Legislature(2025 - 2026)SENATE FINANCE 532

04/14/2026 09:00 AM Senate FINANCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 17 DISABLED VETERANS: RETIREMENT BENEFITS TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
*+ HB 48 CIVIL LEGAL SERVICES FUND TELECONFERENCED
Heard & Held
-- Invited & Public Testimony --
Bills Previously Heard/Scheduled
**Streamed live on AKL.tv**
                 SENATE FINANCE COMMITTEE                                                                                       
                      April 14, 2026                                                                                            
                         9:00 a.m.                                                                                              
                                                                                                                                
9:00:57 AM                                                                                                                    
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair  Hoffman   called  the  Senate   Finance  Committee                                                                    
meeting to order at 9:00 a.m.                                                                                                   
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Lyman Hoffman, Co-Chair                                                                                                 
Senator Donny Olson, Co-Chair                                                                                                   
Senator Bert Stedman, Co-Chair                                                                                                  
Senator Mike Cronk                                                                                                              
Senator James Kaufman                                                                                                           
Senator Jesse Kiehl                                                                                                             
Senator Kelly Merrick                                                                                                           
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
None                                                                                                                            
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Senator George Rauscher,  Sponsor; Mark Whisenhunt, Veteran,                                                                    
United  States Army;  Hunter Meachum,  Staff, Representative                                                                    
Sara Hannan;  Maggie Humm, Executive Director,  Alaska Legal                                                                    
Services Corporation.                                                                                                           
                                                                                                                                
PRESENT VIA TELECONFERENCE                                                                                                    
                                                                                                                                
Christopher  Novell, Chief  Financial  Officer, Division  of                                                                    
Retirement  and  Benefits,   Department  of  Administration,                                                                    
Juneau;  Jason Ortiz,  Self,  Palmer;  Austin Flavin,  Self,                                                                    
Palmer;  James Ross,  Self, Yakutat;  Lori Proctor,  Retired                                                                    
Patient Care Advocate, Alaska  Legal Services, Willow; Marge                                                                    
Stoneking, Advocacy Director, AARP Alaska, Anchorage.                                                                           
                                                                                                                                
SUMMARY                                                                                                                       
                                                                                                                                
HB 17     DISABLED VETERANS: RETIREMENT BENEFITS                                                                                
                                                                                                                                
          HB 17 was HEARD and HELD in committee for further                                                                     
          consideration.                                                                                                        
                                                                                                                                
HB 48     CIVIL LEGAL SERVICES FUND                                                                                             
          HB 48 was HEARD and HELD in committee for further                                                                     
          consideration.                                                                                                        
                                                                                                                                
HOUSE BILL NO. 17                                                                                                             
                                                                                                                                
     "An Act  relating to  retirement benefits  and military                                                                    
     service."                                                                                                                  
                                                                                                                                
9:02:09 AM                                                                                                                    
                                                                                                                                
SENATOR GEORGE  RAUSCHER, SPONSOR,  introduced the  bill. He                                                                    
read from the Sponsor Statement (copy on file):                                                                                 
                                                                                                                                
     House  Bill  17 allows  Veterans  who  are totally  and                                                                    
     permanently  disabled  to  access  their  accrued  PERS                                                                    
     retirement benefits without penalty.  HB 17 also allows                                                                    
     military   service,  which   has   been  purchased   in                                                                    
     accordance  with the  PERS standards  to count  towards                                                                    
     the   credited   service    requirements   for   normal                                                                    
     retirement.                                                                                                                
                                                                                                                                
     Veterans  who  are  totally  and  permanently  disabled                                                                    
     struggle  to work  and keep  gainful employment  due to                                                                    
     their  service-connected  disabilities. As  such,  this                                                                    
     class   of  veterans   often   struggles  with   income                                                                    
     stability.  If  HB  17 becomes  law,  it  will  provide                                                                    
     disabled veterans with access  to their PERS retirement                                                                    
     benefits at a time when they need it most.                                                                                 
                                                                                                                                
Co-Chair  Hoffman remarked  that it  was unusual  to hear  a                                                                    
House bill introduced by a  senator. He stated that the bill                                                                    
was  originally  introduced  when  Senator  Rauscher  was  a                                                                    
representative.                                                                                                                 
                                                                                                                                
9:04:50 AM                                                                                                                    
                                                                                                                                
MARK  WHISENHUNT,  VETERAN,  UNITED STATES  ARMY,  spoke  in                                                                    
support of the legislation.                                                                                                     
                                                                                                                                
Co-Chair Hoffman  listed individuals who were  available for                                                                    
questions.                                                                                                                      
                                                                                                                                
Co-Chair  Stedman looked  at the  fiscal note,  but remarked                                                                    
that in  the definition  it said that  "this will  create an                                                                    
additional unfunded  liability to the plan  because employer                                                                    
costs are capped  at 22 percent, and any  access costs would                                                                    
be paid by the State of  Alaska." He wondered whether it had                                                                    
been calculated, because that  definition did not indicate a                                                                    
zero fiscal impact.                                                                                                             
                                                                                                                                
9:09:48 AM                                                                                                                    
                                                                                                                                
CHRISTOPHER  NOVELL, CHIEF  FINANCIAL  OFFICER, DIVISION  OF                                                                    
RETIREMENT  AND  BENEFITS,   DEPARTMENT  OF  ADMINISTRATION,                                                                    
JUNEAU (via teleconference), agreed  that it would have some                                                                    
form of unfunded  liability to the plan. He  stated that, in                                                                    
providing a fiscal note, there were too many unknowns.                                                                          
                                                                                                                                
Co-Chair Stedman surmised that  there were too many unknowns                                                                    
to determine  a precise  fiscal note.  He stated  that there                                                                    
was a concern  about the non-state employers  that fell back                                                                    
to  the  state. He  remarked  that  not knowing  the  fiscal                                                                    
impact  to  any change  to  the  retirement system  was  not                                                                    
helpful in making a position on the bill.                                                                                       
                                                                                                                                
Senator Rauscher replied that  there was an estimated impact                                                                    
of 48 possible VA that could take advantage of the program.                                                                     
                                                                                                                                
Senator Kiehl  thanked the sponsor for  recognizing disabled                                                                    
veterans. He  surmised that any  PERS member in  the defined                                                                    
benefit  system who  wanted credit  for their  military time                                                                    
must pay for that time.                                                                                                         
                                                                                                                                
Senator Rauscher deferred to Mr. Whisenhunt.                                                                                    
                                                                                                                                
Mr.  Whisenhunt   explained  that   there  was   a  purchase                                                                    
opportunity.                                                                                                                    
                                                                                                                                
9:15:08 AM                                                                                                                    
                                                                                                                                
Senator  Kiehl  wondered  whether  the bill  allowed  for  a                                                                    
disabled service veteran to have the elimination of cost.                                                                       
                                                                                                                                
Mr.  Whisenhunt  replied  that   it  would  not  change  the                                                                    
purchase process.                                                                                                               
                                                                                                                                
Senator  Kiehl  wondered if  there  would  be an  unintended                                                                    
consequence of one of the repealers in the bill.                                                                                
                                                                                                                                
Mr. Whisenhunt responded that the  language was crafted with                                                                    
the understanding that  it was no longer a  barrier to count                                                                    
toward the thirty years.                                                                                                        
                                                                                                                                
Senator  Kiehl requested  a response  from  the division  on                                                                    
their interpretation of the repealer.                                                                                           
Co-Chair Hoffman stated that the  response would be given in                                                                    
writing.                                                                                                                        
                                                                                                                                
Senator Kiehl wondered whether the  bill allowed for a count                                                                    
toward the vesting process.                                                                                                     
                                                                                                                                
Mr. Whisenhunt stated  that it would not  change the vesting                                                                    
process.                                                                                                                        
                                                                                                                                
Senator Kiehl  wondered whether that would  change for peace                                                                    
officers   and  firefighters   with  a   different  repealer                                                                    
section.                                                                                                                        
                                                                                                                                
Co-Chair  Stedman agreed  with the  concerns related  to the                                                                    
repealers.                                                                                                                      
                                                                                                                                
9:19:58 AM                                                                                                                    
                                                                                                                                
Co-Chair Hoffman OPENED public testimony.                                                                                       
                                                                                                                                
9:20:16 AM                                                                                                                    
                                                                                                                                
JASON  ORTIZ, SELF,  PALMER (via  teleconference), spoke  in                                                                    
support of the bill.                                                                                                            
                                                                                                                                
9:21:36 AM                                                                                                                    
                                                                                                                                
AUSTIN FLAVIN, SELF,  PALMER (via teleconference), testified                                                                    
in support of the legislation.                                                                                                  
                                                                                                                                
Senator Rauscher thanked the committee.                                                                                         
                                                                                                                                
Senator Kiehl explained the fiscal note.                                                                                        
                                                                                                                                
Senator Cronk thanked the sponsor.                                                                                              
                                                                                                                                
HB  17  was   HEARD  and  HELD  in   committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
HOUSE BILL NO. 48                                                                                                             
                                                                                                                                
     "An Act relating to appropriations to the civil legal                                                                      
     services fund."                                                                                                            
                                                                                                                                
9:27:31 AM                                                                                                                    
                                                                                                                                
HUNTER   MEACHUM,   STAFF,   REPRESENTATIVE   SARA   HANNAN,                                                                    
introduced the bill.                                                                                                            
9:29:43 AM                                                                                                                    
                                                                                                                                
MAGGIE  HUMM,  EXECUTIVE  DIRECTOR,  ALASKA  LEGAL  SERVICES                                                                    
CORPORATION, spoke in support of the bill.                                                                                      
                                                                                                                                
9:36:14 AM                                                                                                                    
                                                                                                                                
Co-Chair   Hoffman  stated   that  there   were  individuals                                                                    
available for questions.                                                                                                        
                                                                                                                                
Co-Chair Hoffman OPENED public testimony.                                                                                       
                                                                                                                                
9:36:38 AM                                                                                                                    
                                                                                                                                
JAMES  ROSS, SELF,  YAKUTAT (via  teleconference), spoke  in                                                                    
support of the legislation.                                                                                                     
                                                                                                                                
9:37:46 AM                                                                                                                    
                                                                                                                                
LORI PROCTOR,  RETIRED PATIENT  CARE ADVOCATE,  ALASKA LEGAL                                                                    
SERVICES, WILLOW (via  teleconference), testified in support                                                                    
of the legislation.                                                                                                             
                                                                                                                                
9:39:19 AM                                                                                                                    
                                                                                                                                
MARGE STONEKING,  ADVOCACY DIRECTOR, AARP  ALASKA, ANCHORAGE                                                                    
(via   teleconference),   testified   in  support   of   the                                                                    
legislation.                                                                                                                    
                                                                                                                                
Co-Chair Hoffman CLOSED public testimony.                                                                                       
                                                                                                                                
Senator Kiehl addressed the fiscal notes.                                                                                       
                                                                                                                                
HB  48  was   HEARD  and  HELD  in   committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
ADJOURNMENT                                                                                                                   
9:43:31 AM                                                                                                                    
                                                                                                                                
The meeting was adjourned at 9:43 a.m.                                                                                          

Document Name Date/Time Subjects
HB 17 Disabled Veterans Retirement Benefits.msg SFIN 4/14/2026 9:00:00 AM
HB 17
HB 17 DOA SRB 041026.pdf SFIN 4/14/2026 9:00:00 AM
HB 17
HB 17 DOA Follow-Up 1.28.26.pdf SFIN 4/14/2026 9:00:00 AM
HB 17
HB 17 Public Testimony Opposing.msg SFIN 4/14/2026 9:00:00 AM
HB 17
HB 17 Sectional Analysis 1.28.26.pdf SFIN 4/14/2026 9:00:00 AM
HB 17
HB 17 Sponsor Statement ver. A 4.13.26.pdf SFIN 4/14/2026 9:00:00 AM
HB 17
HB 17 Written Testimony 1.28.26.pdf SFIN 4/14/2026 9:00:00 AM
HB 17
HB 17 Written Testimony 2 1.28.26.pdf SFIN 4/14/2026 9:00:00 AM
HB 17
Public Testimony Opposing HB 17 1.28.26.pdf SFIN 4/14/2026 9:00:00 AM
HB 17
HB 48 American Bar Foundation ALSC Community Justice Worker Program Research Brief 2.13.2026.pdf SFIN 4/14/2026 9:00:00 AM
HB 48
HB 48 Alaska Legal Services Corporation Fact Sheets 02.13.2026.pdf SFIN 4/14/2026 9:00:00 AM
HB 48
HB 48 Letter of Support Alaska Federation of Natives version A 1.27.2025.pdf SFIN 4/14/2026 9:00:00 AM
HB 48
HB 48 Letter of Support Sexual Trauma Prevention and Response (STAR) version A 1.24.2025.pdf SFIN 4/14/2026 9:00:00 AM
HB 48
HB 48 Letter of Support Southeast Alaska Independent Living Agency version A 2.24.2026.pdf SFIN 4/14/2026 9:00:00 AM
HB 48
HB 48 Sectional Analysis version A 3.13.2025.pdf SFIN 4/14/2026 9:00:00 AM
HB 48
HB 48 Sponsor Statement version A 3.13.2025.pdf SFIN 4/14/2026 9:00:00 AM
HB 48
HB 48 Support Letter Alaska Children's Trust 1.25.2025.pdf SFIN 4/14/2026 9:00:00 AM
HB 48
HB 48 Support Lampl.pdf SFIN 4/14/2026 9:00:00 AM
HB 48
HB 17 Support Dembroski.pdf SFIN 4/14/2026 9:00:00 AM
HB 17
HB 17 DOA Committee Questions Response 5.4.26.pdf SFIN 4/14/2026 9:00:00 AM
HB 17
HB 17 Testimony Kraft.pdf SFIN 4/14/2026 9:00:00 AM
HB 17