Legislature(2019 - 2020)BARNES 124
04/03/2019 03:15 PM House LABOR & COMMERCE
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| Confirmation Hearing(s):|| Board of Nursing | |
| Confirmation Hearing(s):|| Board of Massage Therapists|| Board of Certified Direct-entry Midwives|| Occupational Safety & Health Review Board|| Board of Examiners in Optometry|| Board of Pharmacy|| Board of Physical & Occupational Therapy|| Board of Psychologists & Psychological Associate Examiners|| Board of Certified Real Estate Appraisers|| Real Estate Commission|| Board of Social Work Examiners|| Board of Veterinary Examiners|| Alaska Workers' Compensation Board|| State Board of Registration for Architects, Engineers, & Land Surveyors | |
| HB91 | |
| HB102 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| *+ | HB 91 | TELECONFERENCED | |
| *+ | HB 102 | TELECONFERENCED | |
| + | TELECONFERENCED |
ALASKA STATE LEGISLATURE
HOUSE LABOR AND COMMERCE STANDING COMMITTEE
April 3, 2019
3:21 p.m.
MEMBERS PRESENT
Representative Gabrielle LeDoux, Co-Chair
Representative Adam Wool, Co-Chair
Representative Zack Fields
Representative Sara Hannan
Representative Louise Stutes
Representative Josh Revak
Representative Dave Talerico
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
CONFIRMATION HEARING(S):
Board of Nursing
Shannon Connelly - Palmer
Emily Henry - Anchorage
- CONFIRMATION(S) ADVANCED
Board of Massage Therapists
Julie Endle - Palmer
- CONFIRMATION(S) ADVANCED
Board of Certified Direct-Entry Midwives
Dana Espindola - Eagle River
- CONFIRMATION(S) ADVANCED
Occupational Safety & Health Review Board
Vincent Perez - Wasilla
- CONFIRMATION(S) ADVANCED
Board of Examiners in Optometry
Dr. Bradley Cross - Soldotna
- CONFIRMATION(S) ADVANCED
Board of Pharmacy
Leif Holm - North Pole
- CONFIRMATION(S) ADVANCED
Board of Physical & Occupational Therapy
Dr. Enlow Walker - North Pole
- CONFIRMATION(S) ADVANCED
Board of Psychologists & Psychological Associate Examiners
Matthew Dammeyer - Soldotna
Erin Johnson - Anchorage
- CONFIRMATION(S) ADVANCED
Board of Certified Real Estate Appraisers
Ashlee Stetson - Wasilla
- CONFIRMATION(S) ADVANCED
Real Estate Commission
Cheryl Markwood - Fairbanks
Jaime Matthews - Glennallen
PeggyAnn McConnochie - Juneau
Margaret Nelson - Anchorage
Jesse Sumner - Wasilla
- CONFIRMATION(S) ADVANCED
Board of Social Work Examiners
Geoffry McCormick - North Pole
Colleen Vague - Wasilla
- CONFIRMATION(S) ADVANCED
Board of Veterinary Examiners
Dr. Scott Flamme - Fairbanks
- CONFIRMATION(S) ADVANCED
Alaska Workers' Compensation Board
Bradley Austin - Juneau
Randy Beltz - Anchorage
Charles "Chuck" Collins Jr. - Juneau
Bob Doyle - Wasilla
Julie Duquette - Fairbanks
Sara Faulkner - Homer
Diane Thompson - Anchorage
Kimberly Ziegler - Palmer
Sarah Lefebvre - Fairbanks
- CONFIRMATION(S) ADVANCED
State Board of Registration for Architects, Engineers, & Land
Surveyors
Phillip Schneider - Palmer
- CONFIRMATION(S) ADVANCED
HOUSE BILL NO. 91
"An Act relating to the practice of naturopathy; relating to the
licensure of naturopaths; relating to the Department of
Commerce, Community, and Economic Development; and providing for
an effective date."
- HEARD & HELD
HOUSE BILL NO. 102
"An Act relating to rental vehicles; relating to vehicle rental
networks; relating to liability for vehicle rental taxes; and
providing for an effective date."
- HEARD & HELD
PREVIOUS COMMITTEE ACTION
BILL: HB 91
SHORT TITLE: NATUROPATHS: LICENSING; PRACTICE
SPONSOR(s): REPRESENTATIVE(s) JOHNSTON
03/13/19 (H) READ THE FIRST TIME - REFERRALS
03/13/19 (H) L&C, FIN
04/03/19 (H) L&C AT 3:15 PM BARNES 124
BILL: HB 102
SHORT TITLE: RENTAL VEHICLE BY PRIVATE OWNER
SPONSOR(s): REPRESENTATIVE(s) WOOL
03/20/19 (H) READ THE FIRST TIME - REFERRALS
03/20/19 (H) L&C, FIN
04/03/19 (H) L&C AT 3:15 PM BARNES 124
WITNESS REGISTER
SHANNON CONNELLY, Appointee
Board of Nursing
Palmer, Alaska
POSITION STATEMENT: Testified as appointee to the Board of
Nursing.
EMILY HENRY, Appointee
Board of Nursing
Anchorage, Alaska
POSITION STATEMENT: Testified as appointee to the Board of
Nursing.
ERIN SHINE, Staff
Representative Jennifer Johnston
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Presented HB 91 on behalf of Representative
Johnston, prime sponsor.
SARA CHAMBERS, Director
Division of Corporations, Businesses, and Professional Licensing
Department of Commerce, Community & Economic Development
Juneau, Alaska
POSITION STATEMENT: Answered questions during the hearing on HB
91.
ABBY LAING, ND
Thrive Integrative Medicine;
President, Alaska Association of Naturopathic Physicians
Anchorage, Alaska
POSITION STATEMENT: Answered questions as a naturopathic
physician during the hearing on HB 91.
ASHLEY STRAUCH, Staff
Representative Adam Wool
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Answered questions during the hearing on HB
102, on behalf of Representative Wool, prime sponsor.
BRANDON SPANOS, Deputy Director
Tax Division
Department of Revenue
Anchorage, Alaska
POSITION STATEMENT: Answered questions during the hearing on HB
102.
ACTION NARRATIVE
3:21:07 PM
CO-CHAIR ADAM WOOL called the House Labor and Commerce Standing
Committee meeting to order at 3:21 p.m. Representatives Fields,
Hannan, Revak, Talerico, LeDoux, and Wool were present at the
call to order. Representative Stutes arrived as the meeting was
in progress.
^CONFIRMATION HEARING(S):
^Board of Nursing
CONFIRMATION HEARING(S):
Board of Nursing
3:21:49 PM
CO-CHAIR WOOL announced that the first order of business would
be confirmation hearings for appointees to the Board of Nursing.
3:22:02 PM
SHANNON CONNELLY, Appointee, Board of Nursing, gave a brief
description of her experience working as a teacher for the
Anchorage School District for 9 years. She noted that she
currently serves on the city of Palmer's Parks, Recreation and
Cultural Resources Board. Her interest in serving on the Board
of Nursing stems from her concern about the state's shortage of
nurses. She said she wants to help ensure that there will
continue to be quality nurses in Alaska.
CO-CHAIR WOOL asked if Ms. Connelly is applying for a public
seat on the board.
MS. CONNELLY answered yes.
3:24:06 PM
REPRESENTATIVE FIELDS asked if restricting reproductive health
services is an appropriate role for the Board of Nursing.
MS. CONNELLY Answered no, it's a role for individual practices.
3:25:32 PM
REPRESENTATIVE STUTES, referencing Ms. Connelly's resume, sought
clarification on "the Popcorn Colonel" volunteer position.
MS. CONNELLY explained that it's a position that oversees the
popcorn fundraiser sales for the Boy Scouts of America.
3:27:02 PM
REPRESENTATIVE HANNAN questioned whether Ms. Connelly would
advocate for the extension and continuation of the Board of
Nursing and asked if the board's statutory expiration was
discussed at the meeting she attended.
MS. CONNELLY confirmed that it was brought up during a previous
board meeting. She noted that there would be more information
on how to advocate for the board's extension at the next
meeting.
CO-CHAIR WOOL asked if Ms. Connelly had experience serving on
other boards in the past.
Ms. CONNELLY revealed that this would be the second, as she is
currently serving on Palmer's Parks, Recreation and Cultural
Resources Board.
3:29:32 PM
CO-CHAIR WOOL opened public testimony.
3:30:00 PM
EMILY HENRY, Appointee, Board of Nursing, informed the committee
that she is originally from Delaware and gave a brief
description of her educational background and experience working
as a homecare nurse wherein she mostly worked with special needs
children. She stated that she moved to Alaska two years ago
after accepting a job with Providence Extended Care where she
oversees 12 residents. She said her interest in serving on the
board stems from her desire to share the insight she gained from
her homecare experience.
REPRESENTATIVE HANNAN asked how to ensure there are adequate
licensure programs for all levels of nursing in Alaska and how
to fulfill the demand for those positions across the state.
MS. HENRY replied that she works closely with student CNAs and
is familiar with their skills and where they might lack certain
knowledge. She opined that the board needs to improve their on-
site visits to training facilities, which are required every two
years in order to increase the quality of CNAs and nurses in the
state.
3:35:33 PM
REPRESENTATIVE FIELDS asked if restricting reproductive health
services is an appropriate role for the Board of Nursing.
MS. HENRY opined that there's no reason for the board to
restrict anything related to women's health. She expounded on
the importance of women making regular doctor's appointments and
check-ups.
CO-CHAIR WOOL noted that this board position is specifically a
licensed practical nurse (LPN) seat. He asked if that was
correct.
MS. HENRY answered yes, adding that she has been an LPN since
2011 and is currently licensed in the state of Alaska.
3:39:18 PM
CO-CHAIR WOOL closed public testimony.
3:39:30 PM
CO-CHAIR LEDOUX moved to advance the confirmation of Shannon
Connelly and Emily Henry, appointees to the Board of Nursing, to
the joint session of the House and Senate for consideration.
She reminded members that signing the reports regarding
appointments to boards and commissions in no way reflects
individual members' approval or disapproval of the appointees,
and the nominations are merely forwarded to the full legislature
for confirmation or rejection. There being no objection, the
confirmations were advanced.
3:39:59 PM
The committee took a brief at-ease.
^CONFIRMATION HEARING(S):
^Board of Massage Therapists
^Board of Certified Direct-Entry Midwives
^Occupational Safety & Health Review Board
^Board of Examiners in Optometry
^Board of Pharmacy
^Board of Physical & Occupational Therapy
^Board of Psychologists & Psychological Associate Examiners
^Board of Certified Real Estate Appraisers
^Real Estate Commission
^Board of Social Work Examiners
^Board of Veterinary Examiners
^Alaska Workers' Compensation Board
^State Board of Registration for Architects, Engineers, & Land
Surveyors
CONFIRMATION HEARING(S):
Board of Massage Therapists
Board of Certified Direct-Entry Midwives
Occupational Safety & Health Review Board
Board of Examiners in Optometry
Board of Pharmacy
Board of Physical & Occupational Therapy
Board of Psychologists & Psychological Associate Examiners
Board of Certified Real Estate Appraisers
Real Estate Commission
Board of Social Work Examiners
Board of Veterinary Examiners
Alaska Workers' Compensation Board
State Board of Registration for Architects, Engineers, & Land
Surveyors
3:40:03 PM
CO-CHAIR WOOL turned the committee's attention to the remaining
various boards and commissions.
3:42:26 PM
CO-CHAIR LEDOUX moved to advance the confirmations for
appointees referred to the House Labor and Commerce Standing
Committee for consideration to the joint session of the House
and Senate for consideration. She reminded members that signing
the reports regarding appointments to boards and commissions in
no way reflects individual members' approval or disapproval of
the appointees, and the nominations are merely forwarded to the
full legislature for confirmation or rejection. There being no
objection, the confirmations were advanced.
3:43:00 PM
The committee took a brief at-ease.
HB 91-NATUROPATHS: LICENSING; PRACTICE
3:43:04 PM
REPRESENTATIVE WOOL announced that the next order of business
would be HOUSE BILL NO. 91, "An Act relating to the practice of
naturopathy; relating to the licensure of naturopaths; relating
to the Department of Commerce, Community, and Economic
Development; and providing for an effective date."
3:44:47 PM
ERIN SHINE, Staff, Representative Jennifer Johnston, Alaska
State Legislature, presented HB 91 on behalf of Representative
Johnston, prime sponsor. She paraphrased parts of the sponsor
statement [included in the committee packet], which read in its
entirety as follows [original punctuation provided]:
House Bill 91, by establishing a clear scope of
practice for naturopathic doctors, aims to allow these
primary health care providers in Alaska to practice
consistent with their education and training.
Alaska's nearly 60 licensed naturopaths provide
valuable health care services and can play an
important role in helping address Alaska's primary
care provider shortage. However, current state statue
is vague as to the specific authorities of
naturopaths, which has led to the adoption of some of
the most restrictive naturopathic medicine regulations
in the nation.
For example, despite being trained to perform a range
of minor office procedures, such as sutures, wart
removal, IUD placement and removal, naturopaths are
prohibited from performing any of these routine
procedures in Alaska. Similarly, many naturopaths have
accredited pharmacological training, yet under current
regulation are prohibited from writing prescriptions
and must instead refer patients to other providers
even though those providers may have less advanced
training. These overly restrictive regulations are
causing many naturopaths to rethink practicing in
Alaska.
HB 91 would correct this by outlining clear statutory
guidelines, including, among other things, allowing
licensed naturopathic practitioners to perform minor
office procedures and to prescribe vitamins, minerals,
and other non-controlled substance medications. This
same scope is being practiced safely in other states
and by other healthcare providers in Alaska with equal
or lesser training.
Naturopathic medicine can provide valuable and
complementary care in the Alaska health care setting.
Many Alaskans struggle with basic health care access.
The ability for naturopaths to practice the scope of
medicine consistent with their training would
immediately expand the availability of primary care in
the state.
Many Alaskans face challenges with chronic diseases
like obesity, diabetes, and hypertension. These are
the sorts of issues for which naturopaths have clear
tools to assist their patients. Naturopathic training
focuses on disease prevention, rather than symptom and
medication management alone. In the long-run, this
type of care can provide cost-savings and improved
health outcomes for consumers, insurers, and the
state. HB 91 aims to let naturopathic medicine live up
to this promise by allowing naturopathic doctors to
practice within the scope of their training and
education, thereby increasing competition in the
healthcare sector and ensuring Alaskan's have a range
of options when choosing the style of healthcare
that's right for them.
3:51:14 PM
CO-CHAIR WOOL asked for clarification on state regulation.
MS. SHINE replied that in a regulated state, the governing body
sets a criterion of qualifications that must be met; whereas in
an unregulated state, it's possible for individuals to set up
practices as naturopathic doctors (NDs) without oversight from
the state.
CO-CHAIR WOOL asked if NDs in unregulated states can prescribe
drugs or do minor office procedures.
MS. SHINE answered no. She offered her understanding that NDs
must be registered or licensed within a state to be able to
prescribe medications. Nonetheless, she noted that a ND who has
set up practice in an unregulated state could be performing
minor procedures without oversight from the state.
3:52:31 PM
CO-CHAIR LEDOUX asked if NDs in Alaska are regulated even if
they currently can't write prescriptions.
MS. SHINE answered yes, they are regulated and cannot write
prescriptions.
CO-CHAIR LEDOUX questioned whether the current statute prohibits
NDs from prescribing.
MS. SHINE affirmed that.
3:52:58 PM
REPRESENTATIVE FIELDS indicated that there is an advantage in
state regulation in terms of transparency for consumers. He
asked Ms. Chambers if there is currently adequate authority
within the Division of Corporations, Businesses, and
Professional Licensing for someone who sets up a naturopathic
practice without any knowledge or proficiency in the field.
3:53:33 PM
SARA CHAMBERS, Director, Division of Corporations, Businesses,
and Professional Licensing, Department of Commerce, Community &
Economic Development, explained that, currently, NDs are a
licensed profession in Alaska which gives the division authority
to enforce the existing statutory and regulatory restrictions on
NDs and to regulate unlicensed practices.
REPRESENTATIVE FIELDS established a scenario in which an
individual insists on advertising themselves as a ND even though
he or she doesn't have the proper training. He asked if the
division would have the ability to shut down that business.
MS. CHAMBERS replied that they typically have that authority for
all their licensed programs and professions; however, it's
individualized within each statute. She stated that there is a
process for those who practice any of their professions without
a license and if it extends beyond their civil authority it
would include law enforcement for criminal authority if needed.
3:55:08 PM
REPRESENTATIVE HANNAN inquired as to how long naturopathy has
been a licensed profession in the state.
MS. CHAMBERS answered since 1986.
REPRESENTATIVE HANNAN questioned the level of consumer concern
and frequency of complaints about the practice of NDs.
MS. CHAMBERS said there has been 33 complaints over the last 20
years, adding that most of those have been low level or
ultimately found to be unsubstantiated.
3:57:14 PM
REPRESENTATIVE WOOL sought clarification on the prescriptive
authority that the current bill is seeking to grant NDs.
MS. SHINE replied that the prescriptive authority being sought
is noncontrolled substances and nonchemotherapeutic agents -
everything else that would require a prescription would be
allowed for NDs under their scope.
3:58:10 PM
CO-CHAIR LEDOUX offered her understanding that the focus of
naturopathic medicine was nature-based. She asked why a ND
would need to write prescriptions for antibiotics or things that
aren't "natural."
MS. SHINE acknowledged that NDs focus on holistic healing;
however, they are still trained to be able to prescribe as a
last resort. She noted that as the number of naturopathic
primary care providers increases, this would allow them to
address their patients concerns if it gets to the point that an
antibiotic or a birth control prescription would be warranted.
4:00:12 PM
ABBY LAING, ND, Thrive Integrative Medicine; President, Alaska
Association of Naturopathic Physicians, added that sometimes
antibiotics are needed. A child with an ear infection, for
example, is situational - sometimes the infections don't need to
be treated with antibiotics and others do. If someone would
prefer to treat things naturally, there's also the "wait and
watch approach," in which case they would get a supplement or a
nutraceutical as well as an antibiotic prescription in case the
infection doesn't get better. She also pointed out that if a
woman wanted to get a refill on her birth control prescription,
she would have to do that through a different provider.
4:02:49 PM
CO-CHAIR LEDOUX questioned whether there is a difference between
NDs and medical doctors (MDs).
MS. SHINE offered her understanding that both MDs and NDs have
four-year degrees; however, completing a residency is required
of physicians and optional for NDs. She further noted that they
take different approaches to medicine.
DR. LAING, in response to Representative LeDoux, explained that
MDs are trained in specialties, while NDs focus on primary care.
She also affirmed that a residency is required of all MDs in
order to be licensed, except for those working at an urgent care
facility.
MS. SHINE pointed out that nurse practitioners (NPs) and
physician's assistants (PAs) are practicing within a greater
scope than what's being requested by NDs because they can
prescribe controlled substances.
4:06:49 PM
CO-CHAIR WOOL offered his understanding that PAs and NPs only
prescribe under the direct supervision of a MD. He asked if
this was correct.
MS. SHINE confirmed that PAs are under the supervision of a MD,
while NPs are not.
CO-CHAIR WOOL asked if hormone therapy, steroids, or high blood
pressure medicine would all fall under the prescriptive
authority of a ND if this bill were to pass.
DR. LAING explained that testosterone is classified as a
controlled substance and therefore excluded from NDs'
prescriptive authority under HB 91. She noted that controlled
substances are contentious and not necessary to practice
effectively.
4:09:34 PM
CO-CHAIR WOOL announced that HB 91 was held over.
4:09:51 PM
The committee took an at-ease from 4:09 p.m. to 4:12 p.m.
[Co-Chair Wool passed the gavel to Co-Chair LeDoux.]
HB 102-RENTAL VEHICLE BY PRIVATE OWNER
4:12:42 PM
CO-CHAIR LEDOUX announced that the final order of business would
be HOUSE BILL NO. 102, "An Act relating to rental vehicles;
relating to vehicle rental networks; relating to liability for
vehicle rental taxes; and providing for an effective date."
4:12:57 PM
CO-CHAIR WOOL, as prime sponsor of HB 102, introduced the bill
and read the following sponsor statement [original punctuation
provided]:
The ways that Alaskans procure transportation services
have changed over time. In the past, getting off a
commercial flight and heading to the nearest rental
car agency was common practice. Now, consumers are
turning increasingly to ridesharing, car pooling, and
rental vehicle network options to get around. Vehicle
rental networks are rental car businesses that arrange
or execute personal passenger vehicle rentals through
a network of individual private vehicle owners, and
are becoming a common alternative to traditional
rental car options.
HB 102 adds a definition for the new service of
providing private vehicle rental programs, including
these services into existing statutes that regulate
car rental providers to reflect changes in how people
secure transport in Alaska. It also extends the same
laws and regulations which apply to rental car
companies to private vehicle rental networks,
including the payment of the State's Vehicle Rental
Tax. Therefore, HB 102 brings equity to the rental
industry for motor vehicles, and will generate
additional income for the State's general fund as the
private vehicle rental network industry continues to
grow and diversify in the Alaskan economy.
Please join me in supporting House Bill 102 to bring
our statutes up to date and to incorporate this new
industry into the existing language governing vehicle
rentals in Alaska.
4:15:48 PM
REPRESENTATIVE FIELDS asked if internet-based car rental
companies pay taxes.
CO-CHAIR WOOL said they do not.
4:16:08 PM
REPRESENTATIVE STUTES questioned whether any "peer-to-peer
groups" have bricks-and-mortar buildings in Alaska.
CO-CHAIR WOOL answered no.
REPRESENTATIVE STUTES said she presumes their headquarters are
out of state.
CO-CHAIR WOOL confirmed that.
REPRESENTATIVE STUTES asked where they are headquartered out of.
4:16:50 PM
ASHLEY STRAUCH, Staff, Representative Adam Wool, Alaska State
Legislature, on behalf of Representative Wool, prime sponsor of
HB 102, stated that the largest [peer-to-peer] vehicle rental
network is Turo, which is headquartered out of San Francisco,
California.
REPRESENTATIVE STUTES said it sounds like these companies, which
operate out of state, do the bookkeeping for the rental of other
people's vehicles within the state while paying no revenue to
the state of Alaska; however, the rental car companies do pay
taxes. She asked if this was correct.
MS. STRAUCH affirmed that.
REPRESENTATIVE STUTES surmised that the current bill "levels the
playing field so everyone is playing the same game."
MS. STRAUCH answered that is correct.
4:17:57 PM
REPRESENTATIVE FIELDS asked if the Department of Revenue (DOR)
has tried to collect taxes from these [peer-to-peer] digitally
based car rental companies.
4:18:35 PM
BRANDON SPANOS, Deputy Director, Tax Division, Department of
Revenue, noted that it's difficult to talk about specifics
because of confidentiality statutes. Nonetheless, he stated
that the statute does make it clear that the rental of a vehicle
is taxable. He added that the current bill would clarify who is
taxable. He divulged that the DOR has sent a request for
records to some of the peer-to-peer companies to determine who
is renting the vehicles, adding that one of those requests has
turned into a subpoena. He explained that their subpoena
language is lacking and doesn't allow the enforcement of tax
subpoenas outside of Alaska; therefore, in order to enforce it
they will have to take it to the other state's court unless
there is a statute change. He further noted that other states
that have bed taxes have dealt with the same issues with
companies like Airbnb.
4:20:12 PM
REPRESENTATIVE FIELDS questioned whether the companies are
refusing to share information and pay taxes even though they
continue to operate in Alaska.
MR. SPANOS clarified that they asked for records, not taxes,
because its clear that the person renting the vehicle is the
taxpayer and does owe the tax; however, they do not know who
that person is. He added that peer-to-peer didn't exist when
the statute was drafted so it doesn't implicitly state that
those companies are the taxpayer, which makes it a grey area.
REPRESENTATIVE FIELDS commented that its extraordinary that
these companies are operating here and enabling car rentals
without paying taxes. He opined that it sounds like tax evasion
and the only remedy for that would be this bill.
4:21:36 PM
REPRESENTATIVE STUTES said it appears that HB 102 closes a
loophole since this situation didn't exist when the statute was
written. She asked if this is correct.
4:22:01 PM
MS. STRAUCH acknowledged that this bill clarifies the language
in statute of what constitutes a vehicle rental by including
vehicle rental networks in the definition.
CO-CHAIR LEDOUX sought clarification on whether it's the entity
that does the bookkeeping or the consumer who rents the car that
owes taxes.
4:22:30 PM
MR. SPANOS replied that the statute currently reads, "there is
imposed an excise tax on the charge for the lease of the rental
vehicle," adding that it's assessed on the person who is renting
out their vehicle.
4:23:31 PM
REPRESENTATIVE HANNAN asked Mr. Spanos if he worked for the DOR
when Alaska established taxes for Airbnb and similar entities.
MR. SPANOS said the state doesn't have a statewide bed tax. He
explained that there are no state taxes on them unless the
company is a corporation and the corporate income tax applies.
He added that other states have dealt with this issue and
created statutes to implicitly state that they are taxable.
4:24:16 PM
CO-CHAIR LEDOUX questioned whether there is a statewide hotel
bed tax in Alaska.
MR. SPANOS stated that there is not a statewide bed tax;
however, municipalities do have them.
CO-CHAIR LEDOUX sought clarification on whether the
municipalities tax Airbnb the same as hotels.
MR. SPANOS offered that he has been told they are having trouble
collecting taxes on those types of companies. Some, he said,
have sought to change their ordinances to create an economic
nexus for those companies.
4:25:42 PM
REPRESENTATIVE TALERICO recounted his experience with the Denali
Borough tax structure and the overnight accommodations tax. He
explained that everyone who provides nightly rentals is required
to register with the Denali Borough and provide the overnight
accommodations tax on their rack rate; whether that be a single
cabin or a hotel campus with 400-500 rooms, they are all
required to register and fulfill that.
4:26:21 PM
REPRESENTATIVE FIELDS offered his belief that Anchorage has a 12
percent bed tax that applies to Airbnb.
4:26:33 PM
CO-CHAIR WOOL explained that the intention is to implement the
tax into the [peer-to-peer] app itself, making it so the person
renting the car will pay the rental fee plus the tax that will
go to Turo, who in turn, will keep some of the rental fee for
operating costs plus the tax, which they will then pay to the
state. This would simplify the process for the state, because
instead of taxing each individual renter they would only have to
go after several companies.
4:28:16 PM
REPRESENTATIVE FIELDS noted that the existence of a bed tax has
not inhibited Airbnb's growth.
4:28:35 PM
CO-CHAIR WOOL added that this "centralized" system would be no
different than Uber. He said that, instead of each individual
driver paying tax to the city of Juneau, it all gets payed
through the company itself.
4:29:17 PM
CO-CHAIR LEDOUX announced that HB 102 was held over.
4:29:32 PM
CO-CHAIR LEDOUX ADJOURNMENT
There being no further business before the committee, the House
Labor and Commerce Standing Committee meeting was adjourned at
4:29 p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| Shannon Connelly_Redacted.pdf |
HL&C 4/3/2019 3:15:00 PM |
|
| Emily Henry - Redacted.pdf |
HL&C 4/3/2019 3:15:00 PM |
|
| HB 91.Sponsor.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM |
HB 91 |
| HB 91.Bill Version M.PDF |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM |
HB 91 |
| HB 91.Sectional.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM |
HB 91 |
| HB 91.Fiscal.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM |
HB 91 |
| HB 91.Backup Naturopathic Regulation.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM |
HB 91 |
| HB 91.Backup Naturopathic Perscriptive Authority.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM |
HB 91 |
| HB 91.Backup Naturopathic Medicine Background.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM |
HB 91 |
| HB 91.Backup Naturopath One-Pager.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM |
HB 91 |
| HB 91.Backup Naturopathic Concerns and Answers.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM |
HB 91 |
| HB 91. Backup Support Letters Index April 3.pdf |
HL&C 4/3/2019 3:15:00 PM |
HB 91 |
| HB 91.Backup Support Letters.pdf |
HL&C 4/3/2019 3:15:00 PM |
HB 91 |
| HB 91.Backup Education and Scope Comparison.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM |
HB 91 |
| 2019.HB102.Sponsor Statement.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/15/2019 3:15:00 PM |
HB 102 |
| HB 102. Bill Version U.PDF |
HL&C 4/3/2019 3:15:00 PM |
HB 102 |
| 2019.HB102.Sectional.pdf |
HL&C 4/3/2019 3:15:00 PM |
HB 102 |
| HB 102.Fiscal Note DOL.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM HL&C 4/15/2019 3:15:00 PM HL&C 4/22/2019 3:15:00 PM |
HB 102 |
| HB 102.Fiscal Note DOR.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM HL&C 4/15/2019 3:15:00 PM HL&C 4/22/2019 3:15:00 PM |
HB 102 |
| HB 102.Backup Letter of Opposition Drift.pdf |
HL&C 4/3/2019 3:15:00 PM |
HB 102 |
| HB 102.Backup Opposition Alliance of Automobile Manufacturers.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM HL&C 4/15/2019 3:15:00 PM HL&C 4/22/2019 3:15:00 PM |
HB 102 |
| HB 102.Backup Support Letter Enterprise.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/8/2019 3:15:00 PM HL&C 4/15/2019 3:15:00 PM |
HB 102 |
| HB 102 Articles of Opposition.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/15/2019 3:15:00 PM |
HB 102 |
| HB 102 Additional Letters of Opposition.pdf |
HL&C 4/3/2019 3:15:00 PM HL&C 4/15/2019 3:15:00 PM |
HB 102 |