01/29/2026 03:15 PM House STATE AFFAIRS
| Audio | Topic |
|---|---|
| Start | |
| HB133 | |
| HB81 | |
| HB124 | |
| Adjourn |
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 133 | TELECONFERENCED | |
| += | HB 124 | TELECONFERENCED | |
| += | HB 202 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | HB 81 | TELECONFERENCED | |
ALASKA STATE LEGISLATURE
HOUSE STATE AFFAIRS STANDING COMMITTEE
January 29, 2026
3:18 p.m.
DRAFT
MEMBERS PRESENT
Representative Ashley Carrick, Chair
Representative Andi Story, Vice Chair
Representative Rebecca Himschoot
Representative Ky Holland
Representative Sarah Vance
Representative Kevin McCabe
Representative Steve St. Clair
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
HOUSE BILL NO. 133
"An Act establishing a 30-day deadline for the payment of
contracts under the State Procurement Code; establishing
deadlines for the payment of grants, contracts, and
reimbursement agreements to nonprofit organizations,
municipalities, and Alaska Native organizations; relating to
payment of grants to named recipients that are not
municipalities; and providing for an effective date."
- MOVED CSHB 133(STA) OUT OF COMMITTEE
HOUSE BILL NO. 81
"An Act restricting the release of certain records of
convictions; and providing for an effective date."
- MOVED CSHB 81(STA) OUT OF COMMITTEE
HOUSE BILL NO. 124
"An Act relating to the Alaska Industrial Development and Export
Authority; and providing for an effective date."
- HEARD & HELD
HOUSE BILL NO. 202
"An Act designating giant cabbage as the official state
vegetable; and providing for an effective date."
- BILL HEARING CANCELED
PREVIOUS COMMITTEE ACTION
BILL: HB 133
SHORT TITLE: PAYMENT OF CONTRACTS
SPONSOR(s): REPRESENTATIVE(s) HIMSCHOOT
03/12/25 (H) READ THE FIRST TIME - REFERRALS
03/12/25 (H) CRA, STA
03/25/25 (H) CRA AT 8:00 AM BARNES 124
03/25/25 (H) Heard & Held
03/25/25 (H) MINUTE(CRA)
03/27/25 (H) CRA AT 8:00 AM BARNES 124
03/27/25 (H) Heard & Held
03/27/25 (H) MINUTE(CRA)
04/03/25 (H) CRA AT 8:00 AM BARNES 124
04/03/25 (H) Heard & Held
04/03/25 (H) MINUTE(CRA)
04/08/25 (H) CRA AT 8:00 AM BARNES 124
04/08/25 (H) Heard & Held
04/08/25 (H) MINUTE(CRA)
04/10/25 (H) CRA AT 8:00 AM BARNES 124
04/10/25 (H) Heard & Held
04/10/25 (H) MINUTE(CRA)
04/29/25 (H) CRA AT 8:00 AM BARNES 124
04/29/25 (H) Moved CSHB 133(CRA) Out of Committee
04/29/25 (H) MINUTE(CRA)
04/30/25 (H) CRA RPT CS(CRA) NEW TITLE 4DP 2NR
04/30/25 (H) DP: HOLLAND, HALL, HIMSCHOOT, MEARS
04/30/25 (H) NR: PRAX, RUFFRIDGE
04/30/25 (H) FIN REFERRAL ADDED AFTER STA
05/15/25 (H) STA AT 3:15 PM GRUENBERG 120
05/15/25 (H) Heard & Held
05/15/25 (H) MINUTE(STA)
05/17/25 (H) STA AT 1:00 PM GRUENBERG 120
05/17/25 (H) Heard & Held
05/17/25 (H) MINUTE(STA)
01/22/26 (H) STA AT 3:15 PM GRUENBERG 120
01/22/26 (H) Heard & Held
01/22/26 (H) MINUTE(STA)
01/29/26 (H) STA AT 3:15 PM GRUENBERG 120
BILL: HB 81
SHORT TITLE: ACCESS TO MARIJUANA CONVICTION RECORDS
SPONSOR(s): REPRESENTATIVE(s) D.NELSON
02/03/25 (H) READ THE FIRST TIME - REFERRALS
02/03/25 (H) STA, JUD
02/27/25 (H) STA AT 3:15 PM GRUENBERG 120
02/27/25 (H) <Bill Hearing Canceled>
03/06/25 (H) STA AT 3:15 PM GRUENBERG 120
03/06/25 (H) Heard & Held
03/06/25 (H) MINUTE(STA)
01/27/26 (H) STA AT 3:15 PM GRUENBERG 120
01/27/26 (H) Heard & Held
01/27/26 (H) MINUTE(STA)
01/29/26 (H) STA AT 3:15 PM GRUENBERG 120
BILL: HB 124
SHORT TITLE: AIDEA
SPONSOR(s): REPRESENTATIVE(s) CARRICK
03/05/25 (H) READ THE FIRST TIME - REFERRALS
03/05/25 (H) STA, FIN
01/22/26 (H) STA AT 3:15 PM GRUENBERG 120
01/22/26 (H) Heard & Held
01/22/26 (H) MINUTE(STA)
01/27/26 (H) STA AT 3:15 PM GRUENBERG 120
01/27/26 (H) Heard & Held
01/27/26 (H) MINUTE(STA)
01/29/26 (H) STA AT 3:15 PM GRUENBERG 120
WITNESS REGISTER
REPRESENTATIVE DAVID NELSON
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: As prime sponsor, answered questions on HB
81.
JIM CLARK, Attorney
Juneau, Alaska
POSITION STATEMENT: Testified during the hearing on HB 124.
CAROLYN KELLER, representing self
Fairbanks, Alaska
POSITION STATEMENT: Testified in support of HB 124.
JAZMINE VENT, representing self
Fairbanks, Alaska
POSITION STATEMENT: Testified in support of HB 124.
RIKA MOUW, representing self
Homer, Alaska
POSITION STATEMENT: Testified in support of HB 124.
MEGAN LINGLE, representing self
Juneau, Alaska
POSITION STATEMENT: Testified in support of HB 124.
GRACE KIRKEY, representing self
Anchorage, Alaska
POSITION STATEMENT: Testified in support of HB 124.
DAVID DELONG, representing self
Fairbanks, Alaska
POSITION STATEMENT: Testified in support of HB 124.
DON DUNCAN, Wilderness Guide
Fairbanks, Alaska
POSITION STATEMENT: Testified on HB 124.
BERNIE HOFFMAN, representing self
Fairbanks, Alaska
POSITION STATEMENT: Testified in support of HB 124.
JAMIE BITMAR, representing self
Fairbanks, Alaska
POSITION STATEMENT: Testified in support of HB 124.
THERESA OBERMEYER, representing self
Anchorage, Alaska
POSITION STATEMENT: Testified in support of HB 124.
ACTION NARRATIVE
3:18:39 PM
CHAIR ASHLEY CARRICK called the House State Affairs Standing
Committee meeting to order at 3:18 p.m. Representatives St.
Clair, McCabe, Vance, Holland, Himschoot, Story, and Carrick
were present at the call to order.
HB 133-PAYMENT OF CONTRACTS
3:19:55 PM
CHAIR CARRICK announced that the first order of business would
be HOUSE BILL NO. 133, "An Act establishing a 30-day deadline
for the payment of contracts under the State Procurement Code;
establishing deadlines for the payment of grants, contracts, and
reimbursement agreements to nonprofit organizations,
municipalities, and Alaska Native organizations; relating to
payment of grants to named recipients that are not
municipalities; and providing for an effective date." [Before
the committee, adopted as a working document on 1/22/26, was the
proposed committee substitute (CS) for HB 133, Version 34-
LS0114\L, Dunmire, 1/20/26 ("Version L").]
3:20:20 PM
CHAIR CARRICK moved to adopt Amendment 1 to HB 133, Version L,
labelled 34-LS0114\l.1, Dunmire, 1/26/26, which read:
Page 1, line 4, following "organizations;":
Insert "relating to technology upgrades at the
Department of Health;"
Page 4, following line 20:
Insert a new bill section to read:
"* Sec. 3. The uncodified law of the State of
Alaska is amended by adding a new section to read:
TRANSITION: FUNDING OF TECHNOLOGY UPGRADES. It is
the intent of the legislature that technology upgrades
the Department of Health needs to implement this Act
will be funded using funds received under sec. 71401,
P.L. 119-21 (Rural Health Transformation Program)."
Renumber the following bill section accordingly.
CHAIR CARRICK objected for discussion.
3:20:36 PM
The committee took an at-ease at 3:20.
3:20:51 PM
CHAIR CARRICK said she seeks to address the main cost driver for
this bill which is Department of Health grants administration.
One cost identified in the Department of Health was necessary
technology upgrades. Amendment 1 identifies the Rural Health
Transformation Program as one possible funding source for
technology upgrades. This amendment is just intent language.
She hopes as the finance committee considers this bill that the
finance committee might consider the Rural Health Transformation
Program to address these cost drivers.
REPRESENTATIVE VANCE asked if technology upgrades are an
acceptable use of the Rural Health Transformation Program funds.
CHAIR CARRICK replied that funds can't be used for capital
improvements like building costs or hardware. She said the fund
could be used for software costs. She stated that the
technology upgrades would be within the parameters of the Rural
Health Transformation Program funds. She just wants to make it
clear that this could be a potential fund source to make prompt
payments in the future.
3:23:40 PM
CHAIR CARRICK ascertained there was no further discussion on
Amendment 1.
CHAIR CARRICK removed her objection to Amendment 1. There being
no further objection, Amendment 1 was adopted.
3:24:00 PM
REPRESENTATIVE MCCABE said he would not be offering Amendment 2.
3:24:10 PM
REPRESENTATIVE MCCABE moved to adopt Amendment 3 to HB 133,
Version L, as amended, labeled 34-LS0114\L.3, Dunmire, 1/29/26,
which read:
Page 1, line 3:
Delete "nonprofit organizations, municipalities,"
Insert "municipalities"
Page 2, line 23:
Delete "nonprofit organizations, municipalities,"
Insert "municipalities"
Page 2, lines 24 - 25:
Delete "nonprofit organization, municipality,"
Insert "municipality"
Page 2, line 27:
Delete "nonprofit organization, municipality,"
Insert "municipality"
Page 3, line 2:
Delete "nonprofit organization, municipality,"
Insert "municipality"
Page 3, lines 14 - 15:
Delete "nonprofit organization, municipality,"
Insert "municipality"
Page 3, lines 16 - 17:
Delete "nonprofit organization, municipality,"
Insert "municipality"
Page 3, lines 23 - 24:
Delete "nonprofit organization, municipality,"
Insert "municipality"
Page 4, line 18:
Delete ";"
Insert "."
Page 4, lines 19 - 20:
Delete all material.
CHAIR CARRICK objected for discussion.
REPRESENTATIVE MCCABE stated that Amendment 3 addresses an
unintended consequence to HB 133. As written, the bill applies
prompt payment penalties not only to private venders and
municipalities but also to nonprofit organizations
("nonprofits"). He stated that the state always should be
paying bills on time. However, Alaska has 6,300 nonprofits,
many of which already receive state funding. He stated unlike
businesses, non-profit often requires reimbursement, reporting
requirements, and compliance review. He said this may delay the
payment due to no fault of the state. This amendment removes
nonprofits from the penalties. Prompt payment laws are designed
for private commerce, not nonprofits as partners of the state.
Alaska has 6,300 nonprofits and will create a significant fiscal
problem and administrative backlog. By exempting nonprofits
from the penalty provisions, it strengthens the proposed
legislation.
REPRESENTATIVE HOLLAND said he is speaking in opposition to
Amendment 3. He has spent nearly 40 years in nonprofits as a
volunteer, board member, and executive director. Nonprofits are
essential to Alaska's communities getting work done in the
community that wouldn't otherwise be done. Nonprofits operate
as a business with vendors that need to be paid on time. He
said nonprofits have greater challenges in trying to find the
working capital. He asked how nonprofits are going to be able
to pay employees on time. Alaska's nonprofits absolutely need
to be treated as well as municipalities. The compliance side is
difficult, but the hard part is at the front-end of contracts.
The day-to-day work of getting paid should be done on time.
REPRESENTATIVE HIMSCHOOT said she hopes that nonprofits are
spending their money on their mission. She named many
nonprofits as examples. This bill is for tribes, non-profits,
and municipalities who tend to not have a margin - organizations
doing work for the state that the state cannot do. She stated
the 6,300 nonprofit organizations do not represent the number
receiving funding. She is opposed to this Amendment 3.
REPRESENTATIVE ST. CLAIR stated that he supports Amendment 3.
There are so many unknowns to this bill. He asked when the 30
days start. He stated that nonprofits need to be exempt from
this bill.
REPRESENTATIVE MCCABE stated that nonprofits are many different
sizes, not all are small. Providence Hospital is a nonprofit.
He stated that the state absolutely needs to pay bills on time.
This bill would be the status quo for the nonprofits. The bills
to the state are probably small. He stated that there is a
difference between business and nonprofits.
3:33:45 PM
CHAIR CARRICK says she recognizes the intent of Amendment 3.
All the nonprofits heard from were smaller. She asked if
Representative McCabe could work with the sponsor to narrow the
nonprofits.
REPRESENTATIVE MCCABE stated this amendment simply removes the
nonprofits.
3:35:33 PM
A roll call vote was taken. Representatives Vance, McCabe, and
St. Clair voted in favor of Amendment 3. Representatives
Himschoot, Holland, Story, and Carrick voted against it.
Therefore, Amendment 3 failed to be adopted by a vote of 3-4.
CHAIR CARRICK asked for any final discussion on HB 133, Version
L, as amended.
REPRESENTATIVE HOLLAND stated that he is in support of moving
the bill out of committee. The fiscal impacts will be important
for the House Finance Committee to work on. The fiscal notes
have a great deal of disparity. The paying of bills on time
should not take a fiscal note. The staff in the agencies should
support paying bills on time. If there is a problem paying the
bills on time, then look at the workflow and technologies
needed.
REPRESENTATIVE ST. CLAIR agreed with his counterpart. The
fiscal notes are indeterminate. The number of late payments was
very different from the agencies. He stated that the committee
doesn't have all the information needed right now. As it
stands, he can't support this bill.
REPRESENTATIVE MCCABE stated he has a huge problem with
automatic penalties. This is a poor way to do government, and
there is a better way to meet the state's fiduciary
responsibilities to pay bills on time. He said automatic
penalties on the state could cost the state a whole lot of
money. He stated that he can't support running government this
way.
REPRESENTATIVE VANCE said everyone has highlighted the truth
about this bill. It is noted that agencies are struggling. On
the fiscal notes, look at the number of position control numbers
(PCNs) that are there. She further stated how many are not
filled and the funding is there. The agencies still need the
staff to keep the workflow going. Some agencies have
implemented newer technologies, programs, and artificial
intelligence (AI) to address some of the issues. She
appreciates the sponsor bringing this forward. She agrees with
Representative McCabe that having a penalty may not be the best
avenue. Her recommendation is to seek out available PCNs and
update fiscal notes.
REPRESENTATIVE STORY said she wanted to highlight an earlier
discussion about finding out how many penalties the state is
paying.
REPRESENTATIVE ST. CLAIR state there are seven PCNs requested.
The question is whether the agencies need additional people or
think that payments are not going to go out on time.
CHAIR CARRICK stated that she appreciated the work by this
committee. She agrees that the state should pay its bills on
time. She has heard in her office from municipalities,
nonprofits, and tribal organizations that it wasn't working for
them. This legislation tries a different approach to address
the issue.
REPRESENTATIVE HIMSCHOOT echoed what Chair Carrick said. It is
important that agencies have the staffing necessary. She said
if the legislature wants government to run more like business,
then the state needs to pay on time.
3:47:00 PM
REPRESENTATIVE STORY moved to report HB 133, Version L, as
amended, out of committee with individual recommendations and
the accompanying fiscal notes and to authorize Legislative Legal
Services to make any necessary or conforming changes.
REPRESENTATIVE MCCABE objected.
3:47:28 PM
A roll call vote was taken. Representatives Story, Himschoot,
Holland, and Carrick voted in favor of the motion to report HB
133, Version L, as amended, out of committee with individual
recommendations and the accompanying fiscal notes.
Representatives Vance, McCabe, and St. Clair voted against it.
Therefore, CSHB 133(STA) was reported out of the House State
Affairs Standing Committee by a vote of 4-3.
The committee took an at-ease at 3:48.
HB 81-ACCESS TO MARIJUANA CONVICTION RECORDS
3:48:38 PM
CHAIR CARRICK announced that the next order of business would be
HOUSE BILL NO. 81 HOUSE BILL NO. 81 "An Act restricting the
release of certain records of convictions; and providing for an
effective date."
3:49:00 PM
CHAIR CARRICK moved to adopt Amendment 1 to HB 81, labelled 34-
LS0474\N.1, C. Radford, 1/27/26, which read:
Page 3, line 1:
Delete "2026"
Insert "2027"
CHAIR CARRICK objected.
CHAIR CARRICK stated this amendment changes the effective date
from January 1, 2026, to January 1, 2027.
REPRESENTATIVE DAVID NELSON, Alaska State Legislature, as prime
sponsor, stated he was supportive of Amendment 1.
CHAIR CARRICK removed her objection and asked for any additional
discussion.
REPRESENTATIVE D. NELSON stated this bill has been three
different committee sessions in the making. He encouraged
everyone to say yes for workforce development and for people
that have served their time and paid their debt to society.
3:50:43 PM
REPRESENTATIVE STORY moved to report HB 81, as amended, out of
committee with individual recommendations and the accompanying
fiscal notes and to authorize Legislative Legal Services to make
any necessary or conforming changes. There being no objection,
CSHB 81(STA) was reported out of the House State Affairs
Standing Committee.
HB 124-AIDEA
3:51:23 PM
CHAIR CARRICK announced that the final order of business would
be HOUSE BILL NO. 124 "An Act relating to the Alaska Industrial
Development and Export Authority; and providing for an effective
date."
CHAIR CARRICK, prime sponsor of HB 124, announced the committee
would continue hearing public testimony, which she had left open
from the hearing on 1/27/26.
3:53:02 PM
JIM CLARK, Attorney, testified on HB 124. He has had clients in
the natural resource field for 30 years; he was chief of staff
for then Governor Frank Murkowski for four years; and has worked
with mining clients for a few years. In all that time, he has
dealt with the Alaska Industrial Development and Export
Authority (AIDEA), Alaska's industrial development bank. He
stated that any attempt to make changes may have unintended
consequences. He asked for this bill to be held until due
diligence has been done with AIDEA. Mr. Ruaro will deal with
concerns if the committee works with him. The legislation is
premature as there are unintended consequences, particularly in
Sections 7 and 8. He described projects in Southeast Alaska.
Again, he requested the bill be set aside until oversight
hearings have occurred and more due diligence has been met
because the risk of unintended consequences is high.
3:56:30 PM
CAROLYN KELLER, representing self, testified in support of HB
124. She thinks that it is valuable to have public
participation to ensure the work is in the public's interest.
She likes that board members will be confirmed by the
legislature including an environmental member.
3:57:22 PM
JAZMINE VENT, representing self, thanked Chair Carrick for
introducing this important legislation. She said AIDEA has
operated far too long without oversight. She stated AIDEA has
advanced projects without public input, especially tribal
voices. She said HB 124 would improve accountability with large
projects receiving legislative review. She said transparency
and oversight are essential. She urges the committee to support
HB 124, especially for the Native communities.
3:59:25 PM
RIKA MOUW, representing self, was thrilled HB 124 is before the
committee and being considered. She is in full support of the
language in the bill. There is a true need for more
accountability to the legislature and public. She said AIDEA is
a public corporation, and it must answer to accountability and
transparency. She urges the bill to pass through the committee.
4:01:02 PM
MEGAN LINGLE, representing self, said she was born and raised in
Alaska. She said for Native people, the land is their food
source, not just an economic resource. She stated that when the
land is harmed, the people are harmed. She expressed that AIDEA
has played a major role in the Ambler Road with little
legislative oversight and accountability to the people it
effects. She said HB 124 doesn't stop development, the bill
ensures AIDEA has increased oversight. Alaska constitution says
that Alaska lands must be managed for the maximum benefit of the
people. She urged the committee to support HB 124 so that AIDEA
cannot move forward to industrial projects without
accountability to the people, land, and future generations.
4:03:48 PM
GRACE KIRKEY, representing self, testified in support of HB 124.
She stated Alaskans deserve transparency and stronger oversight.
She said HB 124 is a commonsense step to strengthen
accountability and meets the need of Alaskans. She stated that
development should not come before the expense of public trust.
4:04:26 PM
DAVID DELONG, representing self, testified in support of HB 124.
To the public, AIDEA is like a black hole where a great amount
of money is poured into. He said there is no idea of what is
going on, except for projects which directly affect people who
are very much against them. He urged the committee to pass the
bill.
4:06:22 PM
DON DUNCAN, representing self, said he has made his living as a
wilderness, hunting, and fishing guide. He has worked all over
the state since 1979. He said, "HB 124 is a wolf in sheep's
clothing. If passed, it will be a death by 1,000 cuts. It is
never going to please everyone." People that benefit the most
from resource development are the people that get that money.
People profit and Alaskans don't get a permanent fund dividend
(PFD) full allotment. For those that want to see AIDEA pay out
a dividend, he strongly suggests looking to the University of
Alaska to run as a for-profit returning a dividend. The haul
road is 50 years old; he is still waiting for a boat launch.
The small business loan might have been something that he could
have used; he stated that they are paying off without any
default. He stated AIDEA needs to provide a salmon hatchery on
the Yukon River. He stated AIDEA is doing the best thing that
it can to bring money into the state.
4:09:45 PM
BERNIE HOFFMAN, representing self, thanked the committee for
bringing forth HB 124. She stated there does need to be
accountability. She said the resources need to be developed
with the public's knowledge.
4:11:06 PM
JAMIE BITMAR, representing self, said she is a business owner in
support of HB 124 because she wants to see transparency,
responsible decision-making, and accountability. She stated
AIDEA has been spending money on the Ambler Road project, a
controversial project. She urges support of HB 124.
4:13:00 PM
THERESA OBERMEYER, representing self, said she wanted to commend
Chair Carrick for bringing this AIDEA issue forward. She asked
the committee to pass HB 124 out of committee.
4:14:04 PM
CHAIR CARRICK, after ascertaining there was no one else who
wished to testify, closed public testimony on HB 124.
CHAIR CARRICK announced HB 124 was held over.
4:15:07 PM
CHAIR CARRICK reviewed scheduling for next week.
4:15:50 PM
ADJOURNMENT
There being no further business before the committee, the House
State Affairs Standing Committee meeting was adjourned at 4:16
p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB133-DOA-OPPM-1-20-26.pdf |
HSTA 1/29/2026 3:15:00 PM |
HB 133 |
| HB 133 Amendment 1 HSTA.pdf |
HSTA 1/29/2026 3:15:00 PM |
HB 133 |
| HB 133 Amendment 2 HSTA.pdf |
HSTA 1/29/2026 3:15:00 PM |
HB 133 |
| HB 81 Amendment 1 HSTA.pdf |
HJUD 2/2/2026 1:00:00 PM HSTA 1/29/2026 3:15:00 PM |
HB 81 |
| HB 124 Written Testimony Rec'd 1-29-26.pdf |
HSTA 1/29/2026 3:15:00 PM |
HB 124 |
| HB 124 Backup AFA Letter 1-27-26.pdf |
HSTA 1/29/2026 3:15:00 PM |
HB 124 |
| HB 124 Backup BHA Letter 1-27-26.pdf |
HSTA 1/29/2026 3:15:00 PM |
HB 124 |
| HB 124 Backup Trustees of Alaska Letter 1-28-26.pdf |
HSTA 1/29/2026 3:15:00 PM |
HB 124 |
| HB 124 Backup PFM Memorandum AIDEA Dividend and Appropriation Unrestricted Receipts 4-25-25.pdf |
HSTA 1/29/2026 3:15:00 PM |
HB 124 |
| HB 133 Amendment 3 HSTA.pdf |
HSTA 1/29/2026 3:15:00 PM |
HB 133 |