Legislature(2003 - 2004)

03/13/2003 08:00 AM House STA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
HB 15-TELEMARKETERS NO-CALL LISTS                                                                                             
                                                                                                                                
Number 1400                                                                                                                     
                                                                                                                                
CHAIR WEYHRAUCH  announced that  the next  order of  business was                                                               
HOUSE BILL  NO. 15, "An  Act relating to establishing  the Alaska                                                               
No-Call List, a data base  of residential telephone customers who                                                               
do not  wish to receive telephonic  solicitations; providing that                                                               
the data base be compiled at  no cost to the customers; requiring                                                               
paid  telephonic sellers  to purchase  the  data base;  requiring                                                               
telephonic sellers  to identify themselves;  requiring telephonic                                                               
solicitors  who   are  otherwise  exempt  from   registration  as                                                               
telephonic  solicitors to  file with  the Department  of Law  and                                                               
purchase the  data base;  and providing  for an  effective date."                                                               
[A  proposed committee  substitute (CS),  Version I,  labeled 23-                                                               
LS0058\I, Craver, 2/28/03,  had been adopted as a  work draft and                                                               
amended on March 11, 2003.]                                                                                                     
                                                                                                                                
Number 1455                                                                                                                     
                                                                                                                                
JIM  POUND,  Staff  to Representative  Hugh  Fate,  Alaska  State                                                               
Legislature, speaking on behalf  of Representative Fate, sponsor,                                                               
noted  that there  were some  new amendments  that Representative                                                               
Gruenberg would offer.                                                                                                          
                                                                                                                                
REPRESENTATIVE GRUENBERG mentioned a subcommittee meeting                                                                       
yesterday.                                                                                                                      
                                                                                                                                
Number 1650                                                                                                                     
                                                                                                                                
MR. POUND brought attention to Amendment 1, labeled 23-                                                                         
LS0058\I.2, Craver, 3/12/03, which read:                                                                                        
                                                                                                                                
     Page 2, lines 15 - 17:                                                                                                     
          Delete all material.                                                                                                  
                                                                                                                                
     Reletter the following subparagraphs accordingly.                                                                          
                                                                                                                                
     Page 3, line 11:                                                                                                           
          Delete "(C)"                                                                                                          
          Insert "(B)"                                                                                                          
                                                                                                                                
     Page 3, line 15:                                                                                                           
          Delete "(i)"                                                                                                          
          Insert ","                                                                                                            
                                                                                                                                
     Page 3, lines 17 - 19:                                                                                                     
          Delete "and                                                                                                           
               (ii)  drop from the program each residential                                                                     
     subscriber who fails to reregister and pay the annual                                                                      
     registration fee;"                                                                                                         
                                                                                                                                
     Page 4, line 7:                                                                                                            
          Delete "(B)"                                                                                                          
          Insert "(A)"                                                                                                          
                                                                                                                                
     Page 7, line 25:                                                                                                           
          Delete "AS 45.50.475(b)(1)(B)"                                                                                    
          Insert "AS 45.50.475(b)(1)(A)"                                                                                    
                                                                                                                                
     Page 8, line 25:                                                                                                           
          Delete "AS 45.50.475(b)(1)(B)"                                                                                    
          Insert "AS 45.50.475(b)(1)(A)"                                                                                    
                                                                                                                                
     Page 9, line 3:                                                                                                            
          Delete "AS 45.50.475(b)(1)(B)"                                                                                    
          Insert "AS 45.50.475(b)(1)(A)"                                                                                    
                                                                                                                                
MR. POUND  explained that the section  of Amendment 1 on  page 2,                                                               
lines  15-17, would  delete the  $5 registration  fee; therefore,                                                               
the [part of  the] deletion on page 3, lines  17-19 [referring to                                                               
the fee, is no longer necessary].                                                                                               
                                                                                                                                
MR.  POUND suggested  a friendly  amendment to  Amendment 1  such                                                               
that page 3, lines 17-19, would read as follows:                                                                                
                                                                                                                                
     and                                                                                                                        
          (ii) drop from the program each residential                                                                           
     subscriber who fails to annually reregister.                                                                               
                                                                                                                                
MR. POUND explained  that people in Alaska tend  to be relatively                                                               
transient, and  telephones "don't  necessarily always  follow the                                                               
people  around  the  state."   Thus  the  friendly  amendment  to                                                               
Amendment  1  would  give  an  automatic  annual  update  to  the                                                               
contractor, who  will know  that that phone  number is  no longer                                                               
required to have the no-call  list, without getting the telephone                                                               
companies involved in it.                                                                                                       
                                                                                                                                
Number 1777                                                                                                                     
                                                                                                                                
REPRESENTATIVE GRUENBERG  stated his understanding that  the gist                                                               
is to drop the annual registration fee for the consumer.                                                                        
                                                                                                                                
MR. POUND concurred.                                                                                                            
                                                                                                                                
REPRESENTATIVE GRUENBERG alluded to  past discussion and recalled                                                               
that  it seemed  to  him  most of  the  committee members  hadn't                                                               
wanted the customer to have to pay.                                                                                             
                                                                                                                                
Number 1790                                                                                                                     
                                                                                                                                
REPRESENTATIVE BERKOWITZ  noted that the customer  would still be                                                               
required to register and asked what that would entail.                                                                          
                                                                                                                                
MR. POUND  stated his understanding  that the  registration would                                                               
be handled with  a toll-free number or online,  "depending on how                                                               
their private  contractor sets it  up."  In further  response, he                                                               
confirmed  that the  consumer would  have to  call the  toll-free                                                               
number  annually  to ask  to  be  kept  off  the list,  and  that                                                               
Representative  Harry Crawford  and  [and his  staff member]  had                                                               
taken part [in formulating the amendments].                                                                                     
                                                                                                                                
Number 1819                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GRUENBERG  moved  to   adopt  Amendment  1  [text                                                               
provided  previously].   There  being  no  objection, it  was  so                                                               
ordered.                                                                                                                        
                                                                                                                                
REPRESENTATIVE  SEATON  returned  the  committee's  attention  to                                                               
Mr. Pound's previously suggested amendment.                                                                                     
                                                                                                                                
Number 1939                                                                                                                     
                                                                                                                                
REPRESENTATIVE GRUENBERG  moved to  adopt a  conceptual amendment                                                               
[subsequently treated as  an amendment to Amendment  1] such that                                                               
page 3, lines [18-19], would read as follows:                                                                                   
                                                                                                                                
         (ii)    drop    from   the    program    each                                                                          
       residential     subscriber     who    fails     to                                                                       
          reregister annually.                                                                                                  
                                                                                                                                
There being no objection, it was so ordered.                                                                                    
                                                                                                                                
Number 1982                                                                                                                     
                                                                                                                                
CHAIR  WEYHRAUCH asked  if there  was any  objection to  adopting                                                               
Amendment 1,  as amended.   There being  no objection, it  was so                                                               
ordered.                                                                                                                        
                                                                                                                                
Number 2013                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GRUENBERG moved  to  adopt Amendment  2 "for  the                                                               
purpose of  discussion."  Amendment 2  was labeled 23-LS0058\I.3,                                                               
Craver, 3/12/03, and read:                                                                                                      
                                                                                                                                
     Page 5, line 23:                                                                                                           
          Delete "calls on behalf of the person"                                                                                
       Insert "all calls made on behalf of the person who                                                           
    employs   individuals    to   engage    in   telephonic                                                                 
     solicitations"                                                                                                         
                                                                                                                                
There being no objection, it was so ordered.                                                                                    
                                                                                                                                
MR. POUND,  regarding Amendment 2,  explained, "Even  though it's                                                               
twice in a 30-day period, it  makes that much more of an offense,                                                               
and refers to all calls so  that it doesn't allow for, 'Let's sit                                                               
here  on the  31st  day of  the  month, and  we'll  make our  two                                                               
illegal phone  calls, and  then ... tomorrow  we'll make  our two                                                               
more illegal phone calls.'"                                                                                                     
                                                                                                                                
Number 2070                                                                                                                     
                                                                                                                                
JUSTIN ROBERTS,  Staff to Representative Gruenberg,  Alaska State                                                               
Legislature, clarified,  "The intent was  to make sure  that it's                                                               
not two phone calls to the  same person; it's any two phone calls                                                               
made  within  the state  that  violate  the  section."   He  said                                                               
although "who  employs individuals"  restates that the  person is                                                           
an employer, he is not sure that language is necessary.                                                                         
                                                                                                                                
REPRESENTATIVE GRUENBERG said that  phrase was included to ensure                                                               
there  is no  question  who  the term  "person"  refers  to.   He                                                               
offered his  belief that it  helps because it once  again defines                                                               
the term  "person" in AS 45.50.475  (d), which now is  set out at                                                               
lines 12-24.   "So, the term "person"  throughout that subsection                                                               
means the person who employs  individuals to engage in telephonic                                                               
solicitation," he clarified.                                                                                                    
                                                                                                                                
Number 2155                                                                                                                     
                                                                                                                                
CHAIR WEYHRAUCH  asked if HB  15 or  any of its  amendments would                                                               
prohibit  a  Girl  Scout  who  was soliciting  a  friend  to  buy                                                               
cookies, for example.                                                                                                           
                                                                                                                                
MR. POUND responded  that two clauses cover that.   He noted that                                                               
there  is   an  exemption  in  existing   statute  for  nonprofit                                                               
corporations.  He also referred to  page 6, beginning on line 23,                                                               
which read as follows:                                                                                                          
                                                                                                                                
               (iv) [(v)] a person soliciting business from                                                                 
     prospective  purchasers who  have, within  the last  18                                                                
     [24]  months,  purchased  from the  person  making  the                                                                    
     solicitation                                                                                                               
                                                                                                                                
REPRESENTATIVE  GRUENBERG said  he thinks  it is  clear that  the                                                               
bill  is  intended  to cover  commercial,  for-profit  telephonic                                                               
solicitations, not charitable or nonprofit ones.                                                                                
                                                                                                                                
Number 2190                                                                                                                     
                                                                                                                                
REPRESENTATIVE   GRUENBERG   restated   the   motion   to   adopt                                                               
Amendment 2  [text   provided  previously].     There   being  no                                                               
objection, it was so ordered.                                                                                                   
                                                                                                                                
Number 2220                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GRUENBERG referred  to Amendment  3, labeled  23-                                                               
LS0058\I.4, Craver, 3/12/03, which read:                                                                                        
                                                                                                                                
     Page 2, line 21, following "data base;":                                                                                   
          Insert "the attorney general may adjust the                                                                           
       annual data base access fee by regulation to fully                                                                       
     cover the costs of creating and maintaining the Alaska                                                                     
     No-Call List;"                                                                                                             
                                                                                                                                
MR.  ROBERTS remarked,  "The problem  with this  is that  the way                                                               
it's been  drafted, it restates  lines 24-25."  However,  he said                                                               
the intent  of the amendment was  "to make it so  that it's $750,                                                               
unless the attorney general determines  that that's not enough to                                                               
make the program  sustainable."  He mentioned  past discussion to                                                               
delete the $750.                                                                                                                
                                                                                                                                
Number 2258                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GRUENBERG   announced  that  he   wouldn't  offer                                                               
Amendment  3,  but instead  would  offer  Amendment 2b  from  the                                                               
previous meeting.  [It was relabeled Amendment 4.]                                                                              
                                                                                                                                
Number 2339                                                                                                                     
                                                                                                                                
REPRESENTATIVE GRUENBERG  moved to adopt Amendment  4, which read                                                               
[original punctuation provided]:                                                                                                
                                                                                                                                
     Section 2.  AS 45.50.475(b)                                                                                                
          1    Page 2, line 18, remove "of $750."                                                                               
                                                                                                                                
     This provision allows the attorney general to set the                                                                      
     access fee.                                                                                                                
                                                                                                                                
MR. POUND asked  if the words "by regulation" needed  to be added                                                               
within page 2, lines 24-25.                                                                                                     
                                                                                                                                
REPRESENTATIVE  GRUENBERG  said  he'd  like to  take  that  as  a                                                               
separate amendment.                                                                                                             
                                                                                                                                
Number 2386                                                                                                                     
                                                                                                                                
CHAIR  WEYHRAUCH asked  if there  was any  objection to  adopting                                                               
Amendment 4.  There being no objection, it was so ordered.                                                                      
                                                                                                                                
Number 2399                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GRUENBERG  returned   discussion  to  what  would                                                               
become Conceptual  Amendment 5.   He agreed with Mr.  Pound about                                                               
adding "by regulation",  but pointed out that it may  result in a                                                               
small fiscal note.                                                                                                              
                                                                                                                                
CHAIR WEYHRAUCH responded that he  thinks this committee needs to                                                               
focus on the  policy issues, not the fiscal impacts.   He said he                                                               
thinks the  committee's intent is that  the cost of be  passed on                                                               
to those  who would make  the calls, not  to the consumer  or the                                                               
public.                                                                                                                         
                                                                                                                                
REPRESENTATIVE GRUENBERG  suggested he'd  offer an  amendment and                                                               
submit a letter of intent to the House Finance Committee.                                                                       
                                                                                                                                
Number 2712                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GRUENBERG  offered   Conceptual  Amendment  5  as                                                               
follows:                                                                                                                        
                                                                                                                                
     Page 2, lines 24-25                                                                                                        
      Delete "the attorney general may annually adjust the                                                                      
     fees received by the designated agent;"                                                                                    
     Insert  "the attorney  general  may  adjust the  annual                                                                    
     data base access  fee by regulation to  fully cover the                                                                    
     costs of  creating and  maintaining the  Alaska No-Call                                                                    
     List;"                                                                                                                     
                                                                                                                                
CHAIR  WEYHRAUCH   remarked  that  this  is   the  same  language                                                               
[originally in Amendment 3], only inserted in a different spot.                                                                 
                                                                                                                                
Number 2833                                                                                                                     
                                                                                                                                
CHAIR  WEYHRAUCH asked  if there  was any  objection to  adopting                                                               
Conceptual  Amendment 5.   There  being no  objection, it  was so                                                               
ordered.                                                                                                                        
                                                                                                                                
Number 2885                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GRUENBERG moved  to report  CSHB 15,  Version 23-                                                               
LS0058\I,  Craver, 02/28/03,  as amended,  out of  committee with                                                               
individual recommendations and the accompanying fiscal note.                                                                    
                                                                                                                                
CHAIR  WEYHRAUCH announced  that he  wanted to  give someone  the                                                               
opportunity to testify.                                                                                                         
                                                                                                                                
Number 2915                                                                                                                     
                                                                                                                                
STEVE   CLEARY,  Executive   Director,  Alaska   Public  Interest                                                               
Research Group (AkPIRG), said AkPIRG supports  HB 15.  He said he                                                               
is excited to be able to tell  the members of the group that soon                                                               
there will  be a no-call list  for which they can  register at no                                                               
cost.                                                                                                                           
                                                                                                                                
REPRESENTATIVE  GRUENBERG  reminded  members that  an  additional                                                               
amendment had been adopted at the previous hearing.                                                                             
                                                                                                                                
CHAIR WEYHRAUCH asked  if there was any objection  to the motion.                                                               
There  being no  objection, CSHB  15(STA) was  reported from  the                                                               
House State Affairs Standing Committee.                                                                                         
                                                                                                                                

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