HOUSE BILL NO. 81 "An Act relating to the transfer of a title on the death of the owner; and providing for an effective date." 3:21:10 PM RYAN MCKEE, STAFF, REPRESENTATIVE GEORGE RAUSCHER, read the sponsor statement: The process of probate in the state of Alaska can take anywhere from six months to several years, and can cost family members and beneficiaries thousands, potentially tens of thousands of dollars in legal and filing fees. While the State Legislature has already taken great strides to reduce the costs of probate, there is still much room for improvement. House Bill 81 continues in spirit with the Uniform Real Property Transfer on Death Act (URPTDA), which unanimously passed both the House and Senate in 2014. URPTDA created the Transfer on Death (TOD) deed, which allows for non-probate transfers of real property. TOD deeds allow Alaskans to select a beneficiary who will receive the property at their passing and removes that property from the process of probate. In 2016, legislation similar to HB 81 was introduced but the legislation failed to pass that session. HB81 is nearly identical, although it expands the concept to apply both to vehicles and boats that are issued titles through the state. HB81 continues the ongoing effort to reduce the costs of probate for Alaskans and creates a streamlined service through the DMV through which they can designate beneficiaries for both cars and boats through a simple form. The TOD titles will be available for all boats and vehicles for which the DMV provides titles, which also includes some mobile manufactured homes under AS 45.29.102(66). The program will be self-sustaining through fees. At no cost to the state, HB 81 will allow countless Alaskans to pass down boats, vehicles, and some manufactured homes to beneficiaries with more ease, and will help simplify and streamline the potentially complicated, costly, and painful process of probate following the death of a loved one. 3:24:11 PM Representative Josephson thought that a surviving spouse was defined as a husband and a wife. He asked if the language was amended to be consistent with current law and whether the change would be objectionable to the sponsor. Mr. McKee offered to respond after he spoke with the sponsor. 3:24:56 PM Representative Galvin determined that the state already had the provisions for real estate, but it was not in statute for vehicles and boats. She asked whether she was correct. Mr. McKee replied in the affirmative. 3:25:26 PM Representative Josephson deduced that in relation to real estate the law referred to tenancy in common, but if the title was just in the name of one spouse or another, he wondered whether the transfer process would proceed quickly. 3:26:16 PM LINDA HULBERT, SELF, FAIRBANKS (via teleconference), shared that she was not an attorney, but was employed by New York Life for 33 years and worked with people in the estate and probate process. She was deeply involved in supporting the legislation but stressed that she was not an attorney. Representative Josephson repeated his question. He explained that when a home was owned jointly by a married couple it was called tenancy in common. However, in instances where only one spouse held the title and the marriage ended, the titled spouse was not considered the sole owner of the property. He was curious about the ease of which a house was transferred to the other spouse upon the death of one spouse. 3:28:21 PM HB 81 was HEARD and HELD in committee for further consideration. Co-Chair Foster reviewed the agenda for the morning portion of the meeting. He noted that the committee would be recessed until the following morning.