Legislature(1993 - 1994)
01/27/1994 03:00 PM House L&C
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE LABOR AND COMMERCE
STANDING COMMITTEE
January 27, 1994
3:00 p.m.
MEMBERS PRESENT
Rep. Bill Hudson, Chairman
Rep. Joe Green, Vice Chair
Rep. Brian Porter
Rep. Eldon Mulder
Rep. Bill Williams
Rep. Jerry Mackie
Rep. Joe Sitton
MEMBERS ABSENT
None
COMMITTEE CALENDAR
*HCR 25: Relating to a state materials exchange.
MOVED FROM COMMITTEE
HB 292: "An Act relating to civil actions; amending Alaska
Rules of Civil Procedure 49 and 68; and providing
for an effective date."
HEARD AND HELD IN COMMITTEE
(* First public hearing.)
WITNESS REGISTER
REP. PETE KOTT
Alaska State Legislature
State Capitol
Juneau, Alaska 99801-1182
465-3777
Position Statement: Sponsor of HCR 25
DAVID WIGGLESWORTH
Pollution Prevention
3601 C St., Suite 1334
Anchorage, Alaska 99503
563-6529
Position Statement: Supported HCR 25
PREVIOUS ACTION
BILL: HCR 25
SHORT TITLE: STATE INDUSTRIAL MATERIALS EXCHANGE
SPONSOR(S): REPRESENTATIVE(S) KOTT,Green,Menard,Nordlund,
B.Davis
JRN-DATE JRN-PG ACTION
01/10/94 2005 (H) READ THE FIRST TIME/REFERRAL(S)
01/10/94 2005 (H) LABOR & COMMERCE, STATE AFFAIRS
01/14/94 2082 (H) COSPONSOR(S): GREEN
01/21/94 2126 (H) COSPONSOR(S): MENARD
01/24/94 2139 (H) COSPONSOR(S): NORDLUND
01/26/94 2159 (H) COSPONSOR(S): B. DAVIS
01/27/94 (H) L&C AT 03:00 PM CAPITOL 17
BILL: HB 292
SHORT TITLE: CIVIL LIABILITY
SPONSOR(S): LABOR & COMMERCE
JRN-DATE JRN-PG ACTION
04/23/93 1459 (H) READ THE FIRST TIME/REFERRAL(S)
04/23/93 1459 (H) L&C, JUDICIARY, FINANCE
09/10/93 (H) L&C AT 09:00 AM CAPITOL 17
01/27/94 (H) L&C AT 03:00 PM CAPITOL 17
ACTION NARRATIVE
TAPE 94-4, SIDE A
Number 001
CHAIRMAN HUDSON convened the meeting at 3:05 p.m. All
members were present.
HCR 25 - STATE INDUSTRIAL MATERIALS EXCHANGE
Number 015
REP. PETE KOTT, prime sponsor of HCR 25, stated that HCR 25
asserts the importance of fully utilizing resources by
encouraging industry to participate in a materials exchange
within the state, and by asking the governor to proclaim a
materials exchange month. A materials exchange is an
information network allowing companies to serve notice of
the availability of surplus goods. Arrangements can then be
made between companies to transfer surpluses that would
otherwise be placed in landfills. He said BP and Arco have
provided seed money for the project and it is being
coordinated through the Department of Environmental
Conservation's Pollution Prevention office.
REP. KOTT outlined the two changes from the original bill to
the new committee substitute offered:
1) naming ARCO and BP as providing the seed money; and
2) changing the month of the "Alaska Materials Exchange
Month" from March to April.
Number 086
CHAIRMAN HUDSON asked if there was any financial requirement
by the state.
REP. KOTT responded that there wasn't.
Number 095
REP. PORTER moved the adoption of the committee substitute.
No objection was heard; it was so ordered.
Number 102
REP. SITTON asked to what extent the state would be involved
in this program.
Number 110
REP. KOTT replied that the Pollution Prevention office in
the Department of Environmental Conservation would oversee
the program.
Number 138
DAVID WIGGLESWORTH, Chief of Pollution Prevention, testified
via teleconference from Anchorage in support of CSHCR
25(L&C).
Number 159
REP. PORTER moved CSHCR 25(L&C) with individual
recommendations and a zero fiscal note. No objections were
heard; it was so ordered.
HB 292 - CIVIL LIABILITY
CHAIRMAN HUDSON explained that Rep. Porter would outline the
proposed amendments to HB 292. He then explained the
contents of the bill's back-up material.
Number 324
REP. PORTER stated that Amendment 1 was written to move the
obligation of reporting to the legislature on the status of
the civil justice system in the state from the Attorney
Generals Office to the Division of Insurance.
REP. PORTER stated that Amendment 2 was the statute of
repose on product liability, construction, personal injury,
etc. This amendment provides an exception to the statute of
repose for persons who have not reached the age of majority.
REP. PORTER explained that Amendment 3 responds to the
concern brought up in testimony. It clarifies when the
legislature meant for the six years limitation to start
running. This amendment clearly states it is when the
product is first used for its intended purpose.
Number 360
CHAIRMAN HUDSON inquired whether or not it would be wise to
insert some language addressing faulty maintenance or repair
of a product.
REP. PORTER responded that he believed repair and
maintenance were one and the same.
Number 490
REP. PORTER stated that Amendment 4 relates to the statute
of limitations on the actions of health care providers. The
amendment also addresses medical practice parameters. Rep.
Porter explained that throughout the statute of limitations
the bill has included exemptions for persons who are
incompetent or are victims of child sexual assault.
REP. PORTER stated that Amendment 5 was moot.
Number 610
REP. PORTER introduced Amendment 6. This amendment responds
to testimony of victim advocates and the criminal justice
system that some crimes are so heinous that it would be
appropriate to lift the cap on non-economic damages in the
cases where the defendant was convicted of a class A or
unclassified felony.
TAPE 94-4, SIDE B
Number 001
REP. PORTER explained that Amendment 7 was drafted to expand
the definition of punitive damages. During the testimony
the plaintiff's attorneys stated that the standard set of
"malicious and conscious acts" was too high and would be
virtually impossible to meet. The amendment deletes the
word "and" and insert "or."
Number 055
REP. PORTER explained that tort actions and awards are given
to help victims of wrongdoers whole again. There is some
concern that the awards sometimes make people more than
"whole." Amendment 8 would address this concern by adding
language that says the amount of economic damages awarded
for past or future gross earnings shall be reduced by the
amount of federal and state income tax that would have been
paid on the earnings under tax rates in effect on the date
of the injury or death.
Number 100
REP. PORTER introduced Amendment 9 and explained that HB 292
allows for periodic payments, and this amendment directs the
court to require security to be posted by the company to
ensure that they can provide the periodic payment over the
time period covered.
Number 188
REP. PORTER offered Amendment 10 and explained that it has
two main elements: 1) collateral benefits and 2)
subrogation of awards. This amendment would allow juries to
receive information during a trial regarding collateral
benefits, or compensation received from other sources on the
same claim. The amendment would also preclude the victim's
insurance company from filing to get part of the victim's
award to make up for money it may have paid out in health
care costs.
Number 320
REP. PORTER stated that Amendment 11 replaces the word
"pecuniary" with "economic."
Number 350
REP. PORTER offered Amendment 12 and explained that the
intent is to discourage species lawsuits by allowing the
court to sanction.
Number 365
REP. MACKIE clarified that the sanctions would be against
the attorney of record, not the client.
Number 368
REP. PORTER nodded agreement.
Number 370
REP. PORTER raised the question of whether or not this
section regarding court rules actually has the effect of
amending the court rules or if the legislature would be
borrowing the language the court rule states and putting it
in statute.
Number 400
MR. FORD stated that the philosophy Legal Services usually
adopts in approaching court rules is a conservative one.
Mr. Ford added that both Court Rules 11 and 82 have been
cited in the HB 292 to be safe.
Number 420
CHAIRMAN HUDSON said that the committee now has a series of
twelve amendments that are the product of testimony from all
sides of the issue that provides a balanced approach that
leans towards the injured party. Chairman Hudson further
stated that HB 292 was brought before the body in the first
place to try and reduce the cost and litigation while still
protecting victim's rights.
Number 502
REPS. WILLIAMS and GREEN expressed concern over the apparent
lack of time to produce a committee substitute and get it to
the committee, as well as various interested parties by the
weekend.
CHAIRMAN HUDSON responded that he felt confident staff could
produce a committee substitute in time for members to take
it home by the weekend.
CHAIRMAN HUDSON adjourned the meeting at 4:30 p.m.
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