Legislature(2013 - 2014)BELTZ 105 (TSBldg)

03/13/2014 01:30 PM LABOR & COMMERCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 99 AIDEA: DEVELOPMENT LOANS TELECONFERENCED
Scheduled But Not Heard
+= SB 166 BOARD OF NURSING; NURSES TELECONFERENCED
Moved CSSB 166(L&C) Out of Committee
+= SB 167 MULTIPLE VEHICLE INSURANCE POLICIES TELECONFERENCED
Moved SB 167 Out of Committee
+= SB 140 AIDEA: ARCTIC DEVELOPMENT PROGRAM/FUND TELECONFERENCED
Moved CSSB 140(L&C) Out of Committee
+= SB 190 DELEGATION OF GUIDE-OUTFITTER DUTIES TELECONFERENCED
Heard & Held
+= SB 156 DIRECT-ENTRY MIDWIVES TELECONFERENCED
Heard & Held
+= SB 193 CONTRACTORS: BONDS; LICENSING TELECONFERENCED
Scheduled But Not Heard
+ Bills Previously Heard/Scheduled TELECONFERENCED
         SB 140-AIDEA: ARCTIC DEVELOPMENT PROGRAM/FUND                                                                      
                                                                                                                                
2:52:04 PM                                                                                                                    
CHAIR DUNLEAVY  announced the consideration  of SB 140.  He noted                                                               
that  this was  the  second  hearing and  that  there  was a  new                                                               
committee substitute (CS).                                                                                                      
                                                                                                                                
2:52:39 PM                                                                                                                    
SENATOR  MICCICHE moved  to  adopt  CS for  SB  140, labeled  28-                                                               
LS1246\R as the working document.                                                                                               
                                                                                                                                
CHAIR DUNLEAVY objected for discussion purposes.                                                                                
                                                                                                                                
2:53:10 PM                                                                                                                    
JESSE LOGAN,  Staff, Senator  Lesil McGuire,  sponsor of  SB 140,                                                               
reviewed the following changes found in Version R:                                                                              
                                                                                                                                
     Section 1. 44.88.088(a)                                                                                                  
     Page 1, Line 5 thru Page 2, Line 19                                                                                        
        · This section of  existing statute establishes that                                                                    
          the  Alaska  Industrial   Development  and  Export                                                                    
          Authority  (AIDEA)   shall  adopt  a   policy  for                                                                    
          payment  of a  dividend to  the state  each fiscal                                                                    
          year from two existing funds.                                                                                         
        · Line   9:    adds   the    Arctic   infrastructure                                                                    
          development  fund  (AIDF)  (AS 44.88.810)  to  the                                                                    
          list of funds  that repay a dividend  each year to                                                                    
          the state.                                                                                                            
        · Page 2,  Lines 14-  19 defines  the amount  of the                                                                    
          dividend from  the AIDF: the  dividend may  not be                                                                    
          less than 25% nor more  than 50% of the net income                                                                    
          of the fund.                                                                                                          
        · This section  puts the  AIDF in-line  with AIDEA's                                                                    
          revolving    fund     and    sustainable    energy                                                                    
          transmission and supply development fund (SETS).                                                                      
                                                                                                                                
     Section 2. AS 44.88.088(b)(2)                                                                                            
     Page 2, Lines 20-29                                                                                                        
        · This  section  of  existing statute  defines  "net                                                                    
          income"                                                                                                               
            o Lines      24-26:    inserts     the    Arctic                                                                    
               infrastructure development fund                                                                                  
                                                                                                                                
     Section 3. AS 44.88.088(b)(3)                                                                                            
     Page 2, line 30 thru Page 3, line 7                                                                                        
        · This  section  defines "unrestricted  net  income"                                                                    
          for the purposes of this chapter.                                                                                     
        · Page   3,   lines    3-4:   inserts   the   Arctic                                                                    
          infrastructure development fund                                                                                       
                                                                                                                                
     Sections 4-9: No change                                                                                                  
                                                                                                                              
     Section 10. AS 44.88                                                                                                     
     Page 6, line 5:                                                                                                            
        · Following "fund"                                                                                                      
            o Insert: "by a majority vote of the members                                                                        
               of the authority under AS 44.88.050 from any                                                                     
               other fund controlled"                                                                                           
               · This change clarifies that AIDEA is                                                                            
                  authorized to  transfer  money  or  assets                                                                    
                  from other funds it controls if there is a                                                                    
                  majority  vote   of  the   members,  which                                                                    
                  constitutes and action of the Board of                                                                        
                  Directors.                                                                                                    
     Page 7, Line 11:                                                                                                           
        · Delete: "an application"                                                                                              
        · Insert: "a"                                                                                                           
            o  This   reduces   the    encumbrance   of   an                                                                    
               application  being filled  out,  but the  due                                                                    
               diligence  on the  applicant and  the project                                                                    
               remain unchanged.                                                                                                
     Page 7, Line 23:                                                                                                           
        · Delete: "30"                                                                                                          
        · Insert: "40"                                                                                                          
            o  This   number   is   more   appropriate   for                                                                    
               infrastructure.                                                                                                  
     Page 7, Line 27 thru Page 8, Line1                                                                                         
        · 44.88.840 now includes this language pertaining                                                                       
          to AS 44.88.900(19)(B)                                                                                                
            o  44.88.840(d) sets  a floor or  minimum amount                                                                    
               for  loans  or  bond guarantees  for  certain                                                                    
               activities  so  that  this program  does  not                                                                    
               compete   with   existing   state   financing                                                                    
               programs related to fisheries.                                                                                   
                                                                                                                                
     Section 11. AS 44.88.900                                                                                                 
         Page 8, Line 7-14: A new definition of "Arctic                                                                         
     Infrastructure Development" is established.                                                                                
        · (19) "Arctic infrastructure development" means                                                                        
            (A)      the     construction,      improvement,                                                                    
            rehabilitation , or expansion  of a facility [IN                                                                  
            THE  ARCTIC OF  A  PORT,  ROAD, ENERGY  PROJECT,                                                                    
            HANGAR, OR  FACILITY  TO AID  IN DEVELOPMENT  OR                                                                    
            MEET EMERGENCY RESPONSE NEEDS].                                                                                     
               (i) In  the Arctic  to aid in  development or                                                                  
               meet emergency response needs; or                                                                              
               (ii)  In  the   state  if  the  construction,                                                                  
               improvement,  rehabilitation,   or  expansion                                                                  
               supports  or furthers  the  development of  a                                                                  
               facility in the Arctic.                                                                                        
        · The removal of the list of types of facilities                                                                        
          was done to ensure that the list was inclusive,                                                                       
          rather than exclusive, of unforeseen future                                                                           
          infrastructure needs.                                                                                                 
        · The addition of AS 44.88.900(19)(b) was done to                                                                       
          ensure that the fund was authorized to help                                                                           
          finance infrastructure needs in all areas of the                                                                      
          state that may be necessary to support the                                                                            
          development of infrastructure in the Arctic.                                                                          
                                                                                                                                
     Page 8, Lines 15-19:                                                                                                       
        · Additional    language    added   pertaining    to                                                                    
          fisheries:                                                                                                            
            o 44.88.900(19)(B)                                                                                                  
                ƒThe purchase or repair of a fishing                                                                         
                  vessel  for use  in  an federally  managed                                                                  
                  fishery, the  purchase of quota  shares or                                                                  
                  individual   fishing  quota   used  in   a                                                                  
                  federally  managed fishery in  the Arctic,                                                                  
                  or   the   construction,   improvement   ,                                                                  
                  rehabilitation,  or expansion of  a plant,                                                                  
                  facility, or equipment  used in support of                                                                  
                  a fishery in the Arctic.                                                                                    
            o This language allows the AIDF to support                                                                          
               fisheries in the Arctic.                                                                                         
                                                                                                                                
2:55:39 PM                                                                                                                    
CHAIR  DUNLEAVY removed  his objection.  There  being no  further                                                               
objection, Version [R] was adopted.                                                                                             
                                                                                                                                
2:55:59 PM                                                                                                                    
At ease.                                                                                                                        
                                                                                                                                
2:56:11 PM                                                                                                                    
CHAIR DUNLEAVY reconvened the meeting.                                                                                          
                                                                                                                                
SENATOR OLSON thanked the sponsor for bringing the bill forward.                                                                
                                                                                                                                
2:56:45 PM                                                                                                                    
SENATOR  MICCICHE  directed  attention   to  the  limitations  on                                                               
financing  provision in  Sec. 44.88.840  on page  7, line  15. He                                                               
asked for a  description of the provisions in  paragraphs (1) and                                                               
(2) in subsection (a).                                                                                                          
                                                                                                                                
SENATOR  MCGUIRE   said  her   understanding  was   that  without                                                               
legislative approval,  AIDEA could use the  Arctic infrastructure                                                               
development fund  to make a loan  for less than one-third  of the                                                               
capital cost of  an Arctic infrastructure project  or AIDEA could                                                               
make a  loan guarantee  for less than  $20 million.  She deferred                                                               
further explanation to AIDEA.                                                                                                   
                                                                                                                                
SENATOR MICCICHE asked AIDEA to describe the provisions.                                                                        
                                                                                                                                
2:58:31 PM                                                                                                                    
MARK  DAVIS, Deputy  Director,  Alaska  Industrial Development  &                                                               
Export Authority  (AIDEA), Anchorage, Alaska, explained  that the                                                               
limitations are  designed so  that AIDEA  is always  working with                                                               
the private sector  on these types of  financing. The explanation                                                               
for  the one-third  limitation on  the loan  is that  AIDEA would                                                               
like to  use private sector  lending whenever possible.  The idea                                                               
behind the  $20 million cap  on the  loan guarantee is  to ensure                                                               
that  AIDEA's bonding  capability remains  intact. He  noted that                                                               
the legislature could waive either  of those limitations and they                                                               
were waived  last session  in Senate  Bill 23  in support  of the                                                               
Interior Energy Project. AIDEA feels  it is appropriate to obtain                                                               
legislative approval for very large projects like that.                                                                         
                                                                                                                                
3:01:03 PM                                                                                                                    
SENATOR  MICCICHE  moved  to  adopt   Amendment  1,  labeled  28-                                                               
LS1246\R.2.                                                                                                                     
                                                                                                                                
                          AMENDMENT 1                                                                                       
                                                                                                                                
                                                                                                                                
     OFFERED IN THE SENATE               BY SENATOR MICCICHE                                                                    
                                                                                                                                
          TO:  CSSB 140(   ), Draft Version "R"                                                                                 
                                                                                                                                
                                                                                                                                
     Page 7, following line 26:                                                                                                 
     Insert a new subsection to read:                                                                                           
          "(d)  Notwithstanding (a) of this section, the                                                                        
     authority may  not provide financing  or loans  or bond                                                                    
     guarantees in  an amount less  than $7,000,000  for the                                                                    
     purchase  or  repair of  a  fishing  vessel used  in  a                                                                    
     federally  managed  fishery,   the  purchase  of  quota                                                                    
     shares or individual fishing quota  used in a federally                                                                    
     managed  fishery in  the Arctic,  or the  construction,                                                                    
     improvement, rehabilitation,  or expansion of  a plant,                                                                    
     facility,  or equipment  used in  support  of a  state-                                                                    
     managed fishery in the Arctic."                                                                                            
                                                                                                                                
     Page 8, line 1, following "means":                                                                                         
          Insert "(A)"                                                                                                          
                                                                                                                                
     Page 8, line 3:                                                                                                            
          Delete "(A)"                                                                                                          
          Insert "(i)"                                                                                                          
                                                                                                                                
     Page 8, line 5:                                                                                                            
          Delete "(B)"                                                                                                          
          Insert "(ii)"                                                                                                         
                                                                                                                                
     Page 8, line 6, following "Arctic":                                                                                        
          Insert "; or                                                                                                          
               (B)  the purchase or repair of a fishing                                                                         
     vessel  for use  in  a federally  managed fishery,  the                                                                    
     purchase of  quota shares  or individual  fishing quota                                                                    
     used in a  federally managed fishery in  the Arctic, or                                                                    
     the   construction,  improvement,   rehabilitation,  or                                                                    
     expansion of  a plant,  facility, or equipment  used in                                                                    
     support of a state-managed fishery in the Arctic"                                                                          
                                                                                                                                
CHAIR DUNLEAVY objected for discussion purposes.                                                                                
                                                                                                                                
SENATOR MICCICHE read the amendment.                                                                                            
                                                                                                                                
SENATOR OLSON asked if the sponsor supported the amendment.                                                                     
                                                                                                                                
SENATOR MCGUIRE said she did support the amendment.                                                                             
                                                                                                                                
3:02:10 PM                                                                                                                    
SENATOR STEDMAN asked the purpose of the amendment.                                                                             
                                                                                                                                
SENATOR MICCICHE explained that the amendment allows support for                                                                
Arctic infrastructure and Arctic-related projects for ports that                                                                
support the Arctic but aren't located in the Arctic but.                                                                        
                                                                                                                                
SENATOR OLSON asked if the fiscal note would be affected.                                                                       
                                                                                                                                
SENATOR MICCICHE replied it doesn't change the fiscal note.                                                                     
                                                                                                                                
SENATOR OLSON asked if AIDEA supported the amendment.                                                                           
                                                                                                                                
MR. DAVIS said AIDEA generally supports the amendment but would                                                                 
suggest on page 1, line 8, striking the term "state-managed"                                                                    
because AIDEA supports both federal and state-managed fisheries.                                                                
                                                                                                                                
3:04:27 PM                                                                                                                    
SENATOR STEDMAN asked if that change was acceptable to the                                                                      
amendment sponsor.                                                                                                              
                                                                                                                                
3:05:03 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
3:06:27 PM                                                                                                                    
CHAIR DUNLEAVY reconvened the meeting.                                                                                          
                                                                                                                                
SENATOR MICCICHE said he doesn't object to the suggested                                                                        
revision.                                                                                                                       
                                                                                                                                
CHAIR DUNLEAVY asked if there was any objection to the amendment                                                                
to the amendment.                                                                                                               
                                                                                                                                
3:07:12 PM                                                                                                                    
At ease                                                                                                                         
                                                                                                                                
3:07:41 PM                                                                                                                    
SENATOR MICCICHE withdrew his motion to adopt Amendment 1,                                                                      
labeled 28-LS1246\R.2.                                                                                                          
                                                                                                                                
SENATOR MICCICHE moved to adopt 28-LS1246\R.2 as amended.                                                                       
                                                                                                                                
                          AMENDMENT 2                                                                                       
                                                                                                                                
                                                                                                                                
     OFFERED IN THE SENATE               BY SENATOR MICCICHE                                                                    
                                                                                                                                
          TO:  CSSB 140(   ), Draft Version "R"                                                                                 
                                                                                                                                
                                                                                                                                
     Page 7, following line 26:                                                                                                 
     Insert a new subsection to read:                                                                                           
          "(d)  Notwithstanding (a) of this section, the                                                                        
     authority may  not provide financing  or loans  or bond                                                                    
     guarantees in  an amount less  than $7,000,000  for the                                                                    
     purchase  or  repair of  a  fishing  vessel used  in  a                                                                    
     federally  managed  fishery,   the  purchase  of  quota                                                                    
     shares or individual fishing quota  used in a federally                                                                    
     managed  fishery in  the Arctic,  or the  construction,                                                                    
     improvement, rehabilitation,  or expansion of  a plant,                                                                    
     facility,  or equipment  used in  support  of a  state-                                                                    
     managed fishery in the Arctic."                                                                                            
                                                                                                                                
     Page 8, line 1, following "means":                                                                                         
          Insert "(A)"                                                                                                          
                                                                                                                                
     Page 8, line 3:                                                                                                            
          Delete "(A)"                                                                                                          
          Insert "(i)"                                                                                                          
                                                                                                                                
     Page 8, line 5:                                                                                                            
          Delete "(B)"                                                                                                          
          Insert "(ii)"                                                                                                         
                                                                                                                                
     Page 8, line 6, following "Arctic":                                                                                        
          Insert "; or                                                                                                          
               (B)  the purchase or repair of a fishing                                                                         
     vessel  for use  in  a federally  managed fishery,  the                                                                    
     purchase of  quota shares  or individual  fishing quota                                                                    
     used in a  federally managed fishery in  the Arctic, or                                                                    
     the   construction,  improvement,   rehabilitation,  or                                                                    
     expansion of  a plant,  facility, or equipment  used in                                                                    
     support of a fishery in the Arctic"                                                                                        
                                                                                                                                
CHAIR DUNLEAVY objected for discussion purposes.                                                                                
                                                                                                                                
SENATOR MICCICHE  explained that the foregoing  discussion was to                                                               
remove  the term  "state-managed" from  page  1, line  8, of  the                                                               
original amendment, 28-LS1246\R.2. There was no other change.                                                                   
                                                                                                                                
CHAIR   DUNLEAVY  removed   his  objection   and  opened   public                                                               
testimony.                                                                                                                      
                                                                                                                                
3:09:40 PM                                                                                                                    
RON LONG, City  of Seward, stated support for SB  140 as amended,                                                               
consistent with their testimony on the original bill.                                                                           
                                                                                                                                
3:10:11 PM                                                                                                                    
CHAIR DUNLEAVY closed public testimony.                                                                                         
                                                                                                                                
3:10:21 PM                                                                                                                    
SENATOR STEDMAN moved  to report CS for SB 140,  as amended, from                                                               
committee  with individual  recommendations  and attached  fiscal                                                               
note(s).                                                                                                                        
                                                                                                                                
CHAIR DUNLEAVY  announced that  without objection,  CSSB 140(L&C)                                                               
moved from the Senate Labor and Commerce Standing Committee.                                                                    

Document Name Date/Time Subjects
CS SB99 version C.pdf SL&C 3/13/2014 1:30:00 PM
SB 99
CSSB 99 Explanation of Changes Version C.pdf SL&C 3/13/2014 1:30:00 PM
SB 99
CSSB 99 Sectional Analysis Version C.pdf SL&C 3/13/2014 1:30:00 PM
SB 99
SB166_DCCEDResponseLetter.pdf SL&C 3/13/2014 1:30:00 PM
SB 166
SB167_ Infograph.pdf SL&C 3/13/2014 1:30:00 PM
SB 167
CS SB 140 Explanation of Changes Version R.pdf SL&C 3/13/2014 1:30:00 PM
SB 140
CS SB 140 Sectional Analysis version R.pdf SL&C 3/13/2014 1:30:00 PM
SB 140
CS SB140 Version R.pdf SL&C 3/13/2014 1:30:00 PM
SB 140
SB0190A.PDF SL&C 3/13/2014 1:30:00 PM
SB 190
SB190 CS ver U.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB 190 Sponsor Statement.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190 Summary of Changes ver A to ver U.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_ support letters_Bishop.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Chadd.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Entsminger.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Geary.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Harms.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Jacobson.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Joyce.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_King.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Klutsch.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Kubat.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Leonard.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_McCarthy.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Munsey.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Parker.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Pitts.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Smith.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190_support letters_Tiffany IV.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190-DCCED-CBPL-03-07-14.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB190-DPS-AWT-03-07-14.pdf SL&C 3/13/2014 1:30:00 PM
SB 190
SB 156 - Sponsor Statement.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 156.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 156 - Sectional Analysis.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB156-DCCED-CBPL-03-07-14.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 156 - Support letter - Lucey.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 156 - Board letter to Rep Munoz Aug 2012.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 156 - Letter from CDM Board.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 156 - Letter of Support - Downing.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 156 - Letter of Support - MAA.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 156 - Letter of Support - Norton.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 156 - Letter of Support - Taygan.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 156 - CDM Annual Report FY 13.pdf SL&C 3/13/2014 1:30:00 PM
SB 156
SB 193 Sectional Analysis_Updated.pdf SL&C 3/13/2014 1:30:00 PM
SB 193
SB 140 ARPA_Polar map.pdf SL&C 3/13/2014 1:30:00 PM
SB 140
SB166_SupportLetter_ProNurses.pdf SL&C 3/13/2014 1:30:00 PM
SB 166