HENTHORN  responded that  the newer  generation refrigerants                                                                
are more efficient and less polluting.                                                                                          
                                                                                                                                
REPRESENTATIVE SADDLER followed up by asking  if it would have a                                                                
negative   impact  on   any  equipment   already   purchased  by                                                                
businesses.                                                                                                                     
                                                                                                                                
REPRESENTATIVE  WRIGHT responded  that it  would  not, and  only                                                                
creates opportunities to invest in new technology.                                                                              
                                                                                                                                
3:22:13 PM                                                                                                                    
                                                                                                                                
CHAIR  SUMNER  asked  for  a  clarification  on  the  amount  of                                                                
greenhouse gas emissions HFCs cause.                                                                                            
                                                                                                                                
MR. HENTHORN answered that the  reduction would be equivalent to                                                                
2.4 million tons of carbon dioxide.                                                                                             
                                                                                                                                
3:23:23 PM                                                                                                                    
                                                                                                                                
MIKE   NEROZZI,   Director,   Air-Conditioning,   Heating,   and                                                                
Refrigeration Institute, returned  to the  previous question and                                                                
added that the  reduction of HFCs dates  to previous legislation                                                                
and  treaties.   He  continued  that  the  EPA will  be  greatly                                                                
restricting the usage of HFC refrigerants starting in July 2024,                                                                
and manufacturers will  begin producing equipment using  the new                                                                
refrigerants.   He said that  without allowing the usage  of new                                                                
refrigerants,  it could  become  difficult  for  Alaska to  have                                                                
access to refrigerants in general.                                                                                              
                                                                                                                                
3:25:33 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FIELDS  asked   where  the  new   equipment  and                                                                
refrigerants will be manufactured.                                                                                              
                                                                                                                                
MR. NERROZI  answered that his organization  represents over 300                                                                
North American HVAC,  refrigeration, and water heating equipment                                                                
manufacturers, and that  many of the new  alternatives are being                                                                
developed by the manufacturers.                                                                                                 
                                                                                                                                
3:26:59 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER asked if  there had been an  attempt at a                                                                
federal law to achieve the same means.                                                                                          
                                                                                                                                
MR. NERROZI answered that the goal  is to align Alaska state law                                                                
with the  new regulations,  and that the  building codes  do not                                                                
match  up with  the EPA's  timeline.   He continued  that unless                                                                
Alaska  caught up,  the  state  would not  be  able  to buy  new                                                                
refrigerant equipment.                                                                                                          
                                                                                                                                
REPRESENTATIVE SADDLER asked about the building code schedule.                                                                  
                                                                                                                                
MR. NERROZI deferred the question to Ms. Walter-Terrinoni.                                                                      
                                                                                                                                
3:30:09 PM                                                                                                                    
                                                                                                                                
HELEN  WALTER-TERRINONI, Vice  President of  Regulatory Affairs,                                                                
Air-Conditioning, Heating, and Refrigeration Institute, answered                                                                
that the  new refrigerants are  in the 2024  schedule adopted by                                                                
the International Code Council, and  waiting until then would be                                                                
too late.                                                                                                                       
                                                                                                                                
3:31:07 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRAX asked about the expected job creation.                                                                      
                                                                                                                                
3:31:44 PM                                                                                                                    
                                                                                                                                
MR. NERROZI answered  that the additional jobs  would be created                                                                
by the expansion of facilities.                                                                                                 
                                                                                                                                
3:32:21 PM                                                                                                                    
                                                                                                                                
HELEN WALTER-TERRINONI  added that the  jobs would come  from an                                                                
increase in exports of equipment.                                                                                               
                                                                                                                                
3:32:51 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CARRICK asked if there were people trained in the                                                                
industry waiting  to work  with the new  technology, and  how it                                                                
would create new jobs.                                                                                                          
                                                                                                                                
MS. WALTER-TERRINONI answered that the technicians of "today and                                                                
tomorrow" would be the same and that the additional jobs created                                                                
would be manufacturing jobs.                                                                                                    
                                                                                                                                
3:34:31 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER asked for a specification of the building                                                                
code being discussed.                                                                                                           
                                                                                                                                
MS. WALTER-TERRINONI  answered that the  2024 International Code                                                                
Council adopted the  next generation refrigerants, and  that the                                                                
next step  would be  for Alaska  to adopt the  national building                                                                
codes into state and local building codes.                                                                                      
                                                                                                                                
3:36:07 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FIELDS asked  how  long  the  industry has  been                                                                
working on this issue.                                                                                                          
                                                                                                                                
MS.  WALTER-TERRINONI  answered  that   the  industry  has  been                                                                
preparing for the transition since 2008.                                                                                        
                                                                                                                                
3:37:06 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JUSTIN   RUFFRIDGE  asked  about   recycling  or                                                                
disposal for HFC replacement.                                                                                                   
MS. WALTER-TERRINONI answered that there is a process to recycle                                                                
or dispose of  both old and future  refrigerants approved by the                                                                
EPA.                                                                                                                            
                                                                                                                                
3:38:11 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRAX asked if  there was anything the legislature                                                                
needed  to do  to  prepare technicians  and the  public for  the                                                                
change.                                                                                                                         
                                                                                                                                
3:39:17 PM                                                                                                                    
                                                                                                                                
MR. NEROZZI answered that the industry has been preparing since                                                                 
2008 and has been involved in the regulation process for the new                                                                
regulations.                                                                                                                    
                                                                                                                                
3:40:33 PM                                                                                                                    
                                                                                                                                
MS. WALTER-TERRINONI added that the industry has developed the                                                                  
training needed for the new refrigerants.                                                                                       
                                                                                                                                
[HB 51 was held over.]                                                                                                          

Document Name Date/Time Subjects
HB51- ver A.PDF HL&C 2/6/2023 3:15:00 PM
HB 51
HB 51 - Sponsor Statement.pdf HL&C 2/6/2023 3:15:00 PM
HB 51
HB 51 - Supporting Documents - AHRI AIM Act Building Code Fact Sheet.pdf HL&C 2/6/2023 3:15:00 PM
HB 51
Hb 51 - Supporting Documents Industry Business Coalition Letter of Support Low GWP Building Code Legislation 2023.pdf HL&C 2/6/2023 3:15:00 PM
HB 51
HB51 - Low GWP Code Map 2.3.23.pdf HL&C 2/6/2023 3:15:00 PM
HB 51
HB51 Fiscal Note.pdf HL&C 2/6/2023 3:15:00 PM
HB 51
HB 51 - Power Point Presentation (H)L&C 2.6.23.pdf HL&C 2/6/2023 3:15:00 PM
HB 51