Alaska House Committee Advances Five Bills in Single Session

The Alaska House Labor and Commerce Committee considered five bills during a single meeting on May 1, as the legislative session nears adjournment.

The committee advanced Senate Bill 164, which eliminates several tax filing discounts and credits. Senator Kelly Merrick said the measure could raise nearly $500,000 annually for the general fund by removing the motor fuel tax timely filing credit, tobacco products tax timely filing deduction, cigarette stamp tax discount, and tire fee timely filing discount. The bill moved out of committee without amendments after Co-Chair Zack Fields withdrew a proposed change. The committee reported the bill out with individual recommendations and accompanying fiscal notes.

House Bill 325, sponsored by Representative Kevin McCabe and addressing industrial hemp regulation, passed with two amendments from Representative Ashley Carrick. The first amendment clarifies that industrial hemp remains exempt from marijuana excise taxes. The second holds existing hemp producers harmless from actions taken by the Department of Natural Resources between 2024 and 2025 that made some hemp operations technically illegal. Carrick said the amendments were intended to protect existing hemp producers and clarify tax treatment while modernizing the state's regulatory framework. The committee reported the bill out as amended with individual recommendations and accompanying fiscal notes.

The committee set an amendment deadline of May 6 at 5 p.m. for Senate Joint Resolution 28, which supports J-1, H-1B, and H-2B visa programs. The resolution responds to a federal requirement that employers pay $100,000 per H-1B petition, up from $5,000 previously. Jennifer Schmitz, director of the Alaska Educator Retention and Recruitment Center, said 183 H-1B teachers currently work in Alaska schools, filling positions that would otherwise remain vacant. She said 573 total international educators work in Alaska with active visas, including 232 on J-1 visas.

Co-Chair Fields questioned whether the resolution should focus specifically on teachers rather than all foreign worker programs. He cited reporting on J-1 visa abuses in other industries. Mike Mason, staff to Senator Loki Tobin, said Alaska's seasonal unemployment swing of 43,900 jobs between lowest and highest employment months creates unique workforce needs. He said visitor-related industries employed 68,300 workers in 2024.

Victoria Francis of the American Immigration Council said Alaska welcomed nearly 23,000 J-1 participants between 2015 and 2025, averaging 3,900 per year. She said fewer than 90 companies nationwide have paid the new $100,000 H-1B fee since it was announced.

The committee also heard Senate Bill 35, which addresses insurance requirements for transportation and delivery network companies. Senator Jesse Bjorkman said the bill requires delivery network companies to provide insurance coverage to couriers while providing delivery services, closing a gap in current law.