ALASKA STATE LEGISLATURE  SENATE LABOR AND COMMERCE STANDING COMMITTEE  May 12, 2025 1:37 p.m. MEMBERS PRESENT Senator Jesse Bjorkman, Chair Senator Kelly Merrick, Vice Chair Senator Elvi Gray-Jackson Senator Forrest Dunbar Senator Robert Yundt MEMBERS ABSENT  All members present COMMITTEE CALENDAR    CONFIRMATION HEARING(S): Alaska Labor Relations Agency Tyler Andrews - Anchorage Emily Hall - Anchorage Jennifer Yuhas - Fairbanks Alaska Workers' Compensation Board Bradley Austin - Auke Bay Mike Dennis - Wasilla Randy Beltz - Anchorage Sara Faulkner - Homer Sarah LeFebvre - North Pole Alcoholic Beverage Control Board Doug Moore - Talkeetna Jessica Pestrikoff - Anchorage Shannon Thompson - Anchorage Willie Canady - Anchorage Board of Certified Direct-Entry Midwives Darcy Lucey - Wasilla Holly Steiner - Palmer Lori Lindsay - Soldotna Staci Miller - Valdez Board of Chiropractic Examiners Timothy Kanady - Anchorage Board of Dental Examiners Christina Hansen - Fairbanks Kenley Michaud - Anchorage Traci Elison - Wrangell Board of Examiners in Optometry Ethan Arndt - Anchorage Sheryl Lentfer - Anchorage Charles Rudstrom - Soldotna Board of Marital and Family Therapy Shawnmarie Carpenter - Anchorage Chantel Cohen - Anchorage Board of Massage Therapists Michelle Steiner -Kodiak Board of Nursing Cheryl Payne - Wasilla Mariann Murray - Chugiak Board of Pharmacy Dylan Sanders - Anchorage Julie McDonald - Craig Board of Professional Counselors Mary Elkins - Anchorage Crystal Herring - Anchorage Ashley Martin - Anchorage Carrie-Elaine Border - Anchorage Board of Psychologists and Psychological Associate Examiners Lorin Bradbury - Bethel Board of Public Accountancy Donovan Neal - Juneau Rachel Hanks - Fairbanks James Doughty - Anchorage Marijuana Control Board Bruck Clift - Palmer Lacy Wilcox - Juneau Occupational Safety and Health Review Board Isaac Diboue - Anchorage Ryan Sharratt - Kodiak Zachery Schasteen - Dutch Harbor Real Estate Commission Elizabeth Schok - Fairbanks Jimi Cash - Fairbanks Susan Wilcox - Soldotna Traci Heaton - Juneau Yolanda Logan - Anchorage State Board of Registration for Architects, Engineers, and Land Surveyors Edward Leonetti - Anchorage State Physical Therapy and Occupational Therapy Board Victoria Daugherty - Douglas Jonathan Gates - Kenai Valeria Phelps - Anchorage Board of Veterinary Examiners Robert Gerlach - Chugiak Sarah Johnson - Chugiak Board of Certified Real Estate Appraisers William McKean - Palmer - CONFIRMATION ADVANCED   SENATE BILL NO. 172 "An Act relating to occupational therapist licensure; relating to occupational therapy assistant licensure; and relating to an occupational therapist licensure compact." - MOVED SB 172 OUT OF COMMITTEE SENATE BILL NO. 136 "An Act relating to the privacy of firearm transactions; relating to discrimination against firearm retailers by financial institutions and payment networks; relating to the disclosure of financial records by financial institutions and payment networks; and amending Rules 65 and 82, Alaska Rules of Civil Procedure." - MOVED SB 136 OUT OF COMMITTEE HOUSE BILL NO. 116 "An Act exempting from insurance regulation cooperative agreements entered into by two or more persons engaged in commercial fishing for the purpose of paying claims or losses." - MOVED HB 116 OUT OF COMMITTEE PREVIOUS COMMITTEE ACTION  BILL: SB 172 SHORT TITLE: OCCUPATIONAL THERAPY LICENSURE COMPACT SPONSOR(s): LABOR & COMMERCE 04/14/25 (S) READ THE FIRST TIME - REFERRALS 04/14/25 (S) L&C, FIN 05/09/25 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg) 05/09/25 (S) Heard & Held 05/09/25 (S) MINUTE(L&C) 05/12/25 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg) BILL: SB 136 SHORT TITLE: FIREARM FINANCIAL PRIVACY SPONSOR(s): CRONK 03/19/25 (S) READ THE FIRST TIME - REFERRALS 03/19/25 (S) L&C, JUD 04/14/25 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg) 04/14/25 (S) Heard & Held 04/14/25 (S) MINUTE(L&C) 05/02/25 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg) 05/02/25 (S) 05/12/25 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg) BILL: HB 116 SHORT TITLE: COMMERCIAL FISHING INSURANCE CO-OP SPONSOR(s): FISHERIES BY REQUEST OF TASK FORCE EVAL ALASKA SEAFOOD INDUSTRY 02/26/25 (H) READ THE FIRST TIME - REFERRALS 02/26/25 (H) FSH, L&C 03/01/25 (H) FSH AT 11:00 AM GRUENBERG 120 03/01/25 (H) -- MEETING CANCELED -- 03/04/25 (H) FSH AT 10:30 AM GRUENBERG 120 03/04/25 (H) Heard & Held 03/04/25 (H) MINUTE(FSH) 03/06/25 (H) FSH AT 10:00 AM GRUENBERG 120 03/06/25 (H) -- MEETING CANCELED -- 03/11/25 (H) FSH RPT 6DP 1NR 03/11/25 (H) DP: VANCE, KOPP, EDGMON, HIMSCHOOT, ELAM, STUTES 03/11/25 (H) NR: MCCABE 03/11/25 (H) FSH AT 10:00 AM GRUENBERG 120 03/11/25 (H) Moved HB 116 Out of Committee 03/11/25 (H) MINUTE(FSH) 03/13/25 (H) FSH AT 10:00 AM GRUENBERG 120 03/13/25 (H) 03/21/25 (H) L&C AT 3:15 PM BARNES 124 03/21/25 (H) -- MEETING CANCELED -- 03/24/25 (H) L&C AT 3:15 PM BARNES 124 03/24/25 (H) Moved HB 116 Out of Committee 03/24/25 (H) MINUTE(L&C) 03/26/25 (H) L&C RPT 5DP 1NR 03/26/25 (H) DP: CARRICK, COULOMBE, BURKE, FIELDS, HALL 03/26/25 (H) NR: NELSON 04/25/25 (H) TRANSMITTED TO (S) 04/25/25 (H) VERSION: HB 116 04/28/25 (S) READ THE FIRST TIME - REFERRALS 04/28/25 (S) L&C 05/09/25 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg) 05/09/25 (S) Heard & Held 05/09/25 (S) MINUTE(L&C) 05/12/25 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg) WITNESS REGISTER KONRAD JACKSON, Staff Senator Jesse Bjorkman Alaska State Legislature Juneau, Alaska POSITION STATEMENT: Reviewed the names of the governor appointees. MATT CHURCHILL, Staff Senator Jesse Bjorkman Alaska State Legislature Juneau, Alaska POSITION STATEMENT: Provided a brief summary and read the sectional analysis for SB 172. SYLVAN ROBB, Director Corporation, Business, and Professional Licensing (CBPL) Department of Commerce, Community and Economic Development (DCCED) Juneau, Alaska POSITION STATEMENT: Answered a question on SB 172. GLENN SAVIERS, Deputy Director Corporation, Business, and Professional Licensing (CBPL) Department of Commerce, Community and Economic Development (DCCED) Juneau, Alaska POSITION STATEMENT: Answered a question on SB 172. BRIANNE OSWALD, President Alaska Occupational Therapy Association Anchorage, Alaska POSITION STATEMENT: Testified in support of SB 172. KATIE JOHNSON, Vice President Alaska Occupational Therapy Association Ninilchik, Alaska POSITION STATEMENT: Testified in support of SB 172. SENATOR MIKE CRONK, District R Alaska State Legislature Juneau, Alaska POSITION STATEMENT: Sponsor of SB 136. PAUL MENKE, Staff Senator Mike Cronk Alaska State Legislature Juneau, Alaska POSITION STATEMENT: Answered a question on SB 136. MATT GRUENING, Staff Representative Louise Stutes Alaska State Legislature Juneau, Alaska POSITION STATEMENT: Provided a brief summary of HB 116. LORI WING-HEIER, Director Division of Insurance Department of Commerce, Community and Economic Development (DCCED) Juneau, Alaska POSITION STATEMENT: Answered a question on HB 116. ACTION NARRATIVE 1:37:03 PM CHAIR BJORKMAN called the Senate Labor and Commerce Standing Committee meeting to order at 1:37 p.m. Present at the call to order were Senators Gray-Jackson, Dunbar, Yundt and Chair Bjorkman. Senator Merrick arrived thereafter. ^CONFIRMATION HEARING(S) CONFIRMATION HEARING(S)  Alaska Labor Relations Agency  Alaska Workers' Compensation Board  Alcoholic Beverage Control Board  Board of Certified Direct-Entry Midwives  Board of Chiropractic Examiners  Board of Dental Examiners  Board of Examiners in Optometry  Board of Marital and Family Therapy  Board of Massage Therapists  Board of Massage Therapists  Board of Nursing  Board of Pharmacy  Board of Pharmacy  Board of Professional Counselors  Board of Psychologists and Psychological Associate Examiners  Board of Public Accountancy  Marijuana Control Board  Occupational Safety and Health Review Board  Real Estate Commission  State Board of Registration for Architects, Engineers, and Land  Surveyors  State Physical Therapy and Occupational Therapy Board  Board of Veterinary Examiners  Board of Certified Real Estate Appraisers  1:38:02 PM CHAIR BJORKMAN announced the consideration of the Governor's appointees to boards and commissions that were referred to the Labor and Commerce Committee. 1:39:21 PM At ease. 1:39:51 PM CHAIR BJORKMAN reconvened the meeting. 1:39:54 PM CHAIR BJORKMAN solicited a motion. 1:39:55 PM SENATOR GRAY-JACKSON moved that the appointees named to the boards and commissions below be advanced to a joint session of the legislature for consideration. 1:40:11 PM CHAIR BJORKMAN objected for purposes of discussion. 1:40:23 PM KONRAD JACKSON, Staff, Senator Jesse Bjorkman, Alaska State Legislature, Juneau, Alaska, reviewed the names of the governor appointees. 1:45:19 PM SENATOR MERRICK joined the meeting. 1:45:26 PM At ease. 1:46:47 PM CHAIR BJORKMAN reconvened the meeting. 1:47:03 PM CHAIR BJORKMAN removed his objection. 1:47:09 PM CHAIR BJORKMAN opened public testimony on confirmations; finding none, he closed public testimony. 1:47:50 PM CHAIR BJORKMAN stated that in accordance with AS 39.05.080, the Senate Labor and Commerce Standing Committee reviewed the following and recommends the appointments be advanced to a joint session for consideration: Alaska Labor Relations Agency Tyler Andrews - Anchorage Emily Hall - Anchorage Jennifer Yuhas - Fairbanks Alaska Workers' Compensation Board Bradley Austin - Auke Bay Mike Dennis - Wasilla Randy Beltz - Anchorage Sara Faulkner - Homer Sarah LeFebvre - North Pole Alcoholic Beverage Control Board Doug Moore - Talkeetna Jessica Pestrikoff - Anchorage Shannon Thompson - Anchorage Willie Canady - Anchorage Board of Certified Direct-Entry Midwives Darcy Lucey - Wasilla Holly Steiner - Palmer Lori Lindsay - Soldotna Staci Miller - Valdez Board of Chiropractic Examiners Timothy Kanady - Anchorage Board of Dental Examiners Christina Hansen - Fairbanks Kenley Michaud - Anchorage Traci Elison - Wrangell Board of Examiners in Optometry Ethan Arndt - Anchorage Sheryl Lentfer - Anchorage Charles Rudstrom - Soldotna Board of Marital and Family Therapy Shawnmarie Carpenter - Anchorage Chantel Cohen - Anchorage Board of Massage Therapists Michelle Steiner -Kodiak Board of Nursing Cheryl Payne - Wasilla Mariann Murray - Chugiak Board of Pharmacy Dylan Sanders - Anchorage Julie McDonald - Craig Board of Professional Counselors Mary Elkins - Anchorage Crystal Herring - Anchorage Ashley Martin - Anchorage Carrie-Elaine Border - Anchorage Board of Psychologists and Psychological Associate Examiners Lorin Bradbury - Bethel Board of Public Accountancy Donovan Neal - Juneau Rachel Hanks - Fairbanks James Doughty - Anchorage Marijuana Control Board Bruck Clift - Palmer Lacy Wilcox - Juneau Occupational Safety and Health Review Board Isaac Diboue - Anchorage Ryan Sharratt - Kodiak Zachery Schasteen - Dutch Harbor Real Estate Commission Elizabeth Schok - Fairbanks Jimi Cash - Fairbanks Susan Wilcox - Soldotna Traci Heaton - Juneau Yolanda Logan - Anchorage State Board of Registration for Architects, Engineers, and Land Surveyors Edward Leonetti - Anchorage State Physical Therapy and Occupational Therapy Board Victoria Daugherty - Douglas Jonathan Gates - Kenai Valeria Phelps - Anchorage Board of Veterinary Examiners Robert Gerlach - Chugiak Sarah Johnson - Chugiak Board of Certified Real Estate Appraisers William McKean - Palmer CHAIR BJORKMAN reminded members that signing the report(s) regarding appointments to boards and commissions in no way reflects individual members' approval or disapproval of the appointees; the nominations are merely advanced to the full legislature for confirmation or rejection. SB 172-OCCUPATIONAL THERAPY LICENSURE COMPACT  1:48:09 PM CHAIR BJORKMAN announced the consideration of SENATE BILL NO. 172 "An Act relating to occupational therapist licensure; relating to occupational therapy assistant licensure; and relating to an occupational therapist licensure compact." 1:48:26 PM MATT CHURCHILL, Staff, Senator Jesse Bjorkman, Alaska State Legislature, Juneau, Alaska, provided a brief summary and read the sectional analysis for SB 172: [Original punctuation provided.] Senate Bill 172 enacts the interstate Occupational Therapy Licensure Compact. Enactment of the compact will alleviate the shortage of occupational therapists in Alaska and enhance the state's ability to protect the public's health and safety. Enactment of the Compact will draw more occupational therapists to live and work in our state and thus improve access to physical therapy for thousands of Alaskans. 1:49:18 PM MR. CHURCHILL read the sectional analysis for SB 172: [Original punctuation provided.] This is a summary only. Note that this summary should not be considered an authoritative interpretation of the bill and the bill itself is the best statement of its contents. Section 1: Amends AS 08.84.010(b) by adding implementation of the Occupational Therapy Licensure Compact to the duties of the State Physical Therapy and State Occupational Therapy Board. Section 2: Amends AS 08.84.150(b) by adding compact privilege as a possible prerequisite for providing occupational therapy. Section 3: Amends AS 08.84 by adding a new article: Article 3A. Occupational Therapy Licensure Compact. Section 1: "Purpose" Outlines purposes of Compact. Section 2: "Definitions" Defines terms referenced throughout the Compact and limits the scope of the definitions to the Compact. Examples of defined terms include "Active Duty Military," "Compact Privilege," "Member State," and "Occupational Therapy." Section 3: "State Participation in the Compact" Establishes requirements for States participating in the Compact. Section 4: "Compact Privilege" Establishes requirements for Licensees using compact privileges. Section 5: "Obtaining a New Home State License by Virtue of Compact Privilege" Outlines procedure for obtaining a new home state license if an Occupational Therapists' primary state of residence changes. Section 6: "Active Duty Military Personnel or Their Spouses" Provides flexibility for Active Duty Military personnel or their spouses to designate a home state and retain that state license for the duration of active duty. 1:51:01 PM MR. CHURCHILL continued with the sectional analysis: Section 7: "Adverse Actions" Protects the unique right of a licensee's home state to take adverse action against a home state license. Protects the right of remote states to take adverse action against a licensee's compact privilege. Establishes a mechanism for joint investigations and subpoenas between member states and requires disclosure of adverse actions to the shared data system. Section 8: "Establishment of the Occupational Therapy Compact Commission" Establishes the Occupational Therapy Compact Commission. Outlines commission membership, for establishment, executive committee, financing, and requirement for public meetings. Section 9: "Data System" Describes Member State obligations for participation in the shared data system. Section 10: "Rulemaking" Sets terms for rulemaking; rules established by the Commission carry the force of law in member states. Section 11: "Oversight, Dispute Resolution, and Enforcement" Establishes process for ensuring Member State compliance with the Compact. Section 12: "Date of Implementation of the Interstate Commission for Occupational Therapy Practice and Associated Rules, Withdrawal, and Amendment" Describes effective date of Compact, sets terms for joining, withdrawing from, and amending the Compact. Section 13: "Construction and Severability" Declares that the Compact shall be liberally construed to effectuate its purposes, and notes that the Compact's provisions are severable. Section 14: "Binding Effect of Compact and Other Laws" The Compact is binding upon member states and supersedes conflict with member state laws to the extent of the conflict. 1:53:10 PM SENATOR MERRICK asked how SB 172 is different from the physical therapist and occupational therapist compact that passed last year. 1:53:27 PM SYLVAN ROBB, Director, Corporation, Business, and Professional Licensing (CBPL), Department of Commerce, Community and Economic Development (DCCED), Juneau, Alaska, answered a question on SB 172. She stated that the compacts are structurally similar, with the practice privilege allowing professionals to work in another state. The main difference is that SB 172 requires OTs to complete fingerprinting requirements before they are given the compact privilege of working in another state. 1:54:55 PM GLENN SAVIERS, Deputy Director, Corporation, Business, and Professional Licensing (CBPL), Department of Commerce, Community and Economic Development (DCCED), Juneau, Alaska, answered a question on SB 172. She stated that the main change between SB 172 and the bill passed last year is that applicants who did not complete a background check when initially licensed in their home state are no longer grandfathered in. She explained that these applicants must now obtain a background check before receiving a compact privilege in another state. 1:55:25 PM CHAIR BJORKMAN opened public testimony on SB 172. 1:55:44 PM BRIANNE OSWALD, President, Alaska Occupational Therapy Association, Anchorage, Alaska, testified in support of SB 172. She said the Alaska Occupational Therapy Association represents over 170 occupational therapists and assistants working in hospitals, schools, and community clinics. SB 172 will reduce licensing bureaucracy and improve access to care for Alaskans. 1:56:25 PM KATIE JOHNSON, Vice President, Alaska Occupational Therapy Association, Ninilchik, Alaska, testified in support of SB 172. She stated her belief that the bill could reduce barriers to providing occupational therapy services. She said in rural areas patients wait over a year for occupational therapy services. 1:57:03 PM CHAIR BJORKMAN closed public testimony on SB 172. 1:57:16 PM CHAIR BJORKMAN solicited the will of the committee. 1:57:18 PM SENATOR MERRICK moved to report SB 172, work order 34-LS0772\N, from committee with individual recommendations and attached fiscal note(s). 1:57:33 PM CHAIR BJORKMAN found no objection and SB 172 was reported from the Senate Labor and Commerce Standing Committee. 1:57:46 PM At ease. SB 136-FIREARM FINANCIAL PRIVACY  2:00:09 PM CHAIR BJORKMAN reconvened the meeting and announced the consideration of SENATE BILL NO. 136 "An Act relating to the privacy of firearm transactions; relating to discrimination against firearm retailers by financial institutions and payment networks; relating to the disclosure of financial records by financial institutions and payment networks; and amending Rules 65 and 82, Alaska Rules of Civil Procedure." 2:00:31 PM SENATOR MIKE CRONK, District R, Alaska State Legislature, Juneau, Alaska, as the sponsor of SB 136 he said the bill addresses firearm transaction privacy, prohibits financial institutions and payment networks from discriminating against firearm retailers, regulates financial record disclosures, and amends Rules 65 and 82 of the Alaska Rules of Civil Procedure. 2:01:20 PM SENATOR GRAY-JACKSON referred to page 4, line 15, "...a person may not knowingly keep or cause to be kept a list, record, or registry of privately owned firearms or owners of privately owned firearms." She asked whether SB 136 could prevent individuals from storing firearms for legitimate reasons. 2:01:50 PM PAUL MENKE, Staff, Senator Mike Cronk, Alaska State Legislature, Juneau, Alaska, answered a question on SB 136. He referenced line 14-15, " ...otherwise required by law..." and line 17-19, "This subsection does not apply to an owner of a privately owned firearm who keeps or causes to be kept a list, record, or registry of the owner's own firearms." SB 136 wouldn't prevent someone from transferring a firearm to a licensed dealer or police department. Federal law requires dealers to record all firearms they receive, including those stored temporarily. For example, the University of Alaska allows firearm storage at its police department, with owners signing the required paperwork. However, additional bill language could clarify this point if needed. 2:03:46 PM CHAIR BJORKMAN opened public testimony on SB 136; finding none, he closed public testimony. 2:04:08 PM CHAIR BJORKMAN solicited the will of the committee. 2:04:11 PM SENATOR MERRICK moved to report SB 136, work order 34-LS0715\A, from committee with individual recommendations and attached fiscal note(s). 2:04:26 PM CHAIR BJORKMAN found no objection and SB 136 was reported from the Senate Labor and Commerce Standing Committee. 2:04:37 PM At ease. HB 116-COMMERCIAL FISHING INSURANCE CO-OP  2:06:35 PM CHAIR BJORKMAN reconvened the meeting and announced the consideration of HOUSE BILL NO. 116 "An Act exempting from insurance regulation cooperative agreements entered into by two or more persons engaged in commercial fishing for the purpose of paying claims or losses." 2:07:04 PM MATT GRUENING, Staff, Representative Louise Stutes, Alaska State Legislature, Juneau, Alaska, provided a brief summary of HB 116. He stated that, following recommendations from the Joint Legislative Task Force on Alaska's seafood industry, HB 116 would let commercial fishermen form cooperative insurance agreements for vessel liability or damage without regulation under AS 21. Currently, three similar pools operate through a Washington-based organization. Together the three insurance pools insure about 840 Alaska vessels. With rising premiums and limited coverage options, HB 116 aims to lower costs and improve insurance access for Alaska's aging fishing fleet at no cost to the state. 2:08:37 PM CHAIR BJORKMAN opened public testimony on HB 116; finding none, he closed public testimony. 2:08:58 PM SENATOR DUNBAR asked for an explanation of the practical differences for these cooperatives if HB 116 passes compared to the current system. 2:09:31 PM MR. GRUENING replied that these cooperatives would no longer be regulated under AS 21, meaning no minimum capital requirements, no coverage by the Alaska Guarantee Policy, and no departmental audits. The cooperatives would operate as self-governing, member-owned cooperatives. He said the main change is that HB 116 would allow Alaska based organizations to legally form their own insurance pools instead of relying on out-of-state ones. 2:11:30 PM SENATOR DUNBAR asked if HB 116 legitimizes existing practices or is expected to create new insurance pools and are there any potential negative effects from the division giving up regulatory authority in this area. 2:11:55 PM LORI WING-HEIER, Director, Division of Insurance, Department of Commerce, Community and Economic Development (DCCED), Juneau, Alaska, answered a question on HB 116. She answered that the governing board is expected to self-regulate, following the successful model of the Prince William Sound purse seiners. Each cooperative should determine its coverage limits and rates to remain solvent. Most vessels aren't covered by Alaska's Guarantee Association since they're insured through London. She said complaints would likely be handled internally by the cooperative's executive director and board, with the expectation of similar success to the Seattle-area pools. 2:13:15 PM CHAIR BJORKMAN solicited the will of the committee. 2:13:17 PM SENATOR MERRICK moved to report HB 116, work order 34-LS0616\I, from committee with individual recommendations and attached fiscal note(s). 2:13:33 PM CHAIR BJORKMAN found no objection and HB 116 was reported from the Senate Labor and Commerce Standing Committee. 2:14:11 PM There being no further business to come before the committee, Chair Bjorkman adjourned the Senate Labor and Commerce Standing Committee meeting at 2:14 p.m.