HOUSE BILL NO. 315 "An Act relating to the unauthorized use of or unauthorized interference with transmission and delivery of subscription cable services; and amending the definition of the offense of theft of services and the penalties for its violation." REPRESENTATIVE BRIAN PORTER asserted that CSHB 315 (JUD) "fills a hole in existing criminal statute within the State of Alaska." He explained that CSHB 315 (JUD) will allow the illegal interception and use of cable transmissions to be controlled. He asserted that current law does not deal appropriately with the theft of cable transmissions. Two levels of sanctions are created by CSHB 315 (JUD). Those that intentionally use the services of illegal apparatus to capture an unauthorized transmission could be found guilty of a Class A misdemeanor. Individuals who manufacture, sell or distribute illegal devices would be charged with a class 2 C felony. He stressed that the legislation is especially important in Alaska due to the small population base. In response to a question by Co-Chair MacLean, Representative Porter clarified that a misdemeanor offense carries less than a year penalty. MARGOT KNUTH, CRIMINAL DIVISION, DEPARTMENT OF LAW stressed that CSHB 315 (JUD) gives a value to the theft of cable services. Theft in the third degree is applicable if the value of the property taken is between $50 and $500 dollars. She observed that the legislation would place the value of the theft of subscription cable serves at between $50 and $500 dollars, making it a third degree theft. She suggested that it would be likely that the theft of cable services will have occurred over several months. However, it would be difficult to prove that the duration of the theft was more than a month. A month of cable subscription would be less than $50. Ms. Knuth explained that the class C felony offense or second degree theft offense would apply to those who knowingly distribute equipment which allows the theft to occur. She noted that other class C felonies include the theft of a firearm, taking property from the person of another and taking property from a vessel or aircraft. In response to a question by Representative Parnell, Ms. Knuth clarified that it must be demonstrated that the device is possessed "for the purpose of intercepting, receiving, or using a program or other service carried by the subscription cable system". Representative Hoffman asked if those acquiring cable services illegally were required to pay for the service if reduced rates to subscribers would result. Representative Porter stressed that cable companies must maximize subscriptions in order to offer services in rural Alaska. GARY HYNES, PRIME CABLE, ANCHORAGE emphasized that capital is needed to expand services into rural areas. In response to a question by Representative Navarre, Representative Porter explained that satellite dishes would not be covered by the legislation. Co-Chair MacLean MOVED to report CSHB 315 (JUD) out of Committee with individual recommendations and with the accompanying fiscal notes. There being NO OBJECTION, it was so ordered. CSHB 315 (JUD) was reported out of Committee with a "do 3 pass" recommendation and with three zero fiscal notes, two by the Department of Administration, published 2/2/94 and one by the Department of Law.