04/16/1993 04:15 PM Senate HES

 CHAIRMAN RIEGER introduced  CSHB 217(JUD)  (NATIVE CORPORATION                
 DIVIDENDS TO MINORS) as the next order of business.                           
                                                                               
 RENA BUCKOVICH, staff to Representative Eileen MacLean,                       
 explained the purpose of HB 217 is to require Native                          
 corporation's under the Alaska Native Claims Settlement Act                   
 (ANSCA) to hold a minor's dividends in an interest bearing                    
 account while the minor is in state custody.                                  
                                                                               
 The legislation was requested by the Department of Health and                 
 Social Services and the Native corporations to assure that                    
 stock dividends are protected and spent for the child's                       
 benefit while the child is in state custody.                                  
                                                                               
 Besides requiring the corporation to set up interest bearing                  
 accounts for minors held in state custody, Ms. Buckovich said                 
 the bill also prohibits the corporation from using the                        
 property in the account unless approved by a court and                        
 specifies when corporations can distribute property.  Further,                
 it exempts the retention and distribution of dividends and                    
 distributions under the legislation from the Uniform Transfers                
 to Minors Act.                                                                
                                                                               
 Number 575                                                                    
                                                                               
 SENATOR MILLER moved that CSHB 217(JUD) be passed out of                      
 committee with individual recommendations.  Hearing no                        
 objection, it was so ordered.