Legislature(2009 - 2010)SENATE FINANCE 532

04/09/2009 09:00 AM FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 96 CHILD SUPPORT/ CASH MEDICAL SUPPORT TELECONFERENCED
Moved CSSB 96(FIN) Out of Committee
*+ SB 183 GRANT AUTHORITY FOR AIR QUALITY TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
                  SENATE FINANCE COMMITTEE                                                                                      
                       April 9, 2009                                                                                            
                         9:25 a.m.                                                                                              
                                                                                                                                
9:25:46 AM                                                                                                                    
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair Stedman called the Senate  Finance Committee meeting                                                                   
to order at 9:25 a.m.                                                                                                           
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Lyman Hoffman, Co-Chair                                                                                                 
Senator Bert Stedman, Co-Chair                                                                                                  
Senator Charlie Huggins, Vice-Chair                                                                                             
Senator Johnny Ellis                                                                                                            
Senator Donny Olson                                                                                                             
Senator Joe Thomas                                                                                                              
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
None                                                                                                                            
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Senator  Bettye Davis;  Lynda  Zaugg, Staff,  Senator  Bettye                                                                   
Davis;    Ginger    Blaisdell,    Director,    Division    of                                                                   
Administrative   Services,   Department   of   Revenue;   Bob                                                                   
Loescher,  representative,  Central   Council  Tlingit  Haida                                                                   
Indian Tribes of Alaska (CCTHITA);  Darwin Peterson, Staff to                                                                   
Co-Chair Stedman; Alice Edwards,  Acting Director, Department                                                                   
of Environmental Conservation/Air quality.                                                                                      
                                                                                                                                
PRESENT VIA TELECONFERENCE                                                                                                    
                                                                                                                                
Stacy Steinburg, Chief Assistant  Attorney General, Statewide                                                                   
Section Supervisor, Department of Law.                                                                                          
                                                                                                                                
SUMMARY                                                                                                                       
                                                                                                                                
SB 96     "An  Act relating to  nonpayment of child  support;                                                                   
          relating  to  certain judicial  and  administrative                                                                   
          orders for medical support  of a child; relating to                                                                   
          periodic  review and  adjustment  of child  support                                                                   
          orders;  relating  to  relief  from  administrative                                                                   
          child  support orders;  relating  to child  support                                                                   
          arrearages; relating  to medical support of a child                                                                   
          and  the Alaska Native  family assistance  program;                                                                   
          amending   Rule  90.3,   Alaska   Rules  of   Civil                                                                   
          Procedure; and providing for an effective date."                                                                      
                                                                                                                                
          CSSB 96 (FIN) was REPORTED out of Committee with a                                                                    
          "do pass" recommendation and with a previously                                                                        
          published zero fiscal note                                                                                            
                                                                                                                                
SB 183    "An    Act    authorizing   the    Department    of                                                                   
          Environmental Conservation  to award grants for the                                                                   
          control  of air  emissions or  the development  and                                                                   
          administration  of  air quality  control  programs;                                                                   
          and providing for an effective date."                                                                                 
                                                                                                                                
          SB 183 was HEARD and HELD in Committee for further                                                                    
          consideration.                                                                                                        
                                                                                                                                
SENATE BILL NO. 96                                                                                                            
                                                                                                                                
     "An  Act  relating  to  nonpayment   of  child  support;                                                                   
     relating to  certain judicial and administrative  orders                                                                   
     for  medical support  of a child;  relating to  periodic                                                                   
     review and adjustment of  child support orders; relating                                                                   
     to  relief  from administrative  child  support  orders;                                                                   
     relating  to  child  support   arrearages;  relating  to                                                                   
     medical support of a child  and the Alaska Native family                                                                   
     assistance program; amending  Rule 90.3, Alaska Rules of                                                                   
     Civil Procedure; and providing for an effective date."                                                                     
                                                                                                                                
9:25:52 AM                                                                                                                    
                                                                                                                                
Co-Chair  Stedman  stated the  goal  today to  introduce  and                                                                   
adopt work draft version P for SB 96.                                                                                           
                                                                                                                                
Senator Ellis  MOVED to ADOPT proposed  committee substitute,                                                                   
work draft  #26-LS0485\P, Mischel,  4/7/09. Co-Chair  Stedman                                                                   
OBJECTED.                                                                                                                       
                                                                                                                                
LYNDA  ZAUGG,  STAFF,  SENATOR BETTYE  DAVIS,  discussed  the                                                                   
change  in the CS  representing a  definition of  legislative                                                                   
intent.  The  language  conforms to  the  Uniform  Interstate                                                                   
Family  Support   Act  as  approved   by  the   American  Bar                                                                   
Association.  She informed that  SB 96  is designed  to bring                                                                   
Alaska in  compliance with  the federal regulations  allowing                                                                   
the child support enforcement  division to continue receiving                                                                   
federal funds. She  noted that SB 96 represents  the addition                                                                   
of Indian tribes under definition of state.                                                                                     
                                                                                                                                
9:29:42 AM                                                                                                                    
                                                                                                                                
Senator  Huggins asked  about  the terms  "states must  order                                                                   
either  parent"   and  for  the  tribal  section   "give  the                                                                   
authority".  He  asked how  authority  can be  given  without                                                                   
orders.                                                                                                                         
                                                                                                                                
GINGER  BLAISDELL,   DIRECTOR,  DIVISION  OF   ADMINISTRATIVE                                                                   
SERVICES,  DEPARTMENT OF  REVENUE noted  that members  of the                                                                   
department were available  to speak to the bill.  She thought                                                                   
the Department of  Law (DOL) best to answer  Senator Huggins'                                                                   
questions. Senator Huggins asked if the DOL was available.                                                                      
                                                                                                                                
9:31:52 AM                                                                                                                    
                                                                                                                                
STACY STEINBURG, CHIEF ASSISTANT  ATTORNEY GENERAL, STATEWIDE                                                                   
SECTION SUPERVISOR,  DEPARTMENT OF LAW admitted  that she did                                                                   
not understand  the question. She required  further direction                                                                   
regarding the section.                                                                                                          
                                                                                                                                
Senator  Huggins explained  that he was  reading the  sponsor                                                                   
statement which  notes that  the federal government  requires                                                                   
states have guidelines noting  "under the federal regulations                                                                   
states  must  order  either  or   both  parents  to  purchase                                                                   
reasonably priced  health insurance."  He continued  that the                                                                   
next paragraph  states "this  bill adds  to existing  law the                                                                   
authority for a tribe to order  either or both parents to pay                                                                   
cash medical  support. He asked  about the terms  "order" and                                                                   
"authority."                                                                                                                    
                                                                                                                                
Ms. Steinburg  responded that there are three  distinct parts                                                                   
of the bill.  One part addresses cash medical  support, which                                                                   
under federal  regulations must include orders  for either or                                                                   
both parents to  provide for cash medical support.  She noted                                                                   
the reference  to existing authorities providing  for medical                                                                   
support  refers to  the tribunal's  consideration of  whether                                                                   
either  or both  parents have  health  insurance. A  separate                                                                   
portion of the bill addresses  the addition of "Indian tribe"                                                                   
to  the definition  of state  in our  Uniform Family  Support                                                                   
Act, which is separate from the cash medical support bill.                                                                      
                                                                                                                                
9:35:04 AM                                                                                                                    
                                                                                                                                
Senator Huggins  informed about  the location of  the portion                                                                   
                                       nd                                                                                       
of  the  sponsor  statement  Page 1,  2   paragraph,  line  1                                                                   
stating  "adds  to  the  existing  law  the  authority."  Ms.                                                                   
Steinburg noted that she did not  have the sponsor statement,                                                                   
but sought a copy.                                                                                                              
                                                                                                                                
Senator  Huggins  repeated that  the  first  sentence in  the                                                                   
sponsor  statement notes  that  "states must  order" and  the                                                                   
second paragraph  notes that "this bill adds  to existing law                                                                   
the authority for a tribe to order  either or both parents to                                                                   
pay  cash medical  support." He  opined  that the  statements                                                                   
appear to be incongruent.                                                                                                       
                                                                                                                                
Ms. Steinburg responded that she  found the sponsor statement                                                                   
and believed  that a  typographical error  exists. She  noted                                                                   
that her  copy states  that "this bill  adds to existing  law                                                                   
the authority for a tribunal to  order either or both parents                                                                   
to pay  cash medical  support." She noted  that the  word was                                                                   
not  tribe but  tribunal.  Senator  Huggins  agreed with  Ms.                                                                   
Steinburg and asked to stand corrected.  Ms. Steinburg stated                                                                   
that the  law is  such because  in certain circumstances  the                                                                   
agency  has the  authority  to  set an  administrative  child                                                                   
support order through their procedure.                                                                                          
                                                                                                                                
Co-Chair  Stedman asked  if the  administration supports  the                                                                   
bill. Ms. Blaisdell answered yes.                                                                                               
                                                                                                                                
Co-Chair  Stedman  removed  his  OBJECTION.  There  being  NO                                                                   
OBJECTION, it was so ordered.                                                                                                   
                                                                                                                                
9:38:48 AM                                                                                                                    
                                                                                                                                
BOB LOESCHER,  REPRESENTATIVE, CENTRAL COUNCIL  TLINGIT HAIDA                                                                   
INDIAN TRIBES  OF ALASKA (CCTHITA),  spoke in support  of the                                                                   
legislation including the words  "Indian tribes and US Virgin                                                                   
Islands"  and the  intent language.  He  understood that  the                                                                   
recognition was for  the purpose of inclusion  in the Uniform                                                                   
Child Support Act.                                                                                                              
                                                                                                                                
Co-Chair Hoffman  MOVED to report CSSB 96/P  out of Committee                                                                   
with individual  recommendations and the  accompanying fiscal                                                                   
note. There being NO OBJECTION, it was so ordered.                                                                              
                                                                                                                                
CSSB 96 (FIN) was REPORTED out  of Committee with a "do pass"                                                                   
recommendation  and with a  previously published  zero fiscal                                                                   
note.                                                                                                                           
                                                                                                                                
SENATE BILL NO. 183                                                                                                           
                                                                                                                                
     "An  Act  authorizing the  Department  of  Environmental                                                                   
     Conservation  to award  grants  for the  control of  air                                                                   
     emissions or  the development and administration  of air                                                                   
     quality   control  programs;   and   providing  for   an                                                                   
     effective date."                                                                                                           
                                                                                                                                
9:41:06 AM                                                                                                                    
                                                                                                                                
DARWIN PETERSON, STAFF TO CO-CHAIR  STEDMAN explained that SB
183 provides  the statutory authority  for the  Department of                                                                   
Environmental  Conservation  (DEC)  to  grant funds  for  the                                                                   
control   of   air   emissions    or   the   development   or                                                                   
administration of air quality  control programs in the state.                                                                   
The committee  recalls the  hearing on  SB 161, The  American                                                                   
Recovery  and  Reinvestment  Act   of  2009  as  one  of  DEC                                                                   
appropriations. During the hearing  the department approached                                                                   
the committee and requested introduction  of this legislation                                                                   
to give authority  to receive and expend those  grants if the                                                                   
administration  accepts that  appropriation  in the  American                                                                   
Recovery and  Reinvestment Act.  The legislation  is verbatim                                                                   
as requested  by the  department. During  the SB 161  hearing                                                                   
the  department  gave  the committee  information  about  the                                                                   
intent of expenditure as well as those who qualify.                                                                             
                                                                                                                                
Co-Chair Stedman  asked what would happen if  the legislation                                                                   
were  enacted  and  the  American   Recovery  Act  funds  are                                                                   
declined.  Mr. Peterson answered  that if  the funds  are not                                                                   
accepted  by  the  administration,   this  legislation  would                                                                   
remain  on the books  allowing statutory  grant authority  to                                                                   
exist  if  funds  are appropriated  by  the  legislature.  He                                                                   
stated that there would be no negative impact to the state.                                                                     
                                                                                                                                
Co-Chair Stedman  asked if the  department was in  support of                                                                   
the bill.                                                                                                                       
                                                                                                                                
9:43:31 AM                                                                                                                    
                                                                                                                                
ALICE EDWARDS,  ACTING DIRECTOR, DEPARTMENT  OF ENVIRONMENTAL                                                                   
CONSERVATION/AIR  QUALITY responded  that the department  was                                                                   
in  support  of  the bill.  Co-Chair  Stedman  asked  if  the                                                                   
administration  agreed that the  legislation was "do  no harm                                                                   
legislation." Ms. Edwards concurred.                                                                                            
                                                                                                                                
Senator  Olson  stated  that air  quality  remains  an  issue                                                                   
plaguing  the Red  Dog  mine. He  asked  how the  legislation                                                                   
affects  the   issues  raised  in  the  last   several  years                                                                   
regarding air quality in the mine.                                                                                              
                                                                                                                                
Ms.  Edwards   answered  that   this  legislation   does  not                                                                   
specifically address the issue;  however, with the ability to                                                                   
grant the  funds under competitive  process, an  entity could                                                                   
apply  for  the  funds  and  perhaps   make  improvements  to                                                                   
equipment.                                                                                                                      
                                                                                                                                
Senator Thomas asked about Section  b, Lines 10 and 11 noting                                                                   
that the  department may adopt  regulations to carry  out the                                                                   
purposes of  this section.  He asked if  this means  that the                                                                   
department could  adopt regulations specific to  the awarding                                                                   
of grants. Ms.  Edwards concurred that the  legislation would                                                                   
pertain  to adopting  regulations related  to issuing  grants                                                                   
not for other purposes.                                                                                                         
                                                                                                                                
9:45:44 AM                                                                                                                    
                                                                                                                                
Senator  Huggins  recalled  a similar  debate  regarding  low                                                                   
sulfur production  transportation. He  opined that  the state                                                                   
was now taking low sulfur diesel  and hauling it up the road.                                                                   
He understood the issue to be  about diesel emissions and was                                                                   
perplexed about grants to address  diesel emissions. He asked                                                                   
about  a  timeline  regarding   a  yes  or  no  answer  about                                                                   
acceptance of the stimulus money.  Ms. Edwards responded that                                                                   
she  did   not  know   the  answer.   She  stated   that  the                                                                   
administration preserved  the ability to accept  the fund and                                                                   
a grant application  was submitted per the  federal timelines                                                                   
to accept the grant.                                                                                                            
                                                                                                                                
Co-Chair Stedman asked if the  committee could take action on                                                                   
the bill during  the next session or is the  legislation time                                                                   
sensitive.                                                                                                                      
                                                                                                                                
9:48:29 AM                                                                                                                    
                                                                                                                                
Ms.  Edwards  answered  that   the  stimulus  funds  must  be                                                                   
expended by  September 30  2010 making  it unlikely  that the                                                                   
administration  could  perform  the work  envisioned  by  the                                                                   
American  Recovery  and  Reinvestment   Act  if  passed  next                                                                   
session.                                                                                                                        
                                                                                                                                
Co-Chair   Stedman   commented   about  the   challenges   of                                                                   
understanding  which pieces  of  the legislations  must  move                                                                   
forward in a timely manner preventing  loss of stimulus money                                                                   
available   to  the   state.   The  risk   with   legislation                                                                   
accompanied by  high fiscal notes is the  precarious position                                                                   
of having  the fiscal note flow  against the general  fund as                                                                   
opposed to being offset by federal revenue.                                                                                     
                                                                                                                                
SB  183  was   HEARD  and  HELD  in  Committee   for  further                                                                   
consideration.                                                                                                                  
                                                                                                                                
9:50:25 AM                                                                                                                    
                                                                                                                                
Co-Chair Stedman  stated that the  legislature is now  on the                                                                   
24 hour rule.                                                                                                                   
                                                                                                                                
9:51:12 AM                                                                                                                    
ADJOURNMENT                                                                                                                   
                                                                                                                                
The meeting was adjourned at 9:51 AM.                                                                                           
                                                                                                                                
                                                                                                                                

Document Name Date/Time Subjects
CSSD_Fed_Compliance_letter_16mar09[1].pdf SFIN 4/9/2009 9:00:00 AM
SB 96
Mallonee leter.pdf SFIN 4/9/2009 9:00:00 AM
SB 96
SB183-DEC-AQ-4-6-09.pdf SFIN 4/9/2009 9:00:00 AM
SB 183
SB 183 DEC ARRA Diesel Emissions Reduction.pdf SFIN 4/9/2009 9:00:00 AM
SB 183
SB 183 Sponsor Statement.pdf SFIN 4/9/2009 9:00:00 AM
SB 183
sponsor statement SB 96.doc SFIN 4/9/2009 9:00:00 AM
SB 96
SB96 DORCSSD Letter 032009.pdf SFIN 4/9/2009 9:00:00 AM
SB 96
SB96 DORCSSD Letter 032709.pdf SFIN 4/9/2009 9:00:00 AM
SB 96
SB96 sectional .pdf SFIN 4/9/2009 9:00:00 AM
SB 96
SB 96 prposed CS Version P.pdf SFIN 4/9/2009 9:00:00 AM
SB 96