Legislature(1999 - 2000)
05/18/1999 01:30 PM Senate L&C
| Audio | Topic |
|---|
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
SENATE LABOR AND COMMERCE COMMITTEE
May 18, 1999
1:30 p.m.
MEMBERS PRESENT
Senator Jerry Mackie, Chairman
Senator Tim Kelly, Vice Chairman
Senator Dave Donley
Senator Loren Leman
Senator Lyman Hoffman
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
CS FOR HOUSE BILL NO. 167(L&C)
"An Act repealing required registration for mobile home dealers;
and providing for an effective date."
-MOVED CSHB 167(L&C)OUT OF COMMITTEE
Confirmation Hearing on members of the Regulatory Commission of
Alaska: Wilfred Abbott, Patricia DeMarco, Burnell Smith, and G.
Nanette Thompson
PREVIOUS SENATE COMMITTEE ACTION
HB 167 - No previous action to consider.
WITNESS REGISTER
Mr. Peter Torkelson, Aide
Representative John Cowdery
State Capitol Bldg.
Juneau, AK 99811-1182
POSITION STATEMENT: Commented on HB 167.
ACTION NARRATIVE
TAPE 99-23, SIDE A
Number 001
HB 167-REPEAL MOBIL HOME DEALER REGISTRATION
CHAIRMAN MACKIE called the Senate Labor and Commerce Committee
meeting to order at 1:30 p.m. and announced HB 167 to be up for
consideration.
MR. PETER TORKELSON, aide to Representative Cowdery, said HB 167 is
a simple deregulation bill for small Alaskan businesses that sell
mobile homes. Currently, they must pay up to $1,500 to get bonded
and, in some cases, much more than that. A small business just
starting out must pay a $500 plus license fee. There is currently
no need for any of these protections because not one claim has been
made against a licensee for their bond. The result of these hoops
is to drive the small operators out of business or, at least,
outside the law. This bill levels the playing field for all
Alaskans.
CHAIRMAN MACKIE asked how many dealers there are.
MR. TORKELSON answered there are 14 dealers licensed in the State -
10 of those sell primarily used mobile homes. Only four deal in
new ones.
SENATOR KELLY gave the committee some historical perspective saying
the requirement for bonding was created because there were "a bunch
of sleazy fly-by-night artists out there selling mobile homes."
They caused enough problems that they came to the legislature and
said they wanted to upgrade the professional image of the industry.
The fact that there have been no claims is terrific. "That means
it's working."
MR. TORKELSON responded that the House Labor and Commerce Committee
heard during testimony that the "fly-by-nighters" are still there.
There is no reason for them to jump through the hoops to get
bonded, so they operate out of the back of a pickup truck and it
still occurs. Honest citizens comply, but they aren't the problem.
CHAIRMAN MACKIE asked if people are still allowed to do the
business.
MR. TORKELSON replied that they don't operate legally, but
enforcement is expensive and the last thing they want is a large
enforcement bill. The 14 legitimate people pay their own way
through fees the way the licensing program is set up.
SENATOR KELLY asked who was asking for this.
MR. MARCO PIGNALBERI, aide to Representative Cowdery, added that
two of the exclusively used dealers requested this legislation.
They don't need the bond because they "sell as-is/where-is." There
was a dispute between the new and used dealers. The used dealers
thought the new dealers want numbers of members to reduce fees. The
Department of Commerce said essentially they don't think there is
any good happening from regulating them at all. The dealers were
asked to get together and work it out but they didn't. So the
House decided to proceed with deregulation.
CHAIRMAN MACKIE asked if the Department is supporting the bill.
MR. PIGNALBERI answered that they have taken a neutral position.
Number 139
SENATOR LEMAN said he wasn't real comfortable with this. He likes
removing unnecessary government from business, but totally
repealing their licensing and bonding requirements makes him
apprehensive.
MR. PIGNALBERI said they fully expect industry to come back with a
new plan for regulation that satisfies all segments of the
industry, not just the new dealers.
SENATOR KELLY asked when this was introduced.
CHAIRMAN MACKIE answered it was introduced on March 31.
MR. TORKELSON said that new dealers offer their products with a
warranty that is a guarantee of the manufacturer of the homes. The
used dealers sell things as-is/where-is.
SENATOR KELLY commented that they would be more likely to work
something out with this hanging over their heads.
SENATOR DONLEY said he likes the bill because there have never been
any problems in this area and it is one thing they can do to lessen
government.
SENATOR KELLY asked if he was saying there hadn't been any problem
with anyone who had been bonded.
MR. TORKELSON said there had been no claims.
SENATOR KELLY said this was a piece of deregulation that would come
back and haunt them.
SENATOR DONLEY asked if there was licensing of used car dealers.
MR. TORKELSON said no.
SENATOR KELLY said he thought you proved your competence and
success by your ability to buy a bigger bond and climb up the
ladder of success.
Number 240
SENATOR LEMAN moved to report HB 167 from committee with individual
recommendations. There were no objections and it was so ordered.
CHAIRMAN MACKIE announced the confirmation hearing of the
appointees to the Regulatory Commission of Alaska. He said the
committee had copies of the resumes.
MR. WILL ABBOTT briefly reviewed his qualifications and said he was
looking forward to working on the Commission.
Number 286
SENATOR LEMAN asked him to comment on competition in the market
place.
MR. ABBOTT said he believes strongly in the private sector and
thought they could sometimes do things much better. He supported
deregulation to do that as long as it is in the public interest.
SENATOR DONLEY asked him to comment about his education.
MR. ABBOTT said he went through two years of college before his
time in the Air Force. After that he completed the school of hard
knocks. He has a lot of public administration background and
retired from the Air Force as a Wing Commander.
CHAIRMAN MACKIE said he appreciated his military service and
thanked Mr. Abbott for his service to the country.
Number 316
MS. PATTI DEMARCO said she is a scientist by training and reviewed
some of her past employment. She has a great interest in the
policy implications of energy, especially in the regulated
industries. This is a time of great change and Alaska is very
different from other areas of the country because of wide
disparities between the urban and rural areas. If we are to be
fair with cost efficient reliable service for all citizens, they
would have to find creative ways to do that that may not fit the
mold that has been cast in the rest of the country.
SENATOR LEMAN asked if she could offer any insights from her
experience in Northeast America with energy issues.
MS. DEMARCO said the electric issues are every bit as complicated
as telecommunications. Alaska is as different from Connecticut as
you can get because Connecticut is part of a tight pool integrated
with eight other states with all of the pieces connected to each
other with hard wire and uniform dispatch. Alaska doesn't even
have all of its various parts connected to each other. She thought
solutions would require an open mind and new approach. She is not
bringing any preconceived solutions into this.
SENATOR LEMAN asked if she was aware of the study funded by the
Legislature and the APUC this past spring on electric utility
restructuring.
MS. DEMARCO said she is aware of it and is looking forward to
studying it in some depth.
MS. G. NANETTE THOMPSON briefly reviewed her education and
experience. She graduated from Stanford with a law degree and
worked for a small Anchorage firm with utility and government
clients. As a private attorney since 1988, she continued to
represent utility and municipal clients. She joined the APUC in
1995 and left in 1996 because the Supreme Court decided that the
seat to which she was appointed was not vacant. She has worked on
mining, oil, and gas issues in the Attorney General's office since
then.
Number 425
SENATOR LEMAN said the last time she was up for confirmation he
voted against her, but it had nothing to do with her capabilities.
He thinks she is extremely talented and doing a good job, but he
believed that her seat was not available and the Supreme Court
concluded the same thing. He looks forward to voting for her this
time and working with her on the Commission.
MR. JAMES STRANDBERG said he is a life long Alaskan and was
educated at the University of Alaska. He spent his career in
consulting engineering and has some experience with public service
working with the University of Alaska Research Range at Poker Flat.
SENATOR LEMAN asked him to comment on the implementation of
competition in telecommunications or electric utilities.
MR. STRANDBERG answered that nearly everyone in the State agrees
that we are coming of age and competition will be a good thing for
us. However, we cannot justify state-side solutions to Alaska. One
of their biggest tasks is to recognize the special conditions that
exist up here - both in the bush and urban areas.
SENATOR LEMAN asked if he was a member of the American Society of
Civil Engineers.
MR. STRANDBERG answered no; he is a member of ASME, NSPE, and a
number of others. His contact phone number is 278-5812.
Number 461
MR. BURNELL SMITH said he came to Alaska in 1980 and fell in love
with the State.
SENATOR LEMAN asked him to comment on competition.
MR. SMITH answered that he is a firm believer in competition and
also in the regulation of semi-monopolies. We have to protect the
people.
SENATOR LEMAN noted that he has a B.S. in Engineering Technology
and asked if he is registered in Alaska as a professional engineer.
MR. SMITH replied that he is not.
CHAIRMAN MACKIE congratulated the Administration on putting
together a good group of people.
SENATOR LEMAN moved to report the standard letter indicating they
had heard from the five nominees and noted this was not their
commitment to vote either for or against the appointees. There
were no objections and it was so ordered.
CHAIRMAN MACKIE adjourned the meeting at 2:10 p.m.
| Document Name | Date/Time | Subjects |
|---|