Sponsor Statement for HB 161

Deregulation of garbage utilities

March 3, 1997

HB 161 deletes the authority of the ALASKA PUBLIC UTILITIES COMMISSION to regulate the furnishing of collection and disposal service of garbage.

Alaska appears to be one of the few states that has this type of utility regulated on a partial state wide basis, some cities currently set their own rates i.e., Haines. Perhaps garbage rates should be under local control if they are to be monopolies at all. Competition is healthy, and should be encouraged whenever possible.

I have been, as a State Representative, involved in two attempts at regulation of garbage monopolies by the APUC, wherein the APUC were/are unable to deal with garbage utilities in a timely manner due to problems such as APUC personnel or commissioner turnover, federal mandates related to telecommunications issues, and other excuses. Perhaps the APUC simply does not have the time, interest, or money to properly regulate this class of utility.

I offer House Bill 161 as a point of beginning, an opportunity to encourage open discussion on this issue, to hopefully provide solutions to resolve what appears to be an ongoing concern. The question is: should the State or any other governmental agency regulate the furnishing of collection and disposal service of garbage?

There will be a House Labor and Commerce Committee meeting Friday March 7th. at 3:15. P.M.

Please call me 3743 or Walt Wilcox 6819 if you have any questions on HB 161.