Legislature(2017 - 2018)BELTZ 105 (TSBldg)
03/21/2017 09:30 AM Senate LABOR & COMMERCE
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| Confirmation Hearings | |
| SB71 | |
| Confirmation Hearing | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | SB 79 | TELECONFERENCED | |
| += | SB 71 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
ALASKA STATE LEGISLATURE
SENATE LABOR AND COMMERCE STANDING COMMITTEE
March 21, 2017
9:33 a.m.
MEMBERS PRESENT
Senator Mia Costello, Chair
Senator Shelley Hughes, Vice Chair
Senator Kevin Meyer
Senator Berta Gardner
MEMBERS ABSENT
Senator Gary Stevens
COMMITTEE CALENDAR
CONFIRMATION HEARINGS
Board of Dental Examiners
Dr. Michael P. Moriarty - Seward
Gail Walden - Wasilla
CONFIRMATIONS HEARD AND HELD
Board of Barbers & Hairdressers
Terriann Shell - Big Lake
CONFIRMATION HEARD AND HELD
State Physical & Occupational Therapy Board
Jennifer Carlton - Fairbanks
CONFIRMATION HEARD AND HELD
Board of Professional Counselors
HAROLD HENDERSON - HEARD AND Wasilla
CONFIRMATION HEARD AND HELD
Board of Certified Real Estate Appraisers
Renee Piszczek - Fairbanks
CONFIRMATION HEARD AND HELD
State Board of Registration for Architects Engineers & Land
Surveyors
SCHEDULED BUT NOT HEARD AND HELD
SENATE BILL NO. 71
"An Act relating to limitations on certain commercial fishing
loans made by the Department of Commerce, Community, and
Economic Development."
- HEARD & HELD
SENATE BILL NO. 79
"An Act relating to the prescription of opioids; establishing
the Voluntary Nonopioid Directive Act; relating to the
controlled substance prescription database; relating to the
practice of dentistry; relating to the practice of medicine;
relating to the practice of podiatry; relating to the practice
of osteopathy; relating to the practice of nursing; relating to
the practice of optometry; relating to the practice of
veterinary medicine; related to the duties of the Board of
Pharmacy; and providing for an effective date."
- BILL HEARING POSTPONED TO 1:30 PM 3/21/17 MEETING
PREVIOUS COMMITTEE ACTION
BILL: SB 71
SHORT TITLE: COMMERCIAL FISHING LOANS
SPONSOR(s): SENATOR(s) STEVENS
02/27/17 (S) READ THE FIRST TIME - REFERRALS
02/27/17 (S) L&C, FIN
03/16/17 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg)
03/16/17 (S) Heard & Held
03/16/17 (S) MINUTE(L&C)
03/21/17 (S) L&C AT 9:30 AM BELTZ 105 (TSBldg)
WITNESS REGISTER
DR. MICHAEL P. MORIARTY, Appointee
Board of Dental Examiners
Seward, Alaska
POSITION STATEMENT: Testified as appointee to the Board of
Dental Examiners.
TERRIANN SHELL, Appointee
Board of Barbers and Hairdressers
Big Lake, Alaska
POSITION STATEMENT: Testified as appointee to the Board of
Barbers and Hairdressers.
JENNIFER CARLTON, Appointee
State Physical Therapy and Occupational Therapy Board
Fairbanks, Alaska
POSITION STATEMENT: Testified as appointee to the State
Physical Therapy and Occupational Therapy Board.
HAROLD HENDERSON, Appointee
Board of Professional Counselors
Wasilla, Alaska,
POSITION STATEMENT: Testified as appointee to the Board of
Professional Counselors.
RENEE PISZCZEK, Appointee
Board of Real Estate Appraisers
Fairbanks, Alaska
POSITION STATEMENT: Testified as appointee to the Board of Real
Estate Appraisers.
TIM LAMKIN, Staff
Senator Gary Stevens
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Provided information related to SB 71.
BRITTENY CIONI-HAYWOOD, Director
Division of Economic Development
Department of Commerce, Community and Economic Development
Juneau, Alaska
POSITION STATEMENT: Provided supporting testimony related to SB
71.
JERRY MCCUNE, President
United Fishermen of Alaska
Juneau, Alaska
POSITION STATEMENT: Testified in support of SB 71.
GAIL WALDEN, Appointee
Board of Dental Examiners
Wasilla, Alaska
POSITION STATEMENT: Testified as appointee to the Board of
Dental Examiners.
ACTION NARRATIVE
9:33:16 AM
CHAIR MIA COSTELLO called the Senate Labor and Commerce Standing
Committee meeting to order at 9:33 a.m. Present at the call to
order were Senators Gardner, Meyer, Hughes, and Chair Costello.
^Confirmation Hearings
CONFIRMATION HEARINGS
Board of Dental Examiners
Board of Barbers & Hairdressers
State Physical & Occupational Therapy Board
Board of Professional Counselors
Board of Certified Real Estate Appraisers
9:34:20 AM
CHAIR COSTELLO announced the first order of business would be
confirmation hearings of governor appointees for boards and
commissions.
She asked Dr. Michael P. Moriarty of Seward to share his
interest in serving on the Board of Dental Examiners in a
dentist seat.
9:35:14 AM
DR. MICHAEL P. MORIARTY, Appointee, Board of Dental Examiners,
Seward, Alaska, said he has been a dentist in Seward since 1991
and has served on a number of professional boards both statewide
and nationally. Challenges the board faces going forward include
the regulations on sedation, the opioid epidemic, and care for
the underserved in the state.
9:37:04 AM
SENATOR GARDNER highlighted the numerous awards and honors Dr.
Moriarty has received.
CHAIR COSTELLO found no questions or public testimony and
thanked Dr. Moriarty for being willing to serve.
CHAIR COSTELLO asked Terriann Shell of Big Lake to share her
interest in serving on the Board of Barbers & Hairdressers in
the public seat.
9:38:35 AM
TERRIANN SHELL, Appointee, Board of Barbers and Hairdressers
Appointee, Big Lake, Alaska, said she is a 20-year resident of
Alaska. She received her cosmetology license while in high
school and used it to work her way through college. She has
degrees in chemistry, nursing, and health education, all of
which fit with this board. She recently completed an internship
that included inspection of some tattoo shops and has served on
a regulatory board for certification. These experiences are
similar to what she would do on this board.
CHAIR COSTELLO noted that she applied to serve on several other
boards as well.
SENATOR GARDNER asked if she is familiar with the bill that
addresses the hours of training required to do hair braiding.
MS. SHELL said she is somewhat familiar with that bill and the
one that increases the number of hours of training for nail
technicians.
SENATOR GARDNER asked what she thinks about the hour
requirement.
MS. SHELL said she didn't have a feel for that, but more hours
of training is always preferable.
9:41:27 AM
CHAIR COSTELLO found no further questions or public testimony
and thanked Ms. Shell for being willing to serve.
CHAIR COSTELLO asked Jennifer Carlton of Fairbanks to share her
interest in serving on the State Physical Therapy and
Occupational Therapy Board in the physical therapist seat.
9:42:15 AM
JENNIFER CARLTON, Appointee, State Physical Therapy and
Occupational Therapy Board, Fairbanks, Alaska, said she is a
lifelong Alaskan who has been a physical therapist for about 20
years. She is interested in serving on the board because she
knows there is a need for it. One of the most challenging
aspects of physical therapy in Alaska is the licensing process.
She wants to do what she can to streamline the process.
SENATOR HUGHES asked how long the licensing process takes.
MS. CARLTON replied it takes from six to eight weeks if the
application is filled out correctly the first time.
SENATOR HUGHES asked if all the licenses expire at the same
time.
MS. CARLTON clarified that the renewal process is not a problem.
The problem relates to the fact that there is a shortage of PTs
in the state. She said she has been trying to hire two fulltime
PTs for close to three years and has to rely on contract labor
in the meantime. Those therapists can only work in Alaska if
they are licensed and that usually takes six to eight weeks.
9:45:32 AM
CHAIR COSTELLO found no questions or public testimony and
thanked Ms. Carlton for being willing to serve.
CHAIR COSTELLO asked Harold Henderson of Wasilla to share his
interest in serving on the Board of Professional Counselors in a
licensed professional counselor seat.
HAROLD HENDERSON, Appointee, Board of Professional Counselors,
Wasilla, Alaska, said he has been a licensed professional
counselor in private practice for about 15 years and a school
counselor for 24 years. He is eager to be a part of the
licensure board because it gets him in touch with the people who
are applying and to learn about the different backgrounds and
training of the people entering the field. He has attended one
meeting so far and feels fortunate to be on the board.
SENATOR HUGHES asked if school counselors and LPCs are two
different career tracks and require different licenses.
MR. HENDERSON explained that they are significantly different;
school counselors typically hold type C certificate, whereas the
LPC holds a clinical license.
SENATOR HUGHES expressed appreciation that he is continuing to
use both certifications.
9:49:10 AM
SENATOR GARDNER asked if he sees a shortage of licensed
professional counselors in Alaska and if it is widespread or in
certain specialized areas of practice.
MR. HENDERSON confirmed there is a shortage. He related an
anecdote and said, "I'm finding a significant shortage in people
willing to work with kids¼13 and under." He expressed optimism
that new applicants for licenses will help lessen the shortfall.
SENATOR GARDNER asked if he has suggestions for what the
legislature can do to help solve the problem.
MR. HENDERSON opined that students need to know what they want
and have the ability to plan ahead. For example, a student who
is on the track to become a school counselor could also qualify
to sit for the LPC exam if he/she is aware of and completes the
LPC core classes in addition to those for the type C
certificate.
9:52:00 AM
CHAIR COSTELLO found no further questions or public testimony
and thanked Mr. Henderson for being willing to serve.
CHAIR COSTELLO asked Renee Piszczek of Fairbanks to share her
interest in serving on the Board of Certified Real Estate
Appraisers in the mortgage banking executive seat. She also
asked if she sees any challenges that the board faces moving
forward.
9:53:08 AM
RENEE PISZCZEK, Appointee, Board of Real Estate Appraisers,
Fairbanks, Alaska, said she has lived in Fairbanks since 1985
and has worked as a community banker most of that time. She
explained that she has been on this board for several years and
has been surprised at her personal growth serving in this
position. She expressed appreciation for the support and
training she has gotten from the state and the others sitting on
the board. She described the service as a way to give back to
the state. Some of the challenges the board has been addressing
include setting up an appraisal management company (AMC) and
changing the regulations to recognize that a degree is now
required to become an appraiser.
SENATOR GARDNER asked what an appraisal management company is.
MS. PISZCZEK explained that it is an independent entity through
which mortgage lenders order a residential real estate valuation
when they are considering extending a loan to a homebuyer. It's
a way of approving the appraisal.
CHAIR COSTELLO noted that Ms. Piszczek also serves on a housing
board in Fairbanks and helps with training for first-time
homeowners for the Alaska Housing Finance Corporation.
SENATOR HUGHES asked if the board deals with appraisers in local
municipalities.
MS. PISZCZEK answered no, just private appraisers.
9:58:15 AM
CHAIR COSTELLO thanked Ms. Piszczek for being willing to serve.
CHAIR COSTELLO stated that public testimony would remain open on
all nominees for boards and commissions and the names would be
forwarded in a single batch at a later date.
9:58:37 AM
At ease
SB 71-COMMERCIAL FISHING LOANS
9:59:57 AM
CHAIR COSTELLO reconvened the meeting and announced the second
hearing for SB 71. She asked Mr. Lamkin to provide an
explanation of the handout he had distributed to committee
members.
10:00:16 AM
TIM LAMKIN, Staff, Senator Gary Stevens, Alaska State
Legislature, said the handout is a visual that helps explain how
SB 71 will encourage Alaskans to enter the fishing industry.
Loans [from the Commercial Fishing Revolving Loan Fund] are
still capped at $400,000 but it adjusts the amounts for certain
expenditures in four different categories. Responding to a
question, he confirmed that the numbers to the left of the arrow
represent current category limits and the ones to the right
represent limits the bill proposes.
CHAIR COSTELLO stated that the visual would be posted to BASIS
as soon as possible.
10:02:26 AM
SENATOR GARDNER commented that the visual is helpful but Mr.
Lamkin provided a good explanation when he introduced the bill.
CHAIR COSTELLO noted that Britteny Cioni-Haywood was available
to answer questions.
SENATOR MEYER asked what the interest rate is for these loans.
MR. LAMKIN replied the rate is set in regulation. He deferred
further explanation to Ms. Cioni-Haywood.
10:03:25 AM
BRITTENY CIONI-HAYWOOD, Director, Division of Economic
Development, Department of Commerce, Community and Economic
Development (DCCED), explained that the interest rate currently
is 5.5 percent. The rate is fixed to the prime rate plus 2
percent. There is a 10.5 percent cap and the floor is no lower
than cost of funds, which tends to be between 3 percent and 4
percent.
SENATOR MEYER asked if that is less than a bank loan.
MS. HAYWOOD replied the structures are different. The CFRLF has
a set interest rate, whereas banks often base the interest rate
on risk. The riskier the loan the higher the rate.
SENATOR MEYER commented on risk and asked if the state is making
money on these loans.
MS. CIONI-HAYWOOD said the program is very successful. It has
been in existence since 1972 and the portfolio is very balanced
in terms of risk. The delinquency rate is low, which also speaks
to the success of the program.
SENATOR MEYER commented on the fund balance and again asked if
the state is making money on the loans.
MS. CIONI-HAYWOOD clarified that about $90 million has been
loaned and the cash balance is about $20 million. The program is
self-sustaining and has not taken any general fund support since
1985. The fund has paid for the cost of operations and has
returned more to the general fund than the initial
capitalization.
SENATOR MEYER asked if this program gives a dividend back to the
state like AIDEA.
MS. CIONI-HAYWOOD said no; the money that comes back and isn't
used remains in the fund and is available to grow economic
development through additional loans.
10:06:46 AM
CHAIR COSTELLO asked how this loan program differs from the
Alaska Commercial Fishing and Agriculture Bank (CFAB).
MS. CIONI-HAYWOOD described them as "two sides of the same
coin." Both programs were established at about the same time and
were for the purpose of financing limited entry permits. CFRLF
tends to do smaller loans to less affluent borrowers.
CHAIR COSTELLO asked if this program competes with CFAB.
MS. CIONI-HAYWOOD replied there is probably a little competition
because both entities lien on limited entry permits, but the
clientele is different. Borrowers tend to work themselves out of
this program and into CFAB or private lending as they become
more affluent.
SENATOR GARDNER summarized that CFAB borrowers tend to qualify
conventionally, whereas the people who receive a CFRLF loan
might not qualify for a conventional loan and tend to have fewer
assets.
MS. CIONI-HAYWOOD agreed with the summary and added that the
average age of borrowers for the CFRLF loans is younger than the
average age of permit holders. "We do see this as a program that
helps combat, to a certain extent, the graying of the fleet."
10:09:15 AM
CHAIR COSTELLO opened public testimony on SB 71.
10:09:45 AM
JERRY MCCUNE, President, United Fishermen of Alaska, Juneau,
Alaska, stated that this program, which was created to help
residents, has put a lot of young people in the fishery. It is
particularly helpful for someone who is buying a vessel. The
bill proposes to raise the limit that can be loaned on the
purchase or construction of a vessel from $100,000 to $200,000.
A new gillnetter costs up to $400,000 so that modest raise would
certainly help get some safe boats into the fleet. He
highlighted that the loan gives preference to residents; it
helps people out in the four categories described in the
handout. [Mr. Lamkin described the categories during the
introduction on 3/16/17.]
SENATOR GARDNER asked if these loans are available to non-
residents.
MR. MCCUNE said no, the program was created for residents.
SENATOR MEYER asked what happens when a resident gets a loan and
then moves to Seattle.
MR. MCCUNE replied the person would still have the loan, but the
state would not be as accommodating if the person had a bad
season [and had difficulty meeting their loan obligation.]
SENATOR MEYER expressed frustration that the same thing happens
on the North Slope. Companies hire locally and then the
employees move out of state and continue to work here.
10:13:27 AM
MS. CIONI-HAYWOOD stated that a very small percentage of CFRLF
loans are held by people who have moved out of state. There is a
residency requirement to qualify for a loan initially, but there
isn't much that can be done if the person subsequently leaves
Alaska. That person would not qualify for another loan or a loan
modification. "We're much more cooperative with our resident
fleet."
10:14:25 AM
CHAIR COSTELLO closed public testimony on SB 71 and held the
bill in committee for further review.
10:14:35 AM
At ease
^Confirmation Hearing
CONFIRMATION HEARING
Board of Dental Examiners
10:14:55 AM
CHAIR COSTELLO reconvened the meeting and returned to
consideration of governor appointees to boards and commissions.
She asked Gail Walden of Wasilla to share her interest in
serving on the Board of Dental Examiners in the hygienist seat.
10:15:22 AM
GAIL WALDEN, Appointee, Board of Dental Examiners* Wasilla,
Alaska, said this will be her second term should she be
confirmed. She stated that she is a clinical hygienist who has
been working in the field since 2003 and has worked in the same
practice in Wasilla since 2005. She is active in the state
hygiene association and is a clinical grading examiner for
licensees. She said she is an active participant on the board
and most recently has been working on regulations.
CHAIR COSTELLO asked what regulations the board is working on.
MS. WALDEN explained that the board has spent the last 3-4 years
working on regulations governing sedation and general
anesthesia.
10:17:34 AM
CHAIR COSTELLO found no questions or public testimony and
thanked Ms. Walden for being willing to serve.
She stated that she would forward the names of all nominees to
boards and commissions in one batch at a later date. Public
testimony would stay open throughout the process.
10:18:08 AM
There being no further business to come before the committee,
Chair Costello adjourned the Senate Labor and Commerce Standing
Committee meeting at 10:18 a.m.
| Document Name | Date/Time | Subjects |
|---|