Legislature(2023 - 2024)GRUENBERG 120

03/09/2023 01:00 PM House MILITARY & VETERANS' AFFAIRS

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01:00:52 PM Start
01:01:41 PM HB25
01:55:54 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 25 PFD ELIGIBILITY UNIFORMED SERVICES TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
            HB 25-PFD ELIGIBILITY UNIFORMED SERVICES                                                                        
                                                                                                                                
1:01:41 PM                                                                                                                    
                                                                                                                                
CHAIR WRIGHT announced  that the only order of  business would be                                                               
HOUSE  BILL NO.  25,  "An  Act relating  to  eligibility for  the                                                               
permanent fund  dividend; and providing  for an  effective date."                                                               
[Before the committee was CSHB 25(STA).]                                                                                        
                                                                                                                                
1:02:28 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ANDI  STORY, Alaska  State Legislature,  began her                                                               
overview of  CSHB 25(STA).   She shared  that she had  received a                                                               
phone call  from a constituent who  was a member of  the National                                                               
Oceanic  and  Atmospheric   Administration  Commissioned  Officer                                                               
Corps  ("NOAA Corps").    She relayed  that  the constituent  was                                                               
posted at  a duty station outside  of Alaska for longer  than the                                                               
allowable  absence  and  was denied  a  permanent  fund  dividend                                                               
(PFD).    She  explained  that she  disagrees  with  this  denial                                                               
because  the  NOAA Corps  and  the  U.S. Public  Health  Services                                                               
(USHPS)  are both  branches within  the U.S.  uniformed services.                                                               
She said that CSHB 25(STA)  would change the statute by replacing                                                               
the term "armed forces" with  "uniformed services".  Furthermore,                                                               
the  bill would  amend AS  43.23.008 to  provide a  definition of                                                               
"uniformed services" that is consistent with federal code.                                                                      
                                                                                                                                
REPRESENTATIVE  STORY said  the inclusion  of the  NOAA Corps  as                                                               
well  as USHPS  would  close  the gap  in  the allowable  absence                                                               
statute.   She pointed out  that there are 16  subsections within                                                               
the  statue  that  have  allowable  absences,  and  the  examples                                                               
include the Peace Corps, Olympic  sports, and secondary and post-                                                               
secondary education.   She relayed  that the House  State Affairs                                                               
Standing  Committee  heard  the  bill first  and  said  that  the                                                               
committee  drafted the  CSHB  25(STA),  which includes  allowable                                                               
absences    for   Alaskans    pursuing   U.S    Merchant   Marine                                                               
apprenticeships.    She argued  that  the  merchant marines  were                                                               
meant to be included in the  statute when it was amended in 1999,                                                               
and this group has been  frequently paid dividends until 2017, as                                                               
were  members of  the NOAA  Corps and  USHPS.   She informed  the                                                               
committee  that the  governor recently  introduced  bills in  the                                                               
House  and  in the  Senate  which  contains similar  language  on                                                               
allowable absences  for merchant marines  in training.   She said                                                               
the  committee   substitute  also  corrects  an   oversight  that                                                               
excluded the  dependents of parents  or guardians who  missed the                                                               
PFD filing  deadline due to  a medical emergency and  is remedied                                                               
by  extending the  dependent's filing  deadline  grace period  to                                                               
October  1.   She  said  there  will  be invited  testimony  with                                                               
members  of  the  NOAA  Corps, USHPS,  and  the  merchant  marine                                                               
apprenticeship program.                                                                                                         
                                                                                                                                
1:07:02 PM                                                                                                                    
                                                                                                                                
SETH  WHITTEN, Staff,  Representative  Andi  Story, Alaska  State                                                               
Legislature, outlined the  contents of the committee  packet.  He                                                               
said  there is  a  zero fiscal  note because  the  bill does  not                                                               
change   the  dividend   amount,  rather,   the  newly   eligible                                                               
individuals would  be added  to the dividend  list.   He stressed                                                               
that putting  a hard number  on the  cost of adding  the proposed                                                               
groups to the dividend payout  is difficult because the Permanent                                                               
Fund Dividend  Division does not  track denied dividends,  or the                                                               
reason behind the  denial.  He explained that there  are six NOAA                                                               
Corps members whose  residence is Alaska, as well  as 356 members                                                               
for  USHPS; however,  it  is  unknown of  those  who are  already                                                               
filing  for a  PFD.   To further  understand the  cost impact  of                                                               
adding these  groups, he used  past dividend amounts and  set the                                                               
assumption of  new filers at 100  people.  He shared  that, using                                                               
the payouts from  2018 to 2021, the PFD payout  would decrease by                                                               
approximately  $1 for  every 100  people added.   Using  the 2022                                                               
dividend  amount of  $3,284,  the difference  of  adding 100  new                                                               
people would be a decrease of $4.                                                                                               
                                                                                                                                
1:10:20 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RAUSCHER  expressed his  support for  the proposed                                                               
legislation.   He asked about  the fiscal  note.  He  shared that                                                               
one year  he had filled  out his PFD application  incorrectly and                                                               
said fixing  the mistake  took time.   He asked  why there  was a                                                               
zero  fiscal  note when  there  must  be some  administrative  or                                                               
software costs involved with processing applications.                                                                           
                                                                                                                                
REPRESENTATIVE  STORY referred  to the  Department of  Revenue to                                                               
explain the fiscal note.                                                                                                        
                                                                                                                                
1:12:45 PM                                                                                                                    
                                                                                                                                
GENEVIEVE WOJTUSIK,  Director, Permanent Fund  Dividend Division,                                                               
Department   of  Revenue,   said   that  CSHB   25(STA)  has   an                                                               
indeterminate fiscal  note; however,  the original version  had a                                                               
zero  fiscal note.    She explained  that the  cost  to make  the                                                               
changes in statute would be minimal.   She said the division does                                                               
request  leave,  earning  statements, and  other  paperwork  from                                                               
military  members; and  prior to  the  committee substitute,  the                                                               
cost would be minimal.                                                                                                          
                                                                                                                                
1:14:06 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 1:14 p.m. to 1:17 p.m.                                                                       
                                                                                                                                
1:17:33 PM                                                                                                                    
                                                                                                                                
MR. WHITTEN said that currently  there are 17 different allowable                                                               
absences in  statute that  the department  works through,  and he                                                               
expressed uncertainty  about how more  absences would be  tied to                                                               
more  cost.   He expressed  the  understanding is  that there  is                                                               
software in place to work though the allowable absences.                                                                        
                                                                                                                                
1:18:13 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRAY shared  his experience  of being  outside of                                                               
Alaska on  deployment for  longer than 180  days and  receiving a                                                               
PFD.   He  further  shared that  he has  friends  in USHPS  whose                                                               
deployment length is  three years.  He said that  some buy a home                                                               
and take up  residency in Alaska.  He asked  how long deployments                                                               
outside  of the  state  typically  are if  the  person's home  of                                                               
record is Alaska.                                                                                                               
                                                                                                                                
REPRESENTATIVE STORY  replied that  the invited  testifiers would                                                               
answer his question.                                                                                                            
                                                                                                                                
1:19:29 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GROH  commented that  he worked in  the Department                                                               
of Revenue previously and is  aware of the difficulties in fixing                                                               
the issue the bill aims to solve.  He thanked the bill sponsor.                                                                 
                                                                                                                                
1:19:55 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SADDLER  asked  about  Mr.  Whitten's  estimates.                                                               
With six NOAA  Corps members and 356 USHPS officers,  he asked if                                                               
it would  be correct to  assume 2-4  extra people per  officer to                                                               
account for dependents.                                                                                                         
                                                                                                                                
REPRESENTATIVE STORY referred the question to Ms. Wojtusik.                                                                     
                                                                                                                                
1:20:40 PM                                                                                                                    
                                                                                                                                
MS. WOJTUSIK asked that the question be restated.                                                                               
                                                                                                                                
REPRESENTATIVE SADDLER repeated the question.                                                                                   
                                                                                                                                
MS.  WOJTUSIK  answered  that  the division  does  not  have  the                                                               
numbers he is seeking.  She  suggested that the numbers he stated                                                               
were from  Representative Story's office in  cooperation with the                                                               
Department of Public Health.                                                                                                    
                                                                                                                                
REPRESENTATIVE  SADDLER queried  further.   He said  that in  the                                                               
"guts" of the  bill, he did not see mention  of uniformed service                                                               
member's spouses.   Since the  bill title touches on  spouses, he                                                               
asked the sponsor to point to  the section of the bill that deals                                                               
with spouses and dependents.   After a pause, he ascertained that                                                               
the section in question is on page 3, line 28.                                                                                  
                                                                                                                                
REPRESENTATIVE STORY asked that the invited testifiers speak.                                                                   
                                                                                                                                
1:22:11 PM                                                                                                                    
                                                                                                                                
DAVID WILKINSON, Lieutenant,  Commissioned Corpsman, Commissioned                                                               
Corps of the U.S. Public Health  Service, shared that he has been                                                               
in USHPS since  2016.  He expressed his support  of CSHB 25(STA).                                                               
He said he has been a resident  of Alaska since 1997, but he took                                                               
a three-year  break to serve active  duty in the U.S.  Air Force,                                                               
and when he returned to Alaska, he  was no longer a resident.  He                                                               
explained that  he accidentally  received the  PFDs for  2016 and                                                               
2017 via a  military exemption, as the  division had [mistakenly]                                                               
included  USHPS as  part of  the armed  services.   In 2018,  the                                                               
division  found that  UPHPS did  not fall  under armed  services;                                                               
thus,  his 2018  PFD was  denied.   He said  he is  no longer  an                                                               
Alaska  resident  and  has  nothing to  gain  from  the  proposed                                                               
legislation;  however, it  could help  future USHPS,  NOAA Corps,                                                               
and  merchant  marines to  keep  Alaska  residency despite  being                                                               
deployed or stationed outside of Alaska.                                                                                        
                                                                                                                                
MR. WILKINSON  explained that USPHS  originated through  a system                                                               
of marine  hospitals in 1798  to serve sick and  injured sailors.                                                               
He further  explained that the  system was consolidated  into the                                                               
Marine  Hospital Service  in  1871,  and in  the  same year,  the                                                               
position  of the  U.S. Surgeon  General was  created.   He shared                                                               
that he  accepted an officer  position in USHPS in  Florida after                                                               
unsuccessfully attempting to  get a position funded  in, or close                                                               
to, Alaska.   He said that USHPS officers in  Alaska work for the                                                               
Indian  Health  Service  (IHS)  or  the U.S.  Coast  Guard.    He                                                               
recalled that he  was deployed under USHPS  multiple times during                                                               
the  COVID-19  pandemic.    He  said that  in  1889,  the  Marine                                                               
Hospital Service  was changed to  USHPS since the  scope expanded                                                               
from just helping sailors.   He relayed several new positions for                                                               
services  USHPS  provides,   including  veterinarians,  dentists,                                                               
therapists, engineers, pharmacists,  nurses, environmental health                                                               
specialists,  scientists,  and  dietitians.   He  returned  to  a                                                               
previous question  regarding the  length of deployments;  he said                                                               
deployments  typically  last  a  month in  USHPS,  and  the  time                                                               
stationed  in another  state  can  vary from  a  few  years to  a                                                               
person's entire  career.  He  said he  is open to  questions from                                                               
members.                                                                                                                        
                                                                                                                                
1:26:18 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER  referred to Mr. Wilkinson's  comment that                                                               
some  individuals may  be  absent from  Alaska  for their  entire                                                               
career.   He said there  is a provision in  state law that,  if a                                                               
person is  an active-duty  service member  and outside  of Alaska                                                               
for over  ten years,  then there  are additional  requirements to                                                               
establish a connection to the state.   He asked Mr. Wilkinson for                                                               
his opinion  on whether  the ten-year rule  would apply  to USHPS                                                               
members.                                                                                                                        
                                                                                                                                
MR. WILKINSON  expressed uncertainty.   He said  he was  gone for                                                               
three years  due to the service  in the U.S. Air  Force, but kept                                                               
his  residency, and  still got  his PFD  checks.   He said  he is                                                               
unsure of  the number of officers  who would be affected  by this                                                               
provision.   He  expressed the  opinion that  the changes  in the                                                               
proposed legislation are better than what is in state law now.                                                                  
                                                                                                                                
REPRESENTATIVE SADDLER asked that,  when someone in USHPS deploys                                                               
outside  of  Alaska, would  this  require  the USPHS  officer  to                                                               
change his/her home of record.                                                                                                  
                                                                                                                                
MR.  WILKINSON answered  no and  said  that his  current home  of                                                               
record is  Juneau, Alaska.  He  stated that when he  retires from                                                               
service, USHPS must pay him to move back to Juneau.                                                                             
                                                                                                                                
REPRESENTATIVE  SADDLER responded,  "By which  you mean  you will                                                               
enjoy the  benefits in moving  back to  your home of  record, you                                                               
don't mean you have to be paid to move back."                                                                                   
                                                                                                                                
MR. WILKINSON clarified  that USHPS must pay to move  him and his                                                               
household goods upon retirement.                                                                                                
                                                                                                                                
1:28:36 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRAY shared  that, in  his experience,  there are                                                               
several USHPS positions  available in Alaska.  He  asked what the                                                               
likelihood would be of a person  in USHPS being assigned to serve                                                               
an entire career in another state.                                                                                              
                                                                                                                                
MR. WILKINSON  answered that USHPS  finds agencies to  work with,                                                               
like the U.S. Coast Guard and IHS.   He shared that he falls into                                                               
the  engineer category  and said  that the  Coast Guard  does not                                                               
hire engineers, but  IHS does.  He explained that  he is with the                                                               
Food  and Drug  Administration (FDA),  and  FDA does  not have  a                                                               
permanent  office  in  Alaska  currently.    He  shared  that  he                                                               
attempted  to switch  back  to IHS  but was  told  there were  no                                                               
openings.  He said  it would be ideal for him  if a permanent FDA                                                               
office  was opened  in Alaska,  and  he expressed  his desire  to                                                               
return to the state before he retires.                                                                                          
                                                                                                                                
REPRESENTATIVE  GRAY questioned  whether an  amendment should  be                                                               
proposed to  allow a PFD for  a person when there  is no position                                                               
open for the person in a  department in Alaska.  He expressed the                                                               
opinion that  if there is  a position  with USHPS in  Alaska, the                                                               
person should  be working this job,  that is if the  person wants                                                               
to receive a PFD.                                                                                                               
                                                                                                                                
MR.  WILKINSON  replied  that individuals  do  not  choose  where                                                               
he/she works,  rather it  is the  USHPS offices  who decide.   He                                                               
explained that  first there must be  a job opening, and  if there                                                               
is  an  opening,  the  individual  must  get  accepted  into  the                                                               
position.   He shared that there  was not an opening  when he was                                                               
in Alaska; thus, could not apply.   He added that there have been                                                               
openings since.                                                                                                                 
                                                                                                                                
REPRESENTATIVE  GRAY  sought  further clarification  on  who  has                                                               
control of where  a person is deployed.  He  asked if individuals                                                               
have a choice in which state he/she works.                                                                                      
                                                                                                                                
MR. WILKINSON stated that deployment  location is not 100 percent                                                               
out of  the individual's control.   He  stated that he  would not                                                               
recommend the  amendment Representative  Gray is suggesting.   In                                                               
general, if  there are openings  in offices, he said  UPHPS would                                                               
send  the individual  to this  office.   He said  the process  is                                                               
similar to the Air Force's  "dream sheet," in that the individual                                                               
submits  a  sheet  expressing  where  he/she  would  like  to  be                                                               
deployed.  He  said that ultimately, individuals  are assigned to                                                               
a location and  are required to follow orders.   He explained the                                                               
location preference process in USHPS,  where the individual would                                                               
apply  to the  position.    He stressed  that  USHPS would  place                                                               
individuals  where needed,  and this  placement takes  precedence                                                               
over an officer's preference.                                                                                                   
                                                                                                                                
1:32:43 PM                                                                                                                    
                                                                                                                                
SARAH  TANJA, representing  self, provided  invited testimony  on                                                               
CSHB 25(STA).   She  stated that  she is  a separated  NOAA Corps                                                               
officer.   She  shared that  she served  in the  NOAA Corps  from                                                               
2016-2021,  and  now she  is  in  Seattle  at the  University  of                                                               
Washington  to  attain  a  graduate degree  in  fisheries.    She                                                               
recounted the history of the NOAA  Corps.  She described that the                                                               
NOAA  Corps "tied  its  roots"  to the  U.S.  Coast and  Geodetic                                                               
Survey,  and  was  started  in  1807  by  U.S.  President  Thomas                                                               
Jefferson,  who  formed  the agency  to  perform  scientific  and                                                               
historical  surveys of  U.S. coasts.   Further,  vessel operators                                                               
and scientists were brought to  conduct survey operations, but in                                                               
1917 during World  War I, the survey group  was transitioned into                                                               
commissioned  officers.   She explained  that the  transition was                                                               
because the  survey group had  performed advanced  mapping before                                                               
the war.                                                                                                                        
                                                                                                                                
MS. TANJA shared  that she had served in the  NOAA Corps for five                                                               
to six years, and in the first  two years she had received a PFD.                                                               
She said  she is the  person who had called  Representative Story                                                               
and relayed the situation about her  denied PFD.  She stated that                                                               
the  denial was  due  to  a technicality,  in  that the  language                                                               
within  the  allowable  absence  statute  uses  the  word  "armed                                                               
forces" rather  than "uniformed services".   She stated  that she                                                               
appealed  the  denial,  and  the   appeals  officer  offered  the                                                               
sentiment of  wishing the PFD could  be issued, but based  on the                                                               
language in statute, it could not.   She stated that this officer                                                               
had  suggested  that  she call  her  local  representative  about                                                               
changing the statute language.                                                                                                  
                                                                                                                                
MS.  TANJA clarified  that she  had maintained  her residency  in                                                               
Alaska  during her  time  in  the NOAA  Corps,  but  she did  not                                                               
receive a PFD.   She pointed out  that an Alaskan can  still be a                                                               
resident, despite not receiving a PFD.   She shared that she made                                                               
visits  to  Juneau, voting  in  local  and state  elections,  and                                                               
maintained her  driver's license.   She  maintained that  she has                                                               
nothing to  gain from her  testimony on the legislation,  and the                                                               
statute change to  "uniformed services" would be  equitable.  She                                                               
noted that other overseas services  are recognized in statute and                                                               
used  the Peace  Corps as  an example.   She  stressed that  NOAA                                                               
Corps  serves domestically  on all  U.S. coasts,  and she  stated                                                               
that the  corps serves in Alaska  more than anywhere in  the U.S.                                                               
She  said   the  Alaska   missions  involve   fishery  surveying,                                                               
providing  information  for   fishery  management  councils,  and                                                               
charting navigation for mapping.                                                                                                
                                                                                                                                
1:38:59 PM                                                                                                                    
                                                                                                                                
RICH BERKOWITZ,  Of Counsel, Transportation  Institute, expressed                                                               
support for  the proposed legislation, specifically,  the section                                                               
regarding  merchant mariners  in  training.   He  shared that  in                                                               
1999,  there  was  an  effort to  pass  legislation  to  consider                                                               
merchant mariners eligible.  He  said the legislation at the time                                                               
would  have accounted  for merchant  mariners working  outside of                                                               
the state,  as well as  vessels in state, provided  the applicant                                                               
meets  other legal  requirements under  PFD law.   He  noted that                                                               
family  members were  not  included  in the  previous  bill.   He                                                               
explained  it  was  found  that  in 1999  there  was  already  an                                                               
allowable  absence exemption  for vocational  training, so  there                                                               
was no need to change the law  at the time.  He addressed working                                                               
with the  Seafarers Union and  explained that  the Transportation                                                               
Institute represents several employers  who have Alaska contracts                                                               
with  the  union.    In  1997, he  said  the  organizations  were                                                               
interested in  local hire.   He recalled  an encounter  with U.S.                                                               
Representative  Don Young,  where  the congressman  toured a  Tok                                                               
Maritime vessel  and asked  for the  Alaskans working  onboard to                                                               
come forward.   After none came forward, he received  a call from                                                               
the  CEO of  Tok  Maritime, who  said, "That  is  never going  to                                                               
happen again."   He said the moment helped to  motivate the union                                                               
to establish a hall in Anchorage and recruit in Alaska.                                                                         
                                                                                                                                
1:41:40 PM                                                                                                                    
                                                                                                                                
MR.  BERKOWITZ recounted  that in  1999 young  Alaskans who  were                                                               
shipping  out for  service  were  being told  they  would not  be                                                               
eligible  for a  PFD.   He explained  that the  PFD ineligibility                                                               
generated disinterest among  young people, as this  money was the                                                               
only income  most were  familiar with.   He  stated that  at this                                                               
time it was clear exemption language  needed to be changed to add                                                               
merchant  mariners.     He  relayed  that   the  legislature  had                                                               
unanimously passed  legislation on the  matter, but in  2017, the                                                               
Alaska Permanent  Fund Division decided to  change the definition                                                               
of  allowable vocational  training and  opted to  use the  Alaska                                                               
Commission   on   Post-Secondary    Education's   definition   of                                                               
vocational training.   The definition  meant the training  had to                                                               
be recognized under Title IV  of the federal code, which outlines                                                               
that the person must be  eligible for tuition, loans, and support                                                               
under the Department of Education's  loan and grant statutes.  He                                                               
said  that  the change  made  sense,  except  in the  case  where                                                               
tuition  is not  charged.   He  explained  that merchant  mariner                                                               
training does not  involve tuition since the tuition,  as well as                                                               
room  and  board, are  paid  for  by  vessel operators  who  hold                                                               
contracts with  the union.  He  explained that the change  had an                                                               
unintended  consequence,  in  that it  left  young  up-and-coming                                                               
mariners "high-and-dry"  without a dividend because  the merchant                                                               
mariner  training   did  not  charge   tuition.    He   said  the                                                               
Transportation Institute worked with  the Permanent Fund Dividend                                                               
Division regarding  the allowable  absence statute, of  which the                                                               
Department of  Law determined  this would need  to be  changed in                                                               
order  to  allow  merchant  mariner   training  as  an  allowable                                                               
absence, leading to the bill before the committee.                                                                              
                                                                                                                                
MR.  BERKOWITZ  stated  that  the   institute  is  interested  in                                                               
continuing its  relationship with  the state with  free education                                                               
and  guaranteed  job  placement  to  Alaskans.    He  noted  that                                                               
Alaskans are some  of the best people the institute  can find and                                                               
said that  could be because  the state has the  largest coastline                                                               
in  the country.   He  recognized  that Alaska  youth who  become                                                               
mariners as mature and responsible  problem solvers.  He said the                                                               
merchant  mariners' school,  located in  Maryland, recruits  from                                                               
all over  the country.   He  expressed the  hope that,  with help                                                               
from  committee  members,  there  will be  more  local  hires  in                                                               
Alaska.    He  articulated  that  merchant  mariners  earn  union                                                               
benefits and  a good  wage, and  this would  return money  to the                                                               
state.   He illustrated an example  of a person coming  back to a                                                               
village after  receiving a mariner's  wage and putting  the money                                                               
back  into the  village.    He expressed  the  hope  to see  this                                                               
example continue, as  well as the institute's  ability to recruit                                                               
Alaskans to be  merchant mariners.  He thanked  the committee and                                                               
said he is open to questions.                                                                                                   
                                                                                                                                
1:46:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SADDLER asked  what the  Transportation Institute                                                               
is.                                                                                                                             
                                                                                                                                
MR.  BERKOWITZ answered  that the  institute is  a member  of the                                                               
Alaska State Chamber.  Further,  the institute works on behalf of                                                               
the  U.S.-flag Services  [Maritime  Administration] and  promotes                                                               
policy that supports the U.S.  flagged merchant marines.  He said                                                               
that his  work primarily involves federal  legislation that helps                                                               
to  maintain a  U.S.-flagged merchant  marine, and  this includes                                                               
vessels serving Alaska.   He reiterated that  the institute would                                                               
welcome locally hired Alaskans.                                                                                                 
                                                                                                                                
REPRESENTATIVE SADDLER asked who  the institute's members are and                                                               
if the organization is a nonprofit.                                                                                             
                                                                                                                                
MR.  BERKOWITZ  confirmed  that  the  institute  is  a  501(c)(6)                                                               
nonprofit with  a main office  in Maryland  and an office  on the                                                               
West  Coast.   He said  he was  previously the  head of  the west                                                               
coast office before he retired.   He said that in the late 1990s,                                                               
he  worked as  head of  the west  coast office  when the  bill on                                                               
allowable absence exemptions for  mariners originally passed.  He                                                               
expressed  interest in  working on  this  matter while  he is  Of                                                               
Counsel to the Transportation Institute.                                                                                        
                                                                                                                                
1:49:01 PM                                                                                                                    
                                                                                                                                
CHAIR WRIGHT opened public testimony on HB 25.                                                                                  
                                                                                                                                
1:49:23 PM                                                                                                                    
                                                                                                                                
NICHOLAS   MARRONE,   Vice   President,  West   Coast   Seafarers                                                               
International Union, thanked members  for addressing the issue of                                                               
individuals  who attend  merchant marine  training out  of state,                                                               
but have  been determined not  eligible for a  PFD.  He  said the                                                               
Seafarers Union has maintained an  office in Anchorage since 1996                                                               
with the purpose  of recruiting Alaskans for  employment on board                                                               
U.S. flagged  vessels in the  domestic and  international trades.                                                               
He  explained that  the union  also represents  civilian mariners                                                               
who  are  employed  by  the  Military  Sealift  Command  and  the                                                               
Maritime Administration's ready reserve  vessels.  He stated that                                                               
for  over 25  years  the union  has made  a  concerted effort  to                                                               
recruit  Alaska  youth,  Natives,  displaced  fishers,  displaced                                                               
workers, and  veterans for employment  as deep sea mariners.   He                                                               
said the effort was started  in 1997 with a strategic partnership                                                               
between  the union  and  the Department  of  Labor and  Workforce                                                               
Development,  which   he  said  has  grown   into  the  referral,                                                               
training,  and hire  of over  800 Alaskans  over the  years.   He                                                               
shared that  training is  conducted at a  maritime school  on the                                                               
shores of southern  Maryland, which is operated by  a joint labor                                                               
management board.                                                                                                               
                                                                                                                                
MR.  MARRONE said  the school  provides the  most diverse  set of                                                               
U.S. Coast  Guard certified  maritime classes  in the  nation and                                                               
maintains registration  as a U.S. Department  of Labor apprentice                                                               
program.   Further, he  said those who  graduate from  the school                                                               
are  guaranteed employment,  earn union  wages, family  benefits,                                                               
and  qualify for  union pension  plans.   He  explained that  the                                                               
graduate  could then  advance  to the  U.S.  Coast Guard  defined                                                               
career ladder  - even  up to  becoming an  officer -  through the                                                               
school.  Once a prospective  mariner is accepted into the program                                                               
and progresses  through the career ladder,  all education related                                                               
expenses are  paid for  by the  union management  training trust.                                                               
He  expressed  the opinion  that  the  union has  had  tremendous                                                               
success  with   its  collaborative  effort  to   train  and  hire                                                               
Alaskans; furthermore,  he stated that Alaskans  and veterans are                                                               
clear "standouts"  in the union's  training and  retention goals.                                                               
He urged the  committee to pass HB 25, so  the union can continue                                                               
to  attract  Alaskans  to the  opportunities  that  U.S.  flagged                                                               
maritime has to offer.                                                                                                          
                                                                                                                                
1:52:26 PM                                                                                                                    
                                                                                                                                
RALPH  MIRSKY,  CEO,  SeaLink  International  Inc.,  shared  that                                                               
SeaLink is a  nonprofit working in Alaska for over  22 years.  He                                                               
said that  he has been working  with the Department of  Labor and                                                               
Workforce  Development  in  order  to accept  federal  grants  to                                                               
recruit for the  seafarers vocational training program.   He said                                                               
SeaLink   has   been   responsible  for   recruiting   over   600                                                               
individuals,   including    "hard-to-serve"   youth,   dislocated                                                               
workers,  displaced fishermen,  and low-income  adults.   He said                                                               
that  the  agency  has  an excellent  success  rate,  with  great                                                               
recruits.  He said the effort  has been a "boom" with individuals                                                               
recruited  from all  over Alaska.   He  relayed an  example of  a                                                               
youth  from  Ketchikan  who  worked  his way  up  to  ferry  boat                                                               
captain, who now  works in Washington State.   He thanked members                                                               
for taking up  HB 25, and he expressed the  hope that youth would                                                               
not walk away  from the opportunity because they would  not get a                                                               
PFD.    He said  that  the  youth see  the  PFD  as a  "big  time                                                               
benefit;"  however, he  asserted  that the  career  would be  the                                                               
benefit.   He  expressed the  opinion  that PFDs  be returned  to                                                               
youth in  the seafarer's program.   He  noted that SeaLink  has a                                                               
scholarship program  that sends  youth to  a maritime  academy in                                                               
California.  He explained that  these participants are outside of                                                               
Alaska for over  180 days, as the program is  for four years, and                                                               
these youth  receive their PFDs.   He said there is  an amount of                                                               
fairness involved.                                                                                                              
                                                                                                                                
1:55:36 PM                                                                                                                    
                                                                                                                                
CHAIR WRIGHT, after ascertaining that there was no one else who                                                                 
wished to testify, closed public testimony on CSHB 25(STA).                                                                     
                                                                                                                                
1:55:41 PM                                                                                                                    
                                                                                                                                
CHAIR WRIGHT announced that CSHB 25(STA) was held over.                                                                         

Document Name Date/Time Subjects
CSHB 25 Research_Union Seeking Seafaring Apprentices_ 2021 AK Journal Commerce Article_3.07.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
CSHB 25 Research_About USPHS Commissioned Corps_3.07.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
CSHB 25 Research_NOAA Research Scientist Profiles_3.07.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
CSHB 25 Sectional Analysis_3.7.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
CSHB 25 Summary of Changes_3.07.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
CSHB 25 Version B.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
HB 25 Explanation of Changes 02.22.23.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
HB 25 Fiscal Note DOR-PFD 1.27.23.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
HB 25 Invited Testimony List 02.22.23.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
HB 25 Research About NOAA Commissioned Officers Corps 1.25.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
HB 25 Research About USPHS Commissioned Corps 1.25.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
HB 25 Research NOAA Research Scientist Profiles 1.25.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
HB 25 Sectional Analysis 02.22.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
HB 25 Sponsor Statement 02.22.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
HB 25 Sponsor Statement_3.07.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
HB 25 Version A.PDF HMLV 3/9/2023 1:00:00 PM
HB 25
CSHB 25 Research_010122 Union Ramps Up Recruiting in Last Frontier_SIU Article_3.07.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
CSHB 25 Research_About NOAA Commissioned Officers Corps_3.07.2023.pdf HMLV 3/9/2023 1:00:00 PM
HB 25
CS HB 25 Invited Testimony List 03.09.23.pdf HMLV 3/9/2023 1:00:00 PM
HB 25