Legislature(1995 - 1996)
02/02/1995 03:37 PM Senate STA
| Audio | Topic |
|---|
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
SENATE STATE AFFAIRS COMMITTEE
February 2, 1995
3:37 p.m.
MEMBERS PRESENT
Senator Bert Sharp, Chairman
Senator Randy Phillips, Vice-Chairman
Senator Loren Leman
Senator Dave Donley
MEMBERS ABSENT
Senator Jim Duncan
COMMITTEE CALENDAR
SENATE BILL NO. 6
"An Act relating to registration of a motor vehicle and suspension
of a driver's license for failure to appear in court or failure to
pay a fine."
SENATE CONCURRENT RESOLUTION NO. 4
Naming the Poet Laureate of Alaska.
SENATE JOINT RESOLUTION 11
Proposing amendments to the Constitution of the State of Alaska
relating to terms of legislators.
SENATE BILL 37
"An Act relating to treatment of permanent fund dividends for
purposes of determining eligibility for certain benefits; and
providing for an effective date."
SSTA - 2/2/95
SB 40 (APPROP: AHFC TO GENERAL FUND) was scheduled but not taken
up at this date.
SSTA - 2/2/95
SCR 3 (LONG RANGE FINANCIAL PLANNING COMMISSION) was scheduled but
not taken up at this date.
PREVIOUS SENATE COMMITTEE ACTION
SB 6 - No previous senate committee action.
SCR 4 - No previous senate committee action.
SJR 11 - No previous senate committee action.
SB 37 - No previous senate committee action.
SB 40 - No previous senate committee action.
SCR 3 - See State Affairs committee minutes for 1/26/95.
WITNESS REGISTER
Senator Robin Taylor
State Capitol, Juneau, Alaska, 99801-1182¶465-3873
POSITION STATEMENT: prime sponsor of SB 6
First Sergeant Joe D'Amico
Alaska State Troopers, Department of Public Safety
Anchorage, AK ¶269-5412
POSITION STATEMENT: was available to answer
questions regarding SB 6
Juanita Hensley, Chief, Driver Services
Div. of Motor Vehicles, Dept of Public Safety
P.O. Box 20020, Juneau, AK 99811-0020¶463-5860
POSITION STATEMENT: testified on SB 6
Josh Fink, Aide to Senator Kelly
State Capitol, Juneau, Alaska, 99801-1182¶465-3822
POSITION STATEMENT: prime sponsor of SJR 11
Elmer Lindstrom, Special Assistant to the Commissioner
Department of Health & Social Services
P.O. Box 110601, Juneau, AK 99811-0601¶465-3030
POSITION STATEMENT: opposed to SB 37
Rupe Andrews
American Association of Retired Persons
9750 Third Ave. NW, Seattle, WA 98125¶789-7422
POSITION STATEMENT: opposed to SB 37
Sherrie Markin Goll, Alaska Women's Lobby, Kidpac
P.O. Box 22156, Juneau, AK 99802¶463-6744
POSITION STATEMENT: opposed to SB 37
ACTION NARRATIVE
TAPE 95-2, SIDE A
ssta - 2/2/95
SB 6 LICENSING/REGISTRATION SUSPENSION/DENIAL
Number 001
CHAIRMAN SHARP calls the Senate State Affairs Committee to order at
3:36 p.m. and brings up SB 6 as the first order of business. The
chairman calls the first witness.
Number 022
SENATOR TAYLOR, prime sponsor of SB 6, relays information contained
in his sponsor statement. Senator Taylor thinks SB 6 will increase
revenue to the state because it is an impetus for people to pay
outstanding fines.
CHAIRMAN SHARP notes that Juanita Hensley and Joe D'Amico, both
from the Department of Public Safety, are available to answer
questions.
Number 083
SENATOR DONLEY asks if the administration has a position on SB 6.
Number 088
JUANITA HENSLEY, Chief, Driver Services, Div. of Motor Vehicles,
Dept. of Public Safety (DPS), says she is present to testify on the
technical affect SB 6 would have on DPS and how SB 6 would be
administered. She guesses that the administration would be neutral
on this legislation at this time.
CHAIRMAN SHARP asks Ms. Hensley if it would be "do-able" to pick
these fines off the computer at the time of re-registration.
Number 105
MS. HENSLEY replies SB 6 would allow the court system to suspend a
person's driver's license for failure to appear in court to pay a
moving violation. Also, for those communities that have parking
offenses, an electronic update of the vehicle record could be
placed by the municipality on the offender's motor vehicle file.
Before DPS would register a vehicle, DPS would require the
registrant to show proof of having paid their parking and traffic
fines. This bill does allow, and would require, a reinstatement
fee upon reissuance of driver's licenses. So that would be a
revenue generator for the state.
Number 123
SENATOR RANDY PHILLIPS makes a motion to discharge SB 6 from the
Senate State Affairs Committee with individual recommendations.
CHAIRMAN SHARP, hearing no objection, orders SB 6 released from
committee with individual recommendations.
SSTA - 2/2/95
SCR 4 POET LAUREATE OF ALASKA
Number 135
SENATOR SHARP brings up SCR 4 as the next order of business before
the Senate State Affairs Committee and calls the first witness.
Number 139
SENATOR LEMAN, prime sponsor of SCR 4, relays information contained
in his sponsor statement.
Number 159
SENATOR DONLEY asks Senator Leman if the legislature must confirm
a poet laureate every two years.
SENATOR LEMAN replies that is his understanding. Senator Leman
does not know if the term could be renewed.
SENATOR DONLEY guesses that, since the poet laureate is approved by
a resolution of the legislature, the term would only be good for
the term of the legislature.
Number 180
SENATOR DONLEY makes a motion to discharge SCR 4 from the Senate
State Affairs Committee with individual recommendations.
CHAIRMAN SHARP, hearing no objection, orders SCR 4 released from
committee with individual recommendations.
SSTA - 2/2/95
SJR 11 LIMITING TERMS OF LEGISLATORS
Number 184
SENATOR SHARP brings up SJR 11 as the next order of business before
the Senate State Affairs Committee and calls the first witness.
Number 190
JOSH FINK, Aide to Senator Kelly, the prime sponsor of SJR 11,
reads the sponsor statement on SJR 11.
Number 246
SENATOR LEMAN notes that under SJR 11, persons could serve four
full two-year terms as a Representative, and then serve two full
four-year terms in the Senate, before being required to retire. So
it would not limit a person to serving eight years in the
legislature, but 16 years in the legislature. Senator Leman
supports SJR 11, it is an improvement over present circumstances.
He also thinks the "out" time should be four years, and not two
years.
CHAIRMAN SHARP adds that term limits tend to be implemented by
voters at the ballot box.
Number 291
SENATOR DONLEY thinks SJR 11 is a reasonable proposal. However, he
is concerned that the legislature look at what affect SJR 11 may
have on the balance and separation of powers between the executive,
judicial, and legislative branches of government in Alaska.
Senator Donley feels uncomfortable supporting term limits while not
exploring other aspects of the constitution he thinks need
amending.
SENATOR LEMAN makes a motion to discharge SJR 11 from the Senate
State Affairs Committee with individual recommendations.
Number 315
SENATOR DONLEY asks the chairman if he would be willing to have a
committee meeting so other elements in the state constitution which
he feels should be revised can be discussed. He is interested in
looking at the areas of: how the legislature can call a special
session; providing for legislative confirmation of members to
boards of public corporations; and considering making the attorney
general an elected office. The public wants better government, not
just term limits, and Senator Donley thinks the areas he previously
mentioned would help. He also thinks there should be an option for
key positions in the legislature, such as the Speaker of the House,
the President of the Senate, and perhaps the Finance Committee
chairpersons, to be full-time, year-round positions. It would be
good if the legislature could have at least a couple full-time
persons to represent it, in order to counter full-time personnel in
the executive branch. Senator Donley supports SJR 11, but feels
uncomfortable passing term limits without amending some of the
other items in the state constitution that he feels need changes.
CHAIRMAN SHARP likes Senator Donley's comments and thinks the
committee should plan a worksession for the issues raised. The
chairman would like to see some legislative oversight for public
corporations.
Number 363
SENATOR LEMAN thinks the legislature could have a shorter session
length too, and he would like to add that subject to any discussion
on possible amendments to the state constitution.
Number 372
CHAIRMAN SHARP, hearing no further discussion or objection, orders
SJR 11 released from committee with individual recommendations.
SSTA - 2/2/95
SB 37 END PERMANENT FUND DIVIDEND HOLD HARMLESS
Number 375
SENATOR SHARP brings up SB 37 as the next order of business before
the Senate State Affairs Committee and calls the first witness.
Number 380
SENATOR RANDY PHILLIPS, prime sponsor of SB 37, says the bill would
eliminate what he sees as a tax on permanent fund dividends: the
hold-harmless provision for people receiving public assistance.
The hold-harmless provision amounted to a reduction of $41.45 to
each permanent fund dividend last year. Senator Phillips relays
information contained in his sponsor statement.
Number 402
ELMER LINDSTROM, Special Assistant to Commissioner Perdue,
Department of Health & Social Services (DHSS), states the
department is opposed to SB 37. Previous administrations have
considered elimination of the hold-harmless provision and have
concluded that elimination is neither desirable nor cost-effective.
Mr. Lindstrom states elimination of the provision would lead to
additional administrative costs. Mr. Lindstrom reads a prepared
statement. DHSS submitted six fiscal notes with analysis and a
synopsis of a study showing spending patterns of dividends by
persons receiving public assistance to the committee. Mr.
Lindstrom adds that the premise of the hold-harmless program is
that all Alaskans are entitled to share equally in the permanent
fund dividend program.
Number 455
SENATOR LEMAN does not agree with Mr. Lindstrom's assertion that
eliminating the hold-harmless provision would have the practical
effect of denying persons on public assistance a permanent fund
dividend. By eliminating the provision, Senator Leman thinks the
drain on the federal and state treasuries caused by welfare
benefits will be reduced. Senator Leman wants to know if DHSS has
talked to line staff in the Division of Public Assistance about who
is going on public assistance, and why they are coming to Alaska.
Senator Leman says Alaska's public assistance programs are a magnet
for people from other states, and that people he has talked to from
the line staff think the hold harmless provision is part of what is
attracting people from other states. Senator Leman wants to know
how DHSS came to it's position statement, when line staff in the
Division of Public Assistance are making an assertion different
from Mr. Lindstrom's.
Number 490
SENATOR RANDY PHILLIPS adds he has heard comments similar to those
Senator Leman has heard from line staff.
Number 495
MR. LINDSTROM says SB 37 deals specifically with the permanent fund
dividend's hold-harmless provision. There has been much discussion
lately relating to the much broader question of welfare reform. If
we could all wipe the slate clean, and there were no public
assistance programs, and we were going to start from the beginning
to develop a program to meet the needs of the needy people of this
state and this country, the program certainly would not look at all
like the programs in existence today. But the programs that are in
place today are the programs DHSS must administer. DHSS
recognizes, as does everyone, that there are problems that need to
be fixed. However, the programs serve a valuable purpose: that of
providing basic sustenance for many poor people. It works very
well for the majority of people on the programs. The majority of
DHSS's AFDC (Aid to Families with Dependent Children) caseload
turns over every two years. So there are problems with a
percentage of the population, and that needs to be looked at. SB
37, when translated to terms of a rateable reduction in benefits,
would approach an 8% reduction in benefits to persons on public
assistance.
Number 526
CHAIRMAN SHARP asks Mr. Lindstrom if the figures on the fiscal
notes represent the federal share of benefits lost, or the federal
and state shares.
MR. LINDSTROM replies that the hold-harmless provision applies to
the state and federal shares of benefits.
Number 540
RUPE ANDREWS, American Association of Retired Persons (AARP),
states the AARP is strongly opposed to SB 37. About 40,000
Alaskans receive AFDC, so children would be affected substantially
by this legislation. AARP also fails to see any benefit to the
state by eliminating the hold-harmless, as it will cause an
increase to the general fund budget of about 1.5 million dollars.
In regards to Senator Phillips concern that the cost of continuing
the hold-harmless provision will increase in years to come, the
AARP asks that the legislature consider the option of perhaps
capping the amount taken to fund the provision at, say, $40. The
AARP is not aware of a great number of Alaskans being concerned
with the reduction of their permanent fund dividends to fund the
hold-harmless provision. Mr. Andrews recalls that when the hold-
harmless provision was initiated, Alaskans felt proud to be able to
help other Alaskans.
Number 558
SENATOR RANDY PHILLIPS says a lot of his constituents object to the
hold-harmless provision. They consider it a tax on their permanent
fund dividends.
Number 565
SENATOR LEMAN asks Mr. Andrews if he thinks forced compassion feels
better than voluntary compassion.
MR. ANDREWS responds that voluntary compassion feels better, but as
he understands it, the hold-harmless provision was enacted by the
legislature, through representative government elected by the
people. Since then, the AARP has not heard that much objection to
the provision. Apparently Senator Leman and Senator Phillips are
hearing objection in their districts now. Mr. Andrews says the
AARP would rather see a cap on the amount taken for hold harmless,
rather than eliminate it altogether.
Number 584
SENATOR RANDY PHILLIPS states he has opposed the hold-harmless
provision, permanent fund dividends, and voted against everything
from the beginning.
SIDE B
Number 590
SHERRIE MARKIN GOLL, Alaska Women's Lobby, KIDPAC, states the
groups she represents oppose SB 37. From her point of view, the
permanent fund dividends are not earned income, and are not
something that any one person, rich or poor, has earned or deserves
more than another person. The hold-harmless provision is not a
tax, recipients who complain about the provision are still
benefitting by $950 that they would not have had before. When a
person of moderate or high-income receives a dividend, it is simply
discretionary income. When a poor person receives a permanent fund
dividend, it is spent on necessities, and it is spent in Alaska.
Ms. Goll thinks SB 37 would favor persons of moderate and high-
income who do not need the additional money. Ms. Goll suggests
looking at capping the amount of permanent fund dividends to save
money, instead of continuing to provide free money to people who
have no needs while taking money away from the state's poorest
citizens.
Number 554
SENATOR LEMAN states his objective is to make sure that those in
need are properly taken care of. He thinks the current public
assistance programs are inefficient. He wants recipients of
assistance to become self-sufficient. Senator Leman states SB 37
will not take away a person's right to receive a permanent fund
dividend.
Number 532
MS. GOLL doesn't think SB 37 will lead to self-sufficiency for
public assistance recipients. It will lead to people getting of
assistance, and then reapplying as soon as they are eligible again.
It will not lead to self-sufficiency.
Number 512
MR. LINDSTROM suggests, as a technical point, that the effective
date of SB 37 be changed. The current effective date of January 1,
1996, will fall right in the middle of the period of time in which
the hold-harmless provision is in effect, causing perhaps half of
the public assistance recipients to be held-harmless, while the
other half are not. DHSS prefers either an effective date prior to
October 1, 1995, or prior to October 1, 1996.
SENATOR RANDY PHILLIPS notes that the committee substitute for SB
37 has an effective date of July 1, 1995.
CHAIRMAN SHARP notes the existence of a committee substitute.
Number 496
SENATOR RANDY PHILLIPS moves the adoption of CSSB 37 (STA).
Number 494
CHAIRMAN SHARP, hearing no objection, states CSSB 37(STA) has been
adopted in lieu of the original bill.
CHAIRMAN SHARP asks the pleasure of the committee.
Number 490
SENATOR RANDY PHILLIPS makes a motion to discharge SB 37 from the
Senate State Affairs Committee with individual recommendations.
Number 488
CHAIRMAN SHARP, hearing no objection, orders SB 37 released from
committee with individual recommendations.
Number 475
CHAIRMAN SHARP adjourns the Senate State Affairs Committee meeting
at 4:35 p.m.
| Document Name | Date/Time | Subjects |
|---|