CSSB 330(RES) - LOCATING UNDERGROUND FACILITIES CO-CHAIRMAN SCOTT OGAN announced the next order of business was CS for SB 330(RES), "An Act relating to locations of underground facilities and excavations in the area of underground facilities." CO-CHAIRMAN OGAN called on Robert Pearson, Intern for Senator Loren Leman, sponsor of the bill. Number 132 ROBERT PEARSON, Intern for Senator Loren Leman, Alaska State Legislature, read the following sponsor statement: "Senate Bill 330 was introduced at the request of the Alaska Telephone Association to provide an understanding of the standards and responsibilities for locating and excavating underground facilities throughout the state for utilities and contractors. "Senate Bill 330 amends AS 42.30 to set out responsibilities for excavators, construction project owners, and underground facility owners when a locate is requested. It provides for a penalty if an excavator intentionally damages a located underground facility. "Although the Alaska Public Utilities Commission has the authority to create locate standards, it has been a low-priority item due to the commission's workload. Currently, there are some national standards related to the issue of locating and uncovering underground utilities, but nothing as comprehensive as SB 330." Number 166 CO-CHAIRMAN OGAN asked Mr. Pearson why the legislature should pass a more comprehensive locate law and burden contractors with more regulations, laws, and higher liabilities. Number 172 MR. PEARSON replied he is not qualified to comment on some of those issues. But, at one time he used to dig holes in Nevada where there was a locate system easy to use and accidents didn't happen. A statewide system, in general, is a good idea. CO-CHAIRMAN OGAN announced that Representative Reggie Joule joined the meeting awhile back. Number 193 JAMES ROWE, Director, Alaska Telephone Association (ATA), testified in Juneau. Currently, Alaska does not have any state utility locate standards when business efficiency, uninterrupted service, and public safety would all benefit by it. In the later part of 1996, the Alaska Telephone Association started working on standards for the state. The association sent drafts to the National Utility Locating Contractors Association, Locate Call Center of Alaska, Municipal Light & Power (ML&P), Anchorage Area Utility Association, ENSTAR, Alaska Building Contractors, Associated General Contractors of Alaska, and Anchorage Home Builders Association for comments. The bill before the committee members is not a telephone bill. It is a fair bill in the best interest of the public for timely locates, knowing who is responsible for the locates, and knowing who is responsible for maintaining the locates. In addition, the issue of statewide difference has been addressed in working with Senator Leman. He appreciates Senator Leman and his work on the bill. It is a long way from ATA's original version. It benefits the industry - contractors and excavators alike. MR. ROWE further stated he sees a benefit to the small contractor because he would have to be addressed in as timely a manner as the largest contractor. In the remote areas, more time has been given to get out and do locates. A business man with a utility or private contractor could plan ahead with efficiency. More and more entities will be putting underground facilities out there so it is ever more important for standards. CO-CHAIRMAN OGAN stated for the record he used to locate telephone cables in Florida. He is aware of the damages it can cause. He asked Mr. Rowe what were the comments from the Anchorage Home Builders Association. MR. ROWE replied he doesn't remember. He explained, at one time, there were treble damages in the bill for intentional damage to underground facilities. CO-CHAIRMAN OGAN stated he is concerned being a small businessman and contractor himself about the burden of regulations. It is a discouragement. In fact, he got into politics because he was tired of all the government regulations and laws that detracted him from producing something. He is just looking out for the little contractor. A contractor is legally responsible if he damages a line - a good enough motivation to locate. The contractors that don't are probably not bonded anyway. In addition, his friends in rural Alaska aren't going to read the statute books before digging something. It works great for Anchorage and some of the other bigger cities and areas. MR. ROWE appreciated the comments made by Co-Chairman Ogan. He worked for an electric company for awhile and recalls it would have been nice for good locates. Number 341 REPRESENTATIVE REGGIE JOULE asked whether there are a lot of underground utility services. He is mostly familiar with the services that are above the ground. MR. ROWE replied there are getting to be more and more. He explained one of the greatest concerns came from Dillingham - Nushagak Power and Telephone. They have had some real problems identifying underground cables resulting in court proceedings. REPRESENTATIVE JOULE asked Mr. Rowe whether there has been input from rural utilities with regards to the issue, except for Nushagak. MR. ROWE explained the Alaska Telephone Association represents all of the local telephone companies in the state with the exception of Circle. GTE has also been very involved with this issue and it serves a number of rural areas throughout the state. In fact, the rural communities dominate the association. Number 384 REPRESENTATIVE BEVERLY MASEK stated it is a good bill. Damages are trying to be reduced underground as well as above the ground. Number 396 REPRESENTATIVE MASEK made a motion to adopt Amendment 1. It reads as follows: TO: CSSB 330(RES) Page 4, line 6: Delete "; liability" Page 4, lines 16 - 23: Delete all material. Reletter the following subsection accordingly. Page 4, line 31: Delete "civil actions" Insert "injunctive relief" Page 5, lines 8 - 14: Delete all material. Page 6, line 18: Delete all material. Renumber the following paragraphs accordingly. Number 397 REPRESENTATIVE BARNES objected for discussion about the amendment. UNIDENTIFIED SPEAKER stated deleting the word "liability" does not hold any detriment to the bill. CO-CHAIRMAN HUDSON explained it takes out the liability portion of the bill. REPRESENTATIVE NICHOLIA noted there still is a penalty section. Number 432 SENATOR LOREN LEMAN, Alaska State Legislature, explained there was at one time treble damages when an excavator intentionally damaged or knew of an underground facility and damaged it. The Senate Resources Committee expressed concern about the provision for the small excavators and it was taken out leaving just liability damages. It creates some problems because one is liable for his actions anyway. It is almost superfluous. He talked with the bill drafter, Terry Cramer, and asked her to remove his concerns from the bill. Therefore, the amendment removes the (indisc. ) parts and cleans up the bill. Number 455 REPRESENTATIVE BARNES withdrew her objection. There being no further objection, Amendment 1 was so adopted. Number 459 REPRESENTATIVE MASEK made a motion and asked unanimous consent to move CSSB 330(RES), as amended, out of the committee with individual recommendations and the attached zero fiscal note(s). There being no objection, HCS CSSB 330(RES) moved from the House Resources Standing Committee.