Legislature(2003 - 2004)

2003-08-20 House Journal

Full Journal pdf

2003-08-20                     House Journal                      Page 2249
HB 9                                                                                              
The following letter dated July 9, 2003, was received:                                              
 "Dear Speaker Kott:                                                                                
Under the authority of art. II, sec. 17, of the Alaska Constitution, I                              
have let the following bill become law without signature:                                           
      SENATE CS FOR CS FOR HOUSE BILL NO. 9(FIN)                                                    
      "An Act relating to the registration of individuals who perform                               
      home inspections; relating to regulation of contractors; relating to                          
      registration fees for specialty contractors, home inspectors, and                             
      associate home inspectors; relating to home inspection                                        
      requirements for residential loans purchased or approved by the                               
      Alaska Housing Finance Corporation; relating to civil actions by                              
      and against home inspectors and to civil actions arising from                                 
      residential unit inspections; repealing a law that limits liability for                       
      damages based on a duty to inspect a residential unit to damages                              
      caused by gross negligence or intentional misconduct; and                                     
      providing for an effective date."                                                             
      Chapter No. 134, SLA 2003                                                                     
 [Effective Date:  See Chapter]                                                                     
I believe this bill could impose additional costs and burdens on the                                
tightly regulated industry of real estate transactions.  Under the bill, a                          
person would not be able to perform a home inspection within the state                              
unless that person meets the new requirements and becomes certified                                 
as a registered home inspector by the State of Alaska.                                              
As admitted in public testimony, nearly all parts of real estate                                    
transactions are currently regulated in Alaska.  This is evidenced by                               
the number of pages and complexity of paperwork involved in such                                    
transactions.  Banks and other lenders currently require various reports                            
for which buyers and sellers pay fees during home sales.  Adding                                    
home inspectors to the list of state regulated industries may create an                             
unnecessary level of intrusion in the sale of homes.  It could likely                               

2003-08-20                     House Journal                      Page 2250
result in higher inspection fees and higher overall costs for both buyers                           
and sellers of residential properties.                                                              
It was stated in the legislative record that the intent of the bill is to                           
provide needed protection to consumers who are considering                                          
purchasing a new home.  It is my hope the intended result will be                                   
achieved.  However, I believe in the minds of many Alaskans the                                     
added cost to the consumers and the state, and additional government                                
intrusion into this area, may not rise to the level of a compelling public                          
need.  For these reasons, I have not signed SCS CSHB 9(FIN) and                                     
have allowed it to become law without my signature.                                                 
                 Frank H. Murkowski