Number 396 CHAIR TOOHEY brought CSSB 70 to the table. SB 70 - ASSISTIVE TECHNOLOGY LOAN GUARANTEES CHAIR TOOHEY asked Roxanne Stewart to testify. Number 400 ROXANNE STEWART, Legislative Aide to Sen. Jim Duncan, testified in support of CSSB 70. She stated that the legislation is similar to HB 139, but indicated that further clarifications had been made in the Senate bill based on a report that was received in January from the Division of Vocational Rehabilitation (DVR). She indicated that Rep. Kott had a copy of the report that could be passed around. She explained that the clarifications that occurred from the results of the report pertain to the respective responsibilities of the banking institutions "versus what happens in the Division of Voc. Rehab." She said the issue was somewhat unclear in the previous legislation. She referred to page 2, line 6, and indicated that the language "lays out the way the loans would be handled." Page 2, line 21, would establish an assistive technology loan committee within the DVR. She further explained that unlike the House version, CSSB 70 would prohibit the spending of any state money on the program. She said if federal funds are no longer available, the program would no longer be available. Number 479 REP. KOTT reminded the committee that when HB 139 was heard, Rep. Vezey had some concerns, but indicated that CSSB 70 addressed those issues as the state would not assume any financial liability. CHAIR TOOHEY clarified and said that the loan committee is not the banking committee. MS. STEWART said the committee is within the Division of Vocational Rehabilitation. CHAIR TOOHEY asked who the loan committee is comprised of. Number 485 MS. STEWART stated that the loan committee would consist of the director or the director's designee, a representative of a financial institution that has experience with consumer loans, and at least one but not more than three persons with disabilities. Number 520 CHAIR TOOHEY indicated that the bill would be capitalized with a minimum of $250,000 instead of the $100,000 that was specified in HB 139. She asked Ms. Stewart if the issue has been addressed. MS. STEWART said, "I think that it has not been explicitly addressed. I think that at this point, the assistive technology loan committee, they're not a loan committee, their actual name evades me at this point. But, Stan Ridgeway could address that, has indicated that they can afford to put up $100,000 a year for this program. Any more than that I think may be difficult. And, Stan Ridgeway from Voc. Rehab. would probably be a better person to address that in particular." REP. KOTT commented that DVR probably has a better gauge of determining the amount they can put forth than the legislature does, or whoever is suggesting the $250,000 amount. CHAIR TOOHEY asked for Stan Ridgeway to testify. Number 573 STAN RIDGEWAY, Deputy Director, Division of Vocational Rehabilitation, Department of Education, testified in support of CSSB 70. He stated that he was available for any questions. Although, he did offer that during the time that the two bills had been introduced, DVR has had a group of consumers working in Anchorage with the banking industry. During that time the Community Reinvestment Act regulations have continually changed. He stated that in order for banks to receive credit for community reinvestment through the loan program, they must "put up some money." He indicated that Northrim Bank and Key Bank are willing to deposit money into the fund if the legislation passes. Number 608 CHAIR TOOHEY related to Mr. Ridgeway that several visitors from several groups that "have used or are associated with the Department of Vocational Rehabilitation, and the main consensus or feeling down there is that they're, and I'm sure that you have known this, there are groups out there that feel they're not being represented. And, I think that was the reason for increasing the number of people on this committee. I don't know very much about you're department, but I need to learn more, because there's definite concern out there of people that feel they're not being equally treated. And, I don't know if this, raising this more than three persons will help or not. I just don't know." Number 636 MR. RIDGEWAY explained that the division has four programs, Vocational and Rehabilitation, Assistive Technology, Social Security Claims, and the "ADA (Americans with Disabilities Act) for the state government." He stated that two of the programs require that the division have consumer controlled boards to act as advisory boards that work with Vocational and Rehabilitation and Assistive Technology. The Vocational and Rehabilitation Advisory Board, which is made up of 15 members, are all either persons with disabilities or business representatives that meet four times each year to advise the division on policy. He asserted that not everyone that is disabled can be on the board and indicated that it costs approximately $70,000 to convene the board. He said the money comes "out of the pot" to serve people with disabilities. He explained that the advisory board for Assistive Technology consists of nine members and convenes four times yearly to provide input. They also have provided funds for assistive technology loans. He further explained that the loan committee is a small committee that determines how much money can be loaned and how much money can be set aside to buy down interest on loans. He asserted that the division is trying to operate the loan program so that most of the funds can be used to leverage loans. He maintained that the five person committee consisting of one representative from the Department of Education, one from the banking industry, and three people with disabilities should be ample representation. Number 691 CHAIR TOOHEY asked Earl Clark to testify. Number 692 EARL CLARK, Independent Living Specialist, Southeast Alaska Independent Living Center, testified in support of CSSB 70. He stated that he personally has used the services of DVR as they facilitated him with a computer. He said the conversion from a typewriter to computer allowed him to continue his professional work as he was having much difficulty with a typewriter. He said DVR taught him how to use the computer effectively and not only helped him along in his career, but also perhaps saved him from unnecessary psychological difficulties. He maintained that he is only one example "of the type of good that this particular bill will do for a number of people in this state who can use and will use assisted devices to help them in employment." He strongly urged the committee's support of CSSB 70. Number 756 CHAIR TOOHEY closed public testimony and asked the pleasure of the committee. REP. B. DAVIS made a motion to pass CSSB 70 out of committee with individual recommendations and attached fiscal note. CHAIR TOOHEY, hearing no objections, stated that CSCSSB 70 was so moved. Number 768 Seeing no further business before the committee, CHAIR TOOHEY adjourned the meeting at 4:50 p.m.