The bulk of the legislative activity has been focused on the budget and the marijuana bills. House Finance Subcommittees will be closing out their work and recommending budget action to the full committee next week.
The ballot propositions adopted by the voters last November become effective on February 24, next Tuesday. This includes the marijuana initiative and the minimum wage increase. Alaska’s minimum wage will increase to $8.75 per hour.
Gov. Bill Walker has replaced the Alaska Gasline Development Corporation Board members and indicated he wants a large pipeline project. The leadership of the Legislature has expressed reservations about the appointments and the change in focus. It has been interesting times here in the Capitol as the two branches of government appear to have significantly different thoughts on how the natural gas line can be built.
We have been working quietly and successfully on issues of importance to NFIB/Alaska members.
Business Income Restitution
Senate Bill 5 adding business income back into the consideration for restitution passed the Senate Labor & Commerce Committee and is on its way to the Senate Judiciary Committee.
Leadership Council Member Chris Nettels did a great job testifying for NFIB. Sen. Gary Stevens read parts of the NFIB support letter to the committee, remarking that this bill corrects a really bad situation caused by a court decision.
New Benefit Corporation
House Bill 49 passed the House Labor & Commerce Committee and is now in the House Finance Committee. This bill establishes a new type of corporation in Alaska called a benefit corporation. A benefit corporation is a for-profit corporation which incorporates public benefits and community improvement into its business practices, no matter the principal service or product provided.
Workers’ Compensation Death Benefit
House Bill 114 was introduced by Rep. Andy Josephson. This bill would increase the workers compensation death benefit from$177,000 to $255,854 and then require it be annually adjusted by inflation. It then extends the death benefit to persons five years beyond the time they were dependents and if there is no dependent to receive the death benefit, the payment would go to the estate of the worker.
This would cause a significant increase in premiums for reasons that have nothing to do with restoring the health of a worker or providing for the dependents of a worker killed on the job. Thus it creates a benefit in the workers’ compensation program that has nothing to do with workers compensation. NFIB will strongly oppose this legislation.
Next Week
- House Bill 32, dealing with use of controlled substances in the workers compensation program, will be heard in the House Labor & Commerce Committee. Here’s our letter of support. This bill intends to help focus attention to how controlled substances are prescribed, dispensed and used within the workers’ compensation program. Appropriate use can increase return to work and limit the ability to not use the drugs appropriately or as has happened in some cases, selling the drugs into illegal use rather than being used to help restore the health of the worker. The success of this bill should help keep premiums down.
- Senate Bill 6, exempting Alaska from Daylight Saving Time will be heard in the Senate Finance Committee, February 24. While the NFIB/Alaska State Member Ballot showed a 61 percent support, members in the Southeast have expressed significant concern that this change will significantly limit their tourism businesses from the reduced light in the evenings. Such issues as float-plane landings would be reduced by 20 percent and other activities would be limited as night will fall earlier during the height of the season.
Past Reports
