Legislature(2001 - 2002)

04/18/2002 03:40 PM Senate STA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
            HB  53-SEISMIC HAZARDS SAFETY COMMISSION                                                                        
                                                                                                                              
REPRESENTATIVE  JOHN DAVIES,  sponsor,  explained  the bill  would                                                              
create  an Alaska  Seismic Safety  Commission.  This is  necessary                                                              
because  although there  are current ongoing  efforts to  mitigate                                                              
hazards and  risks of  earthquakes, the  efforts are spread  among                                                              
agencies.  This high  level commission  would  look across  agency                                                              
boundaries.  It  is  important  to   have  an  ongoing  effort  to                                                              
continuously improve the state's preparedness.                                                                                  
                                                                                                                                
Building codes  and earthquake insurance  are the kinds  of issues                                                              
that  need more  attention  and require  a  long-term view.  Large                                                              
magnitude  earthquakes are  a rare  event, but  an extreme  hazard                                                              
nonetheless. This  type of commission  is needed to  remind people                                                              
that we  need to be  worried about them.  It's easy to  forget how                                                              
devastating  an earthquake  can be because  the catastrophic  ones                                                              
are infrequent.                                                                                                                 
                                                                                                                                
CHAIRMAN THERRIAULT  noted a number of other states  have a safety                                                              
council or a  consortium. He asked whether the  proposed structure                                                              
and the level of the structure was  the same as a consortium or an                                                              
advisory panel in other states.                                                                                                 
                                                                                                                                
REPRESENTATIVE DAVIES  replied it  varies between states.  What he                                                              
refers to  as a  commission is  a panel  of people that  represent                                                              
specific areas  of expertise. He  would like to see  a coordinated                                                              
effort  to use the  expertise in  the various  state agencies  and                                                              
bring it  together at the  governor's level  so it is  possible to                                                              
look across the agency boundaries.  Other states have a variety of                                                              
models for how to proceed.                                                                                                      
                                                                                                                                
MILTON  WILTSE,  Director  of  Alaska   Geological  &  Geophysical                                                              
Surveys,  testified via  teleconference.  They  have followed  the                                                              
legislation  for  a  number  of years  and  are  very  supportive.                                                              
Similar bodies in other states were  begun as a consequence of the                                                              
1964  earthquake  in  Alaska.  Over  the  years,  there  has  been                                                              
progress  in  building  codes  and  mitigating  various  types  of                                                              
structures to  decrease the magnitude  of emergency  response that                                                              
would be  necessary after an event.  They believe a  commission or                                                              
panel  that will  have  the view  of trying  to  balance the  many                                                              
issues that have to be addressed  for mitigation of these types of                                                              
events is  a very  good step. It  is a complex  issue and  takes a                                                              
balanced  panel  to bring  the  various issues  and  organizations                                                              
forward.                                                                                                                        
                                                                                                                                
To this point, much of the mitigation  work that has been done has                                                              
been  focused in  Anchorage, but  there  are other  municipalities                                                              
with different  types of  events that might  occur from  a seismic                                                              
event. This  legislation is  very encouraging  to get a  reviewing                                                              
body in place.                                                                                                                  
                                                                                                                                
ROD  COMBELLICK,   Engineering  Geology  Chief  with   the  Alaska                                                              
Geological  & Geophysical Surveys,  testified via  teleconference.                                                              
He  has looked  at this  problem and  how other  states deal  with                                                              
their earthquake hazards during his  20 years with the department.                                                              
The 1964 Alaskan  earthquake is what caused other  states, notably                                                              
California, to begin their efforts  to coordinate their earthquake                                                              
hazard mitigation.  As a result of  those efforts they  have saved                                                              
many  lives  and  millions  to billions  of  dollars  in  property                                                              
damage.                                                                                                                         
                                                                                                                                
He just  returned from the  State Emergency Management  Conference                                                              
in  Anchorage  and representatives  from  Washington,  Oregon  and                                                              
California were  present. About a  year ago there was  a magnitude                                                              
6.7 earthquake near  Seattle and although it was  the same size as                                                              
the Northridge  earthquake in California  in 1994, the  damage was                                                              
surprisingly minimal.  Some is attributed to luck in  terms of the                                                              
depth of the earthquake and the time  of day it occurred, but much                                                              
is attributed to  the efforts Washington State has  taken over the                                                              
past ten years. Their seismic safety  committee, which is the same                                                              
level as  the one proposed here,  recommended many of  the changes                                                              
that kept that quake from being devastating.  They have instituted                                                              
seismic  retrofitting  of  their   highways  and  bridge  systems,                                                              
instituted  more  stringent  building codes  and  coordinated  the                                                              
efforts of state and local governments.                                                                                         
                                                                                                                                
Alaska  has gone  almost  40 years  without  any major  structural                                                              
damage from an earthquake, but this  doesn't mean there won't be a                                                              
big  event that  strikes  a populated  area  and  exceeds all  the                                                              
disasters we've  had so far. This  is something that  shouldn't be                                                              
ignored.  A  little   over  a  year  ago  the   Federal  Emergency                                                              
Management Agency  (FEMA) put out a report that  projected state's                                                              
annual losses  from earthquakes.  Alaska ranked number  eight with                                                              
annual losses  in the  neighborhood of $42  million or  $70.00 per                                                              
person.  In  terms  of  the  annualized  cost  of  earthquakes  in                                                              
relation to the  value of its infrastructure,  Alaska ranks number                                                              
two and has the distinction of being  the only state that does not                                                              
have  a state  level seismic  safety commission.  This bill  would                                                              
establish that ability.                                                                                                         
                                                                                                                                
There was no further testimony.                                                                                                 
                                                                                                                                
CHAIRMAN THERRIAULT noted the e-mail  from Dr. John L. Aho. Copies                                                              
were in members' packets.                                                                                                       
                                                                                                                                
He said there  was no prepared CS and no amendments  were offered.                                                              
There were two fiscal notes.                                                                                                    
                                                                                                                                
SENATOR  HALFORD  asked whether  there  was  a sunset  review.  He                                                              
thought the referenced section was the sunset schedule.                                                                         
                                                                                                                                
CHAIRMAN THERRIAULT  said it's not a sunset that  would have to be                                                              
reviewed by the auditors; it would just have to be reauthorized.                                                                
                                                                                                                                
SENATOR STEVENS  asked Representative  Davies about page  2, lines                                                              
29  and 30  that said,  "(a) The  commission  shall (1)  recommend                                                              
goals and priorities  for seismic hazard mitigation  to the public                                                              
and   private   sectors;".   He   asked   what   some   of   those                                                              
recommendations might entail.                                                                                                   
                                                                                                                                
REPRESENTATIVE  DAVIES   said  primarily  they  would   relate  to                                                              
building  codes  and practices.  Private  sector  associations  of                                                              
engineers  generally develop  building codes.  It's important  for                                                              
the state seismologist  to review those recommendations  from time                                                              
to time because  they are primarily made in other  states and they                                                              
aren't always appropriate for Alaska.                                                                                           
                                                                                                                                
A secondary  concern  has to  do with  earthquake insurance.  Many                                                              
people are priced out of this market  because earthquake insurance                                                              
in Alaska is  set by the experience  in Anchorage. It is  his hope                                                              
that one of  the goals of the  group would be to  rationalize this                                                              
type of insurance for Alaska so the  price would become affordable                                                              
in places where the risk is low.                                                                                                
                                                                                                                                
SENATOR STEVENS referred to the dedicated  seats on the commission                                                              
and noted  there was  a seat  for industry  and insurance  but the                                                              
seat  for a  structural or  architectural  engineer was  optional.                                                              
[Page  2,  lines  11-21]  If the  commission  was  going  to  make                                                              
building  recommendations  for mitigation,  it  seemed logical  to                                                              
include more scientists.                                                                                                        
                                                                                                                                
REPRESENTATIVE  DAVIES replied  many of  the representatives  from                                                              
the  different  agencies  could  be  scientists.  He  singled  out                                                              
insurance because it  is a large and critical piece  when there is                                                              
a catastrophic  event.  It's also  critical in  terms of  reducing                                                              
hazard. If  insurance were to be  rationalized over the  long term                                                              
so that  people that move  into an area  with a higher  risk would                                                              
pay  more, people  would look  for low  risk areas  and avoid  the                                                              
higher risk  areas and  thus reduce losses.  Insurance can  play a                                                              
central role in  hazard mitigation, but it must  be done carefully                                                              
and over the long term.                                                                                                         
                                                                                                                                
CHAIRMAN  THERRIAULT   acknowledged   that  Senator  Halford   was                                                              
correct;   section  44.19.635   is   the   section  dealing   with                                                              
termination of state boards and commissions.  If it's not extended                                                              
by the  cutoff date, it  goes into a sunset  year. It would  be in                                                              
the category of  boards and commissions that are  audited to get a                                                              
recommendation of whether they should be extended or not.                                                                       
                                                                                                                                
He asked for the will of the committee.                                                                                         
                                                                                                                                
SENATOR  DAVIS made  a motion to  move CSHB  53(STA) and  attached                                                              
fiscal  notes  from  committee  with  individual  recommendations.                                                              
There being no objection, it was so ordered.                                                                                    

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