Insurance & Commerce- House

Waldridge into the table. You would just introduce yourself for the record and what bill you're presenting in and you can proceed thank you Mr chair Jeremy Wooldridge District one Senate bill three twenty. Thank you go ahead and proceed Sir thank you Mr chair committee Senate bill three twenty is a department bill got a unanimous support to pass the Senate thirty four to nothing to get the support of the governor basically what it does is it cleans up some language in Pruitt permits regulation in state online auctions and estate sales protect consumers updates the obsolete and outdated provisions of the auctioneer licensing act and this bill has no known opposition is actually supported by the auction industry. Thank you a representative. Any questions by the committee. Okay saying none. There's no one signed up there's anyone the audited likes to speak for or against this bill. I say no one would you like close your bill representative I'm close Mr chairman president a good vote they represent Wilders has closed what is represented Ferguson makes a motion do pass or any discussion on the motion saying none all in favor of the motion do pass say aye. Deposed NO graduation you've passed your bill thank you Mr thank you Committee thank you record a vote DO not to take them to the table. Introduce yourself and what bill you're going to run and you may proceed. Thank you Mr chair if it's not I don't have my. Help or come to the table also. We're gonna be present in Senate bills at one seventy eight I'm the invite state representative district eighty seven. In addition I'm Patti Gibson I'm a psychiatrist in Arkansas I am the president elect of the Arkansas psychiatric society and I have been working in Arkansas since two thousand nine doing integrated behavioral health at the VA and as well as in some a private systems. Thank you representative thank you sire and so Senate bill one seventy eight comes out of our mental behavioral health working group that we've had for the past year seems like longer Hanley so that a lot of work to do but we're excited that this right here was one of the pieces that came out to us Senator Hammer wrote this piece of legislation along with miss Patty and Blue Cross blue shield I think had a had a part in it also and this type of care the kind of like a wraparound care which we've all we know that when we wrap around care within ten to see savings in those types of services those collaborative type of services Arkansas Blue Cross blue shield has been participating in the behavioral health collaborative care model for the last twenty three months and they show savings and the ones that did this this type of care so and the it was brought to us that we needed to take out Medicaid because they weren't gonna be adding any funding to Medicaid so we took out Medicaid but if I can find my little note and. Medicaid can still apply for grants are they may they may be able to apply for grants and working in consultation with non governmental entities that are recognized to have expertise in psychiatric psychiatric collaborative care models and there are some grants out there so maybe Medicaid could could apply for some of those grants and they could still be able to do this also and with that I don't know if miss Patty would like to add something or just take questions. I think you have some handouts the primary there are multiple entities in the state that are already providing this type of care And the main reason to pass it is to cope require all insurers to pay for it Medicaid's meanings exempted at this point that at some point we would like for them to the purpose for this type of care is it increases access to mental health care by bringing a care manager and a psychiatrist to help the primary care providers pediatricians OBGYN in their clinic Are there any specific questions. Thank you for your testimony questions by the committee represent Ferguson you're recognized for a question thank you Mr chairman you said that Medicaid will not it's not a part of the bill what about Medicaid expansion Arkansas works that are done by qualified health plans will pay participate. Can I have Mister mark in the Thai sure. Mr why just today introduce yourself and you can ask questions. There shall mark what's already in services as I read the bill amendment language it does exempt out both traditional Medicaid as well as the passes in our home and just to be clear it's not that we oppose the concepts in the bill which will take these and make these part of our comprehensive review we're doing a Medicaid or the next six months and this week with a comprehensive plan for Medicaid that can incorporate this as well as other things as we as we reform the Medicaid program. Thank you. Flowers. Okay thank you any further questions by the committee. Okay thank you saying none those no one signed up to speak for against this bill but would anyone in the us like to speak for against this bill. Saying no one was involved hello I'm sorry let's divide to close for the bill I'm because from my bill not appreciate a good vote okay reserve fund as close for billions of flowers you're recognized motion to pass the motion. Motion to pass by resin flowers all in favor motion to pass say aye. A post and no. Because you pass to real thank you Mr chair thank you Committee thank you representative Eubanks. Thank you Mr chair I'd. With your permission like that Senator days time at the table observer said It should also introduce yourself for the record and have you guys want to proceed to go ahead thank you Mr chairman and committee at Tyler D. Senate district thirty five. Represent Jon Eubanks District forty six thank you for this opportunity Mister chair members we have an amendment that I believe needs to be handed out. Three ninety six. Amendment is just now being passed out but if you want to go ahead and talk about the amendment that be appropriate yes thank you Mr chair senator deeds met with the interested parties and so I'm going to let him go through the amendment and explain the pertinent details of that. If you represent you banks thank you Mr The amendments being passed up for you will go into the bill more specifics in a moment this is about the social media safety act and so with these amendments today reference are with working with different folks in the industry about some language clean up and so the first one to go through some of those hearings got a questions feel free to let me know first one strikes the word has a warm and the relevance of that is talking about if if individuals have already have an account we're not trying to do in each evening with current account holders Raleigh talking decline in St new account holders it does reference that later the bill but this is one section we we want to make sure that super clear so it strikes has second one is talking about the primary purpose of this again is is referencing what the primary use of primary purpose of a social media site is this would take away things like linkedin for example is a networking site you'll see another member there but again the primary purpose is social media interactions. Then forward there's a a clean up in language on on the water or there's also clean up on a section of exempting out cloud storage type companies because those are not the target of a social media sites as well as some academic settings and then moving forward you'll see attorney's fees As ordered by the court and some clarification line there and then finally on the effective date of a moving from August first to September first again tell line with some of the emergency clause timing and make sure all languages clean. Thank you for the explanation of the amendment what is the the will of the committee on the. And the. I make a motion sensor that adopt the amendment most adopt amendments during the discussion on the motion saying none all in favor the most to adopt the amendment say aye. Hippos NO. You represent your bill as amended. Thank you Mister chair I think once into the it's amended there isn't any known opposition to the bill so I. Well I tried anyway. I want to thank the opportunity to present this bill is that I'm sure you've heard from various individuals regarding this bill I know that there's been some opposition to it and uh Senator diss met with a lot of those parties to try to get as possible as possible the purpose of the bill is to try to protect our young people from influences that you know we read about in the paper and and here on the media we hear about cases of Boeing we hear about some of the Human trafficking aspects that can take place with regard to social media we know that there is some influences out there that are not good for our children were not banning this. From allowing young people to use the social media platforms we just want to have the involvement of a parent or guardian so that they are aware of the sites that they're on and the the site that they are account holders and so that they they can track at least what their children are being exposed to I think this is an important thing that we need to do I know some people think it is possibly government overreach I disagree I think it's it's making parents of where the influences that are out there and getting them involved in their children's lives I know that. Maybe some people believe that's not the. Well a government but with everything that we see this going on in today's life in this world in our society I think we need to try to do something to get parents involved in their children's lives to the point that they are lease over saying what kind of content that they're dealing in and participating in and with that I'm a let senator Davies who has done all the leg work on this bill explained the Bill. The representative Eubanks is it has been a joy to work on this because like like you stated one of the one of the things I love the most about going to serve with you on this General Assembly is is the ability to solve solutions and find solutions for for our constituents and my constituents have of consular reached out parents about the issues that we're seeing this is this is for C. N. as as the internet expands as devices and technology grows we have internet on your on your wrist your cell phone your tablet all at at all around you are kids are being bombarded with new and growing technology and and I constantly see and hear from parents talk about the erosion of our culture and I believe it's happening online and so we this is an opportunity for us to listen to the parents and to the community and say that we can we can help find solutions that that's what Senate bill three ninety six does the when you start looking at some of the statistics we see a third of all sexual crimes initiate online are stemming back and tied to social media interaction one third of all sexual initiated crimes which kids are spent an hour or more a day online I'm impressed greens and they were just a year ago it's to work constantly seen an increase happening there so this is this is an opportunity to have reasonable age verification for parents are involved to just know what their kids are doing another statistic and said that eighty two percent of of kids said they would change their online activity and behavior if they knew their parents knew what they're doing online it's all we're trying to do is is is make sure that that is involved where parent has a conversation with their youth to make sure that they're prepared if we had an ER doctor talk about the mind to not be informed for young people and when you when you put them in environments where they're being cyber bullied being exposed to predators and groomers online it we're having date damaging ramification so that's what we're asking for is a reasonable age verification I can tell you that as a. Site is a culture we adopt this logic when it comes to tobacco and alcohol we say that if you want to go buy cigarettes you have a reasonable age verification process you show your ID if you were to buy alcohol you have in a reasonable age verification process so it's not government overreach in this sense and especially the kids are at stake I believe it we have this logic but for some reason when it comes to online we have said we don't want to protect kids and that really bothers me and so we have the opportunity to make sure that we can take a stand for our children involved this process at that the third party verifier situation because we do not want to give anymore data is these these sites so we require third party data verification process to be involved in so we can talk more about the replication to talk more about the execution but be happy to answer any questions about this bill. Thank you for the presentation members any questions. Ferguson you're recognized for a question. Thank you Mr chairman Senate aides on page six line sixteen through. Nineteen I believe it talks about a penalty of twenty five hundred dollars per violation court costs and reasonable attorney's fees as ordered by the court damages resulting from a minor SSN is social media platform without his or her parents because no you said that twenty five hundred dollars penalty isn't that's assess against the social media platform not against the payer the custodian correct case the child okay yes Sir to the to the social media site correct thank you thank you Mr. Thank you representive any other questions by the committee. Representative flowers you're recognized. Thank you Mr So. How is the how with something like this The monitored and policed so as to file I guess a complaint or. Suit against the social media companies great question so what this bill outlines is is it an option for civil litigation and so if if a child has been damaged this this brings an ability to bring civil litigation and to the courts and so if if if that happens in a social media site has basically been negligent and has not followed this assume it would pass then that would be the cause of action that that matter and so with a third party verifier I guess I have a couple of questions like how. What would that. Lookalike who. Is sort of in charge of the third party verifiers and what kind of information is being shared with this company in the face of protecting our children yes ma'am so on the third party verification there's a reason why we ask for that to be a part of the process because we wanted a separation of accountability and I'd data right and so we've interviewed and talked with the largest third party age verification verifier in the country third party vendor to come pick up by Denia who is involved with eighty percent of all of the driver's license contracts in the in the country of what from multiple states he also involved with TSC at TSA and global entry a lot of age verification that's what they do service or specialty and they have outlined how this is a relatively easy process to implement the gate keeper situation you must verify before that gets access to the actual site so it is it is it's integrated with the social media site and so after after after digital age verification process then then is able to to enter or consume the data internet website and so that that check off is in immediately after verified Emily dumped the data so there's there's a security placement and enforce their that help with that one so. So anybody who gets on has to verify it for say like I find it on at some point then I have to say Hey I'm I'm not a kid let me show you my license great great question no so what this bill outlines is only for new newly created accounts on in the state of Arkansas and so if you already have a social media site account then you won't have to age verified or won't be any any requirements are all right I mean but for new so let's say aye and on social media yeah and I have Facebook but let's say I didn't have Twitter correct and I just go ahead and set up a Twitter account and they say Hey how old are you and then I tell them I'm thirty. Yeah. And then you know they say okay it shows your ID take a picture of it in the to us or whatever that process I'm asking for anybody correct after this state has to share their license with this third party verifier yes ma'am correct. Thank. Representative Ken Ferguson did you have a question yeah one quick question I may have missed it in the bill senator. But I have four grandchildren's one is under eighteen so. Am I correct in assuming that only the parent or legal guardian can give that under age child permission is that addressed in the bill yes Sir it is and that is correct okay all right so me as a grandparent I can't do it Chow's not living with me living with her mother so yes Sir so it has to be the mother mother says no. Then that can't happen but act as a police so how do you know which. great question so on that we do outline that parental consent is in guardian is is how the the bills outlined we did have that question as well on the Senate side in here's here's what what when I had that question and communication with some of our industry partners in this and how effect you know what we did is is we said we we are requiring that but it's really hard to know who it who need adult is are the parent or the guardian of the uncle right and so here's what we passed we've asked for our the largest social media sites in the world right but that's the if you see in the bill what worker targeting the largest ones who already have the best technology in the world to help us with this today when we when we have looked at what what are they doing to help with policing and protection of children they have a family center and there's there's parts involved where they had they get parental tools today and they they have algorithms that all A. I. algorithms that are all that give a strong likelihood of a parent but it's really hard to know this we've asked them to implement their same parental tools that they're using today to help us with this so if my grandchild is with me for the summer. How do we know. Because she's going with me for three months and I'm the enemy I would certainly asked her mother if it's okay for her to have a social media account because she stays in another state but she's coming with me for the summit Arkansas how is it held when the bill also when we had a we know. I can't set up an account for her because she's in Arkansas this in me for the whole summer he's not in the Missouri yes Sir where she lives yes Sir Rick realistically it it is is. If you would say it was it's very hard to confirm but I can tell you we are going to we are going to fix a lot of the problems we are happening and what that's that's what we've seen today is we believe this will it we're gonna have kids that are going to figure out how to get around us we truly believe it's not gonna be full proof I'll fully set today but I can tell you that the standards in the direction we're heading we believe is right we believe it is going to fix all the issues that we're seeing where guardians and parental consent happens the majority of the time. Thank you Mr thank you SO Richardson's recognized for a question thank you Mr chair of. Senate these the when you talked about they have to get the approval from the parent what I'm curious about is what about if it has multiple platforms right Facebook owns Instagram I have an account with Facebook right now this goes into effect what those two combined does this bill affect the individual into Instagram even though he's all he or she is already with Facebook I'm sorry we saw of. Sure yes great question it's it's going to each site is gonna have our own topics like that so every how we that one is on on account creation and so if it has one account then then that's what we're talking about so every time you create an account is is the metric here where you have to a terrified. And the second question I had is who is responsible for choir in the third party verification I know you said that you said IT me was the largest one sure who's going to be responsible for choosing that third party we can manage this we have given it right now we don't dictate who they use and so it's up to the social media sites to use that third party vendor of their choice as long as it is happening okay thank you. Allen for question yes. Thank you Mr chairman my question is geared toward representative Eubanks. That's beginning of the meeting you said that you have Amendment Utah was in the green. With all parties involved Fite guess by a question the of have the opposition that they see the amendment before. We came down here at the end of the pay will will seven green opponent once you made the amendment. Okay. Senator needs met with some of these parties and they that the. Addressed some of their. Concerns but they had not seen it and I was being facetious when I said that. There was no longer any opposition to the bill I think I've already seen this state and I know that there's at least three so or maybe only to signed up to speak against maybe there's one to speak for but I was being hopeful you sound so serious. I think I would I would echo that I I think we are we are poking at profits. And I think there's always concerns with with some of the sites that we're we are touching there far bench of accounts and clicks and advertising potential and so there I don't think there's ever going to be a fully committed agreement from all parties involved with this I would say I have purposely tried to meet with anybody who has as at questions on these issues and to make sure that we do get the best deal possible. A representative flowers. Recognized for a question thank you Mr for allow me back in the queue I was trying to figure out the right questions just thinking about it I guess your point kids getting around this. And so if if what this is is a third party verifier and parents having to demonstrate You know there approval for their kids to set up these accounts so that's one part but let's let's start there if. I am you know that I'm a kid so now I'm sixteen and my parents finally let me set up an account and they. They don't let's say you did say you when you're not doing this year eighteen. But I get on there and while they're asleep or on my mom's persons in there my dad's you know wallet is on the counter I need his license. And I do the whole process making it like they approve I mean we've heard for years a kids finding you know forging signatures saying Hey yes on my report card right right so that you know kids will do that. Once what about that and once they give it to the workaround. What is the process to monitor what once the parent let allows them on or doesn't allow them on but once they're on social meeting they have the account now what because the problem isn't necessarily just the getting the access but it's what they're doing what they're sharing what they're posting what they're surfing outside of social media like how to what happens then sure I think you're you're describing a situation that that could happen and and I think today we what we're trying to do is is is alleviate some of the damages for C. and and we know we're not going to stop all situations it it's I have a quite it to you know people gonna speed why have speed limits and it's it to me I believe this is this is the rights the right step we should take because it will help kids it will involve parents more in the process it will involve a mom and a dad in a legal guardian to say all right we'll Johnny will Susie this is what will allow young we know you're on this there's a bridge to a conversation of protection there we're not gonna catch every single situation and I agree with that but I do believe it's still it's still the right situation we're not gonna stop all speeding we still do have to have to safety in mind to have a become so even even with your analogy we have speed limits we have tickets we have find you got to go to court on you have state police you know kind of situated to different points on the road who will stop you if you're speeding so there is something that happens after we have the the law and what I'm wondering is in the bill is there something that addresses the actual activity of the kids once they get the access to it you know once they sign up and get a. Social media account whether they got it with the right permission or not like what happens at this bill addressed him after that no matter does not directly address that situation at some point the parent would have to be in charge of their own identity and one final question Mr. Last week well if they. Who who pays idea how do they make their money that would be with the social media site directly. So the social media audience correct yes ma'am. So we're telling the social media sites who they have to I'm sorry did not IBM yet civically but they they are in charge of paying for a third party service it could be a teammate could be any anybody that use I just reference the largest one the country and that is a within thank you thank you so much for. Session. One of the largest groups in the country is Disney which I got a real good lesson that this weekend and they've managed to control this correct this all of their online. Systems you can have thanks for junior high you can have things for even if a five year old and and you have to just log in with the code correct I believe the script so they've been able to do this and and control access correct yes ma'am so if Disney can do it surely these other players can do this too as well absolutely in into your point there already types of algorithms in place for Facebook for example and so I believe it's just it's just aligning it with what we're trying to do it the system of technology stuff later okay thank you very recognized for a question thank you Mr chairman we had some discussion on the floor earlier but on is there anything in the bill or the amendment that prohibits third party ratified from being in China. no Sir I don't think we would address that bill okay so that would that would be open. Okay all right thank you. Thank you any other questions by the committee. Okay saying none we do have some people who have signed up of another question representative recognized for a question. Thank you Mr chairman Following up with a representative flowers question you about why this is your bill still hold social media companies strictly liable. Why why do we hold them liable my answer that is because they have allowed this industry to harm our children that's that's my that's my personal opinion today kids are being harmed the statistics that we're seeing today is is astonishing and so I believe we do need to step in that they have not created an atmosphere that is protect our children. All right. During this. Would you consider adding a coupon of some kind of safe harbour so the company isn't liable if their scam. As far as the time line to answer your questions are presented not to to me this if we say this is important and children are being hurt we need to act fast and also to follow up on that as well it plays into rest of Lundstrum question these are the largest companies in the world smartest in the world with the best technology in the world the fact that they've they've asked for that as well directly I believe it is a stalling tactic I believe they could implement this very quickly and so knowing children are being harmed today really bothers me to think about let's just push it out only that a few more kids get get harmed and so that that does make me think we need to act quicker then push off. The representative and that this doesn't go into effect if it's passed until September first of this year so all existing accounts are not affected by this so it just be new accounts created after that date and also if it's my at view that they're doing due diligence to try to their age verify and get that parental. Consent I don't see how they would be liable personal. Thank you any other questions by the committee okay saying none we do have people signed up to speak on behalf of the bill and against the bill the first person's Ruthie Barco looks like it's time to speak against the bill. Ma'am if you would just go to the end of the table introduce yourself you may proceed with your testimony. He's doing. Thank you Mr chairman my name is Richie Barco and the executive director for techconnect central region taken is the voice of the innovation economy we represent a range of tech companies from start ups to the most iconic companies on the planet representing over five million employees and countless consumers and I it information technology e-commerce sharing and gig economies advanced energy cybersecurity to name just a few. Our members are highly committed to online safety and work very hard to give users the tools to create the online experience that fits their needs and their families needs taken it members have invested billions of dollars to empower consumers with a range of tools to customize their online experience and allow parents to activate parental controls allowing families to manage their controls across all their connected devices providing a range of options when it comes to filtering content online and filtering their children's access to online platforms including social media platforms. age verification seems like a simple requirement to enact this bill is problematic age verification resulting capturing massive amounts of sensitive personally identifiable information because of the civil penalties included in the bill social media platforms would likely have no choice but to treat all users in Arkansas as if they're under the age of eighteen resulting in age verification to be required before an Arkansas citizen access is most of the online content that they use daily. The bill authored slim that this bill is intended to only apply to new users creating accounts if the amendment does that we appreciate that include crystal clear that is helpful the collection of sensitive personal data on the skill mandated by this bill even if mandated to be collected by a third party as a supposed to safeguard creates a myriad of other problems in Arkansas regarding personal data none of which are addressed by the bill such as complex issues around the use and retention of personal data data minimization consumer right to access review and delete their personal data not to mention the fact that the bill mandates the collection and deletion of this highly sensitive data but it also does not defined parameters around what it considers legally liable as identifying information. The only platform is regulated by the bill I not only still liable under SB three ninety six themselves but they must hand over the execution of high risk operations handling and verifying sensitive user data to third party contractors which are subject to no state and no federal regulatory standards are voting under the bill all without the users consent SP three ninety six creates a range of new and unintended hurdles for Kansans to navigate and thorny issues for the state of Arkansas to solve to name three online platforms must still use data that would constitute identifying information undefined in the bill in order to verify that a user's account to secure at that were whether it has been hacked how will this be insured our Kansans accounts are still secure and protected from fraudulent activity if they cannot retain any identifying information under the law. How will parents prove that they are actually the parents of their children online to authorize their access to an online account will all of you have to upload your child's birth certificate or other sensitive documents pertaining to your child in order to authorize the access to an online account and finally senior citizens are already targeted by fraudulent phone calls phishing emails and tax to verify their online identity and hand over their account passwords this bill will only expand those opportunities for criminals when millions of social media accounts in Arkansas must now be access via the uploading it and put of users most sensitive identifying information how will the Arkansas government protects citizens as a result of the massive exposure it is mandating that the agreed to in this bill. As a result of the complexity of the regulatory burden and costs as well as the increase systemic risk it creates technet must respectfully oppose Senate bill three ninety six we continue to work with the committee on the issue and we wish to work on solutions that will benefit the best interests of all Arkansans thank you. Thank you miss Parker any questions by the committee. Six hours recognized thank you Mr spot can you give us an idea of what that cost would look like just enter it of any company in terms of applying the third party verifier like what it what would that cost. I. Thank you president of ours that we you as a trade association we don't necessarily have those figures what I've heard from our members is that this is. Incredibly burdensome to implement so if you're talking about the millions of accounts that they have and the liabilities in the bill and the fact that it would be safe as to make sure that those can mandated for all of those it's officially if it's it be it's good faith clarified to new accounts that but you're talking about a massive amounts of data you're talking about reprogramming all the states that will probably take longer than the effective date in the bill all of that adds up to millions millions of dollars in engineering cost plus at I actually do not know what the third party identifying companies would charge. And just really quickly and I'm asking this because my understanding from the sponsors is something you said made me wonder. My thought my understanding was this would be sort of a one time when you're setting up an account on social media that kind of process. The way you just described it as like any time you pay for anything if it sounds like more than once can you tell us what your but what you meant by that we can make that reference at yeah I think you represent of flowers I'm is so I think the way this works operationally is still there's a tremendous amount of ambiguity around it so this is the only bill I know we have like this that does mandate this to go through a third party processor it is very confusing what identifying information is actually collected what's actually considered under the bill or what companies are or not supposed to hang on to. With that data Inc in Colorado where I live we have the money Colorado after that does facial not being official recognition technology of your face that you can upload your driver's license so that you can use it with your car registration and everything else it logs you out pretty much like every thirty days if you haven't used as used to log back in because that that that data so incredibly sensitive so and didn't you know I think there's a lot of questions about you know if this is one time when your account is there how they actually re verifying you and how does that information actually work it isn't as simple as that data dump so that there's tremendous logistical concerns around us thank you. Reservation no good. reserve person press for questions yeah just a quick question at issue Trade Organization offered any amendment to make the bill work. Thank you represented Ferguson we have gotten some feedback from our members about you know a later effective date would be helpful I think it should be passed September twenty twenty four you know we we appreciate the feedback that this does only it or is intended to only apply to new users we think that's incredibly helpful but it really for us that takes a very very bad bill to still being about bill just because of the complaints costs with all of this the fact that each verification is incredibly difficult to implement you know there was discussion about A. I. capabilities to do to verify and or gas a user's agent that technology is really there but that's completely different from the government mandating that. So so you're saying that they're probably know amendments that you're Trade Organization. Could recommend that would to make this bill more. Amenable to you guys. it thank you represented Ferguson I think there are I don't know I think the would there would be so many amendments that they would necessarily be accepted okay thank you Mr thank you resurrection recognized for a question thank you Mr chair so you you just say something just second ago you talked about age verification seems to be a huge issue for your members in your organisation but but we do know that there's been instances where age verification is used in other industries in the technology field so you would think those should be able to move pretty quickly from one to another so why would that be so cumbersome. For you guys. Thank you president of Richardson so I think it's the structure of this bill with that too and mandating age verification for says how that's actually done differently from datasets and internal processes Disney was referenced earlier it is much different when a company is doing that internally than when it's actually mandated one civil liability is pain to it as well and then outsourcing that to a third party I I really I'm not aware of anywhere else where so you guys would be more amenable to that if you could do it in house and not have a third party. I think your representative Richardson yes we have there's other bills like this across the country they're all a little bit different and how this is done I am not an expert on all of them and there are quite a few right now I think some of them are less bad than others but there are less cumbersome ways to do it but Sir party verification and then at the fact that identifying information is not defined in the bill to just create so many other questions because it does say one moment. Once the age verification is performed even though that's not being performed by the social media company is being performed by their third party contractor they're not supposed to retain identifying information but that's not to fight any unique identifying information to verify that you are your user on your. Campaign Facebook account as. Thank you with the road recognized for a question yes Sir thank you Mr thank you for testimony just had one quick yes or no questions the Bill sponsors Cited that one third of all sexual related crimes are initiated online this bill aims to address that is there an alternative that's on the table right now to try and fight that. A representative rose eight do you mean another legislative initiative on the table right now to address that. The U.. I appreciate the desire to have some commentary on and that's one oh yes Sir now are you aware of I I don't think directly in legislation thank you thank you so much for the purpose of Alan have questions. Yeah thank you Mr chairman I just want to follow up on what representative programs meant Ferguson mentioned he asked you if We came if there was certain amendments that they placed on the bill what to be satisfied with it and I think you may also was that it was no is that correct. I think your representative we. I I think well all of our members need because it's from such a diverse that we represent payment processors that are concerned that they will be included in that so it isn't just. You are concerned with the definitions is that this will encompass many more companies than just the main social media platforms that people are thinking about so I think that if you're really trying to address everything for our members to I feel like they could comply with the Senate meaningful way there would have to be many more far reaching amendments so in other words there's nothing that can be said or done amendment Weiss thank you all will be happy with. The president want probably not before. This section address on this type light has a yeah that in the political feasibility of it is what I'm straining to speak to okay. All right thank you thank you any other questions of the committee okay say ma'am thank you for testimony ma'am thank you. The next person sign up is Terry Schilling to speak for the bill. Mr shelling just come to the table introduce yourself and who you're with and proceed with the testimony. Thank you Mr chairman my name's Terry Schilling I'm the president of American principles project we work to make families and pets I'm sorry parents and their families the most powerful special interest group in the country I came today to testify in support of Senate bill three ninety six the social media safety act a bill that requires a major social media companies verifying your Kansas users are eighteen years old or old before allowing them to access the social media platform any under age new user in Arkansas must have parental consent before accessing social media platform most of the points in support of this legislation have already been made today so I want to address some of the concerns regarding big government our government currently regulates many aspects of our society from how many gallons of water can be for us a time to the entire education system some are good and some are bad I hold my hands the Arkansas Code for education policy as you can see it's quite thick and weighs approximately ten pounds do you know how big the code is for regulating social media platforms it doesn't exist. If our government can regulate the size of our toilets then surely you can regulate access the big tech platforms have toward children are declaration independence tells us the government is founded to secure our rights secure our rights from whom certainly we don't found government to secure rights from government that would make no sense Marshall protective audible from bad individuals and corporate actors and right now there are fewer people more vulnerable to bad actors and big to be in big tech than our children. One of the concerns is also around the first amendment in Chinese influences this bill does not touch a regular content it simply shifts the power from trillion dollar tech big tech companies to parents in order to better protect their children secondly if you're concerned about China you should support this legislation because the Chinese are using many of these platforms to introduce destructive ideas and ideologies to our children without parents having any control over that this legislation simply helps parents protect their children from enemies both foreign and domestic regarding privacy. Privacy is adequately protected under this bill firstly many sites that provide adult services already provide age verification without any major problems and have for years online alcohol tobacco and gambling have been identifying and verifying the age of users without any major privacy complications or problems these companies are some of the largest companies in the world some more trillions of dollars they can handle these relatively small regulations further if you think that these companies don't already know who you are where you live where you work what you like how you think or if you're pregnant before you even know that you're pregnant you're fooling yourself they know all of it may have your location your search history promote or advertise identification number our children under attack in so many ways and it's important today for legislators to give parents more power control over what their children have access to online in order to combat these growing threats in my these attacks American principles project encourages Arkansas to protected children by supporting SP three ninety six. Thank you thanks any questions by the committee saying them they protest Mr thank you one less person this signed up to speak. On this bill is. Dustin Brighton the other year you would Mr by no then the table and introduce yourself and to the testimony. Thank you Mr chairman my name is Dustin Brighton and I'm here today on behalf of net choice which is a trade association similar to technet whom I approved this because with miss Parker road testimony already had on several topics that that choice also would issue similar concern again if the amendment that was introduced earlier takes care of new users and clarifies new users from old users then that's one of the concerns that's taken care of we will look at that amendment of course the other the other topic or issue with which that choice has concerned is it needs to be a little clearer that the when it comes to the submitting of personal information on a driver's license birth certificate I mean we are giving that to a third party vendor would be as mandated by this piece of legislation It's a little unclear right now whether they immediately need to Delete that information or if they need to hang on to it for a certain amount of time it says that you need to delete it but. How then if they are subject to lawsuits how are they supposed to prove that they've done what they have to do it they have to dump this data it's kind of a catch twenty two I think there needs to be some more clarification on that I do applaud senator dis for talking with us about some of these concerns certainly want to continue to work with him also net choice would say that this bill it does fly in the face of the first amendment there have been spring court decisions with and tenant Scalia saying that a law that was passed in her before the Supreme Court he said that California's ban on minors buying violent video games without express parental consent. Was that not a parent's right built it was more a government knows better bill and I think we've got a similar situation here today again I realize that's just one point certainly constitutional laws and not my forte but I would also say that that's something that should be considered thank you Mr chairman. Thank you Mr brighten any questions by the committee Senate David testimony Sir. What else is. Is there anyone else not to like speak either for or against this bill. Saying the owners of Eubanks senator if you like to come to the end of the table and clothes for your bill. Thank you Mr thank you committee members. When I started at I'm an echo that again it's it's a joy to get to serve with you and and help fight for constituents in a and for parents and I think that's we have the opportunity to do today so the testimony we heard today frankly is red herrings scary what if how old on the all my orders a little Facebook how we gonna do this when on cities of billions and billions of dollars in revenue in there make it off the backs of of our constituents and they have the technology involved implement this quickly I could tell you that I believe that that what you're hearing is fierce of profits being taken away over property of our children be protected you heard today that there's literally nothing we could do to this bill to make it completely perfect in their eyes and so today we were we are moving forward we are going to try to take care of our children it's that's option that we can we can do today on that there's really nothing else that we could do in order to appease that. The amount of depression and anxiety that we're seeing especially with young ladies. Eating disorders image issues things that were seen to day we can help address that that's what I'm so excited about this today as a body we can say that we prioritize our future which is our children so I hope that that we can we can do that that's that's our that's our goal that's what three ninety six thanks to do today Rep to be banks as well. Members earlier this session we passed SB sixty six which required aged verification for people to access adult material on the internet we pass that both chambers today we're asking you to do something to protect their children I know a person in my community that because of access to material on the internet ended up being arrested for soliciting prostitution later finding out that they were addicted to ****. This is an adult that we had access to this material if for the new members when we had orientation back in December the FBI advised us that if you had tick tock on any of your device you should delete it immediately because of the issues security issues rate associated with that that was for adults. now we're just asking that. Parents be more involved to oversee what kind of material. Their children are accessing Senator dis as reference some of the issues whether it's depression whether it's cyber bulling whether it's a dealing with sexual predators or anxiety we know that exist I think we have to do something I think if you look at the definitions that are in the bill it does sort of negate some of the issues that the the first individual referenced that they thought it might include some other up type internet companies or that nature but Utah's already passed this bill are very similar bill so. I think it's something that we have to make a attempt to try to protect our children from these influences or at least to get the parents involved because we know what the ramifications and the consequences are from some of the content that is on social media and with that I'm close and I make a motion to pass. Thank you representative access center days they have closed for the bill and represent a few banks has made a motion to do pass as amended that's a proper motion is there any discussion on the motion. Saying that up discussion on the motion represent flowers you're recognized. So I wanted say something is probably going to surprise the people My main concern and the questions I ask is not because I think it's a bad idea to protect our kids and I'll I want to share something with you I have a friend whose daughter. Was sort of in the middle of divorcing parents and win over the over the other parents house. was accessing social media accounts and sites and was subject to bullying was also subject to people probably trying to engage her And and it it it almost ended up really badly. And But let me tell you what is happening is all her devices got taken away and or monitoring right now her daughter has a phone and she's in high school now her daughter has a phone in every text. Every site that she goes to her mom can see it. And so you know when you talk about sort of the freedom of parents to be involved I would say that that's already there however. The idea that the government can and should do something I'm not averse to that. My my problem is that. This bill feels really really big. And it's taking one step that really won't do anything to monitor to prevent navigating Thank you to prevent to keep kids from navigating on sites that they shouldn't go to but we won't do anything to monitor whether or not kids are being bullied and when they are to do something about it. And my concern is if we pass this bill it will be a huge burden and expense we've heard that I mean I did I heard that I think every company is always concerned about their profits. And that's not my job to care about that. But if we're going to place a regulatory burden on the company in the vein of protecting our kids it needs to protect the kids and if we're saying that Hey you have to get a third party verifier and we're gonna all of a sudden be better and it's going to do something I'm not hearing where it's going to do something. And I feel like we will be lulled into thinking that we've done something because we've passed this bill that you talk passed and I I heard you know that it with all due respect Senator dis I didn't hear where in the bill it does anything to address where kids are being harmed all it does is provide that permission and even when we look at the analogies of you know what we did today with porn sites. When people go to porn sites they should be adults and. It's just like going into a bar when you going to bore you should show your ID but for anybody going to the mall they shouldn't have to show their idea every time I go to the mall. And so I just think that it needs some work at a specially with the great expense and regulatory burden that'll place. I just think our kids still won't be protected and I think that there are a lot of things we could use that money and political capital to do to help them so for that reason I'll be voting no and and I ask my President Maddox Senator dis representative Eubanks I want to thank you for bringing this bill because it's absolutely terrifying to be a grandmother of a seven year old and she gets so busy on my iPad and I'm never quite sure what she's looking at me now let us look at it and say Hey what do we look at something else and you already admitted that nothing's perfect but I think we have to start and I think that it's important to start to rain this stuff in and yeah there's a lot of uh there's a lot of hurtful evil things out there on the internet and our children need to be protected even adults need to be protected just you know an adult can get addicted to **** that totally messes up their whole. Their whole relationship with other human beings and it's it's a terrible sad situation and we've got to protect our children and not let them get into that addiction and not for that reason I'm supporting this bill it may not be perfect but it's a start thank you. Thank you as well many other discussion not represent road shortness possession of the motion yes Sir thank you I just want to in my position of support this bill no disrespect to the gentleman from that choice he came to speak on their behalf and their focus is safe on free enterprise not safe for free children and so I just thought that it was important to notate there's a specific difference between those two focuses and again I support this bill thank you guys thank you representative road any further discussion on the motion okay saying no we have a motion do pass as amended all in favor say aye. It posay no. Congratulations you passed your bill as amended. I sit there and. We let them know what the. Thank you members it took a moment to look at this she base going to commence with the local. Representative Eubanks. Representative Ferguson Deborah Ferguson. Representative beefs. Yes. Representative Ladyman yes. Representative Lundstrum. Representative Kenneth Ferguson. Representative Kenneth Ferguson. Representative flowers. Representative Alan. Representative Warren yes. Representative moving yes. Representative very. Who knows. Representive Johnson. Yes. Representative Richardson yes if. Representive eleven yes. Representive in it. Representative Hodges. Representative Walker. Representative rose yes. Representative brown. Yes. Okay. Six eight I have helped your ticket. We're gonna go over sixteen. Congratulations right to be back Saturday to a past due bill as amended thank you Mr thank you Committee thank you. representative shall subway that promised you could go earlier but we're getting to now we come to the table in a ditch your self in a gas then proceed with your testimony. This is HB seventeen seventy six is that correct. Thank you Mr chairman state representative Marshall twenty eight. This is can code and remit eminence. Mr chairman members of the committee I am can kill M. president and CEO of pro my name is and also served as a government affairs chairman for the Arkansas and its association. House bill seventeen seventy six is an act to amend the law concerning ground ambulance services to establish a minimum allowable reimbursement for ground services the gist of what this bill does. Just a second here. It is simply specifies that enables providers out of network they can balance bill in a minute representative payees gonna have a bill that would deal with in network rates and With one of our larger insurers federal law currently requires networks for air ambulances but not rounding Mrs This is open motor by the Federal surprise billing act. And with that we would take any questions. Thank you represent shall serve any questions by the committee. Okay saying none. There is no one signed up to speak for or against this bill however his or anyone else would like to speak against this bill for this bill okay represented children got close your bill I'm close for the bill I would appreciate a good vote. Question shelters close for his bill represent Perry you're recognized. Represent parents made a motion to pass all in favor motion do pass say aye. The posts and graduates to pastor bill. Thank you Committee. Representative Beatty. If you would like to come to the table we. I will tell you this come to find out even if you say you're allowed to rule state the non sponsored. This is for H. B. which one is as for. Thank you there's a question as to whether or not you had an amendment there is an amendment that's being passed out at this moment however members you can review a bit represent but if you like to go ahead described explained the Amendment thank you Mr chairman represented our baby District ninety five the Amendment that's being passed around I will call it the Andy Davis amendment to Senate bill four fifty six basically that amendment changes language in the in the bill from funds and substitute language state general revenue funds from tax dollars. Give that that explains the Amendment. Representative. Eighty has described the amendment what are the ways of the committee on the amendment only. Motion to adopt the amendment the hall of fame and most to adopt the amendment say aye. Hippos NO. You can proceeds explaining your bill as amended representative thank you thank you Mr chairman members of the committee Senate bill four fifty six as amended would prevent state funded medical schools from spending State general revenue funds from tax dollars on the name image and likeness of a student athlete under the Arkansas student athlete facility public publicity rights act my bad. In and with that the bill would do exactly what the title says. I'll entertain questions. Question. Questions by the committee represent what you're recognized for a question thank you represented ninety Wallace this morning anyway then interfere with public service announcements by athletes for. The orthopedic department out there. And they'll be able to. This is they're not paid is that what we're saying yes representative wouldn't it up with this yes are you can you tell me why that were. Permitting. What one would not allow them to do this. Basically the utilization of tax revenues for the name image and likeness for student athlete from the medical schools is it that so this just applies to state funds if they have outside foundation money or something they didn't make a decision that are yes Sir I agree with what you're trying to do here but I want to be sure we're clear yes Sir this was agreed upon language okay thank you thank you Mr. Thank you actually wouldn't have a question about a committee representative Alan you're recognized for a question thank you who was it agreed upon by. You A. S. into els. I guess the the bill sponsors. Okay because the original bill ready could use funds at all so it means this would still allow them to use of the funds as long as you're not tax dollars okay. So. When. When athletes advertised for you M. S.. I think there they get a return on the advertisement I don't think they're just doing the evidently it was generating business and other resources for them the reason why they were doing it. So. I guess my question is. Why all of a sudden one quid. Did did we they make someone angry what. I think there are some some members that that saw the name image likeness first off say that I support the the name image likeness out I was a co sponsor last time on the on the bill and support that the issue is just using tax revenue for the payment to the student athletes. Follow do you know how much money was paid to actively I don't have the exact number but somewhere around that I think approximately twenty eight thousand dollars it's very minimal amount we just wanted to put put these restrictions on before that number increase drastically so follow up so twenty thousand dollars will break the budget. Do you know how much was generated from the advertisement well I have no information on how much was generated from that but right now it's twenty eight thousand that number could go much higher so we're just trying to stop this before it goes much higher. Thank you. Representative which region recognized for a question. Thank you representative Beatty the. Just last question my question Can I come back in Q. I literally froze. You can. Someone else better ask questions okay representatives. I can remember now. So kind of answers questions based on information I receive you MS uses hospital revenue and private donations foundation but I guess for advertising tax dollars go to education and research mission. What you're going to agree I I don't have that information all all we're trying to do is to keep tax dollars from going for the promotions to the N. I. L. but I I would not disagree with you I just I just don't know if that's a true statement or not. I believe you. The representative recognized for a question okay thank you sorry about that representative Beatty so um do you know if these dollars are used for other spokespeople other than athletes I do not. How many how many current athletes are under that you said is twenty eight thousand you know how many athletes to being used at I do not know that information either okay but based on the statements of representative needs I would say that no tax dollars are being utilized to pay for name image likeness. Thank you any other questions by the committee. Okay saying none. President Ladyman. Okay organize in just a moment to jump but it's or anyone else would like to speak for against this bill. Okay saying that what it would have to close your bill I am closing would create a good vote reservados close for his bill as of late I mean you're recognized for motion do pass rush do pass in discussion on the motion. Discussion of Jordan. Yeah. It's my personal observations at this is the ruination of college football high school football. Let me just but tell you but I Committee new representative but for what you're doing. Because. in the the committee you know the average income let the average income of a quarterback in the Southeastern Conference last year. They may know that. Two fifty. Eight hundred thousand dollars. So that means the young man and he's good at Georgia probably made one point two million. But eight hundred thousand dollars what we're going well and up with the permit me what we're gonna wind up with we'll have players making more the coaches that so that way in the NFL amendment bills a mess. Let's say I will vote for you thank you. I appreciate it. A man I don't know if anyone can top that is anymore comment. We have a motion do pass as amended all in favor say aye. MediaPost NO. Graduations you've passed your bill as amended thank you Mr chairman thank you commend Committee. Their was a person recognized. Please send those. Thank you Mr chairman thank you Committee I think this would be fast I don't know of any opposition last time I passed a bill is called the sign to benefit bill for medical providers and health insurance and all that bill said was that if you are in and out of network provider what typically happens if if the doctors and a network then they would send the check to the patient in the patient didn't have the option to have it sent to the doctor so all that build said was that if the patient agrees a month the checks it directly to the doctor that the insurance company would would agree to do that surprisingly some of Dennis for some reason the Dennis the dental plans got left out of that bill so the teams came to me and said would you please pass a bill that so that the checks can go to the doctor and the patient agrees to that that's all the bill to us is a dentistry dental plans dental insurance plans. Thank you as a person questions by the committee. Okay saying none. Either way there's no one signed up to speak for against this bill representive one recognized should be five motion do pass person one all in favor motion do pass say aye. It boasts and the graduates the pastor bill thank you Committee. Representa Wardlaw. If you'd like to come to the end of the table. This one does have an amendment staffer passed out at this time in your life is not going to explain the amendment. You can thank you Mr Jeff Wardlaw representative district ninety four. This amendment pretty extensive when you get it be helpful to following the bill we're deleting quite a few sections here and then I had a little bit language sort of it delete section two three four and then on section five I mean or section six we're deleting the words or conduct business online thirty four follow me on page five and you'll see that we put some exemption language in here for a couple entities at their request we put in some language to exempt chick fillet without putting the words chick fillet so basically to any franchise for which initial franchise paid fee by the franchisor franchisee owner of that exceed twenty thousand dollars in their terms are one year so we put that language in there we also exempted the the beer of warehouse of wholesaler. So that those two C. one and C. two of the language to exempt them. And then on the section seven we deleted in its entirety delete section eight and on page six we had and then some language we want to make sure that the franchisee under good standing could pass that along to a spouse or a air so it's spouse child or air I want to explain something on that part and I'll get to it when I do the bill as well but. Yes they have to be reviewed by the franchise or on the front end to make sure that they meet good business standing financial standing so that's not being done without any kind of notice to the franchise or so then on page seven we delete and a good bill language delete section ten eleven twelve thirteen and then on the retroactivity piece because the sections changed we're still including section one and three. And then on page ten it's just basically a line in those new section numbers with all the deletions that's amendment Mister and I appreciate a good vote on amendment and I would like to say this amendment does bring all parties to a an agreement on the bill so there's no opposition known opposition today to the bill. Thank you SO Wardlaw restive Eubanks is made a motion to adopt the amendment all in favor motion to adopt the amendment say aye. A post and no pressure Wardlaw if you would like to go and present the bill as amended so committee the bill was really big and really expensive in the beginning of the bill had if you follow if you read the bill prior today you you notice there is couple words that you found in red repetir to do throughout the bill it was good because reasonable and material. So basically what we want to make sure I was in Arkansas these franchise orders can come in and dominate any franchise owner in Arkansas without good calls without reasonable and material reasons We spent all day today in the room working on amendments with these guys and one of the other things we want to make sure is that these things in a family is doing a great job is stays in the family and as you heard me in the amendment we that was the only part we kept in in that section was that it can go to a spouse a child or an air. But in order to do that you have to verify that those folks are financially stable good business and sound funny and with the franchise owners the other thing it was a big deal in this bill. Was the fact that the venue of an issue would stay in Arkansas so if you had a court case that court case would take place where the franchise is so it would take place in Jefferson County if it was impossible office to take place in Bradley county fairs in worn and and that's that's good for the Arkansas folks and and I want to make that clear so that those are the big points the bill and I'd be happy to answer any questions I think all of our previous oppositions back in the room and they would tell you that we've had good meetings today and able to work out of some amendments that we can all agreed upon. Thank you Wardlaw resolution you're recognized for a question. Wardlaw of. I'm sure you all have on this but this is no Of clashing here with the Interstate Commerce Commission what are you sure all right they were good okay thank you. That came up members times. What you're recognized for a question. represent what I usually agree with what you're doing and but this one's got me nervous we're interfering in a contract between businesses. These contracts are pretty intricate franchise contracts are pretty intricate so. What what brought this on fill me in. This is a lot of information I'm not a contract law franchise law. Person so help me out here well I have an attorney with me today David bridge for fifty chair would like I could bring to the table to answer that question absolutely Mister Bridgeforth Blake come up introduce yourself and you can proceed to answer someone's question. Thank you David bridge for the lawyer Love Arkansas and what exactly can you restate the question we're faring with contract law here it's been pretty tried and true. And this makes me nervous to come something at the end of session that so interpret that. The I'm just a little bit concerned that we're getting in the middle of people's business it's been twenty years of contract law for franchisees and franchise or. So I'm trying to understand why we're we're here today and why we're doing this so let me let me hit one key you it said that I will let him answer legal part in the session your right uh we had the bill ready to file. Three four weeks ago and we were asked by some members to hold back to the work through some some issues we we were supposed to file again Monday last week so we would have it through the house in last week in radio Senate and we rascal Monday night very late if we wait to choose the AM so we waited to Tuesday M. in good faith and it to the A. M. we got a message that said let's meet at six o'clock tonight about meeting at six o'clock on Tuesday night we cannot hit your committee on Wednesday morning so by doing that and we gave him that meeting a good faith saying we would reach an agreement we met with him for three hours Tuesday night went through every line we change to words that. Two words. You can see today were changing a whole lot more than two words but two words or change that night we filed the bill on Thursday so that we could be here today I wasn't comfortable with where we were with the bill this morning after hearing some government on over the weekend so I spent all day you notice I wasn't on the floor a lot today I spent all day today all morning and all afternoon and meetings working through this amendment there was peace is amended that I didn't agree to but when I got in the room with stakeholders they had already created taken some of them out which is fine we're we're in a but when we work that out we had an agreement delivered over here awhile ago and they said we need these to these three low are staking out and we will be neutral. And I said are you sure and they said yes so we sent back over the bureau. And got back those three little words in those three awards or this section six Amendment says page four line thirty four or conduct business and there were some examples given for that that that made sense can argue SO and it doesn't hurt what we want to go with the bill we want to go with the bill is a nineteen seventy seven Arkansas put in to factor in the law what contract law should look like between franchise owners and franchisees in nineteen ninety one. There was some exempt language put in wasn't real clear and still not real clear today on who that exempted in who it didn't there's been a couple court cases but really not a good determination and all that David hit some of that you can get more legal after information not what sections six years that there is now section two I think or section three of the new bill thanks three. We've moved the sections I section three is it goes back and removed that unclear exemption that was put in in nineteen ninety one so it brings for that from nineteen seventy seven active you read it it repeats those three words I mentioned earlier good cause reasonable material there was no reason to be redundant and this bill when you're allowing that language now come forward and then once we had those full agreements with with the franchise owners and franchise association we moved for to come to this committee today so you're right I didn't feel comfortable either and now I do because we got a complete agreement from these folks and we're not messing with their current contracts were just saying that that if you're gonna eliminate on there is a reason you're eliminating not just to make yourself happy these people been there they work the blood sweat and tears in these buildings Darlin I don't for no reason make sure you have a reason to to eliminate of and that's all we're doing today. David you think there's anything that you're welcome to do that well that that answers your question I mean I would say that I agree to represent Wardlaw nothing in here the only provision here that would apply retroactively in other words contracts that exists today is the language removing that. The the exemption for for franchises covered by regulation a fellow Trade Commission that has absolutely nothing to do in covers completely separate conduct in what's covered by the franchise practices that that is the only difference that would apply only provision of this a little blood existing franchise today the other provisions only apply prospectively and do not interfere with any contracts those contracts don't exist today so. Step out of the queue and wait and listen thank you senator Alan you're recognized for a question thank you Mr chairman. Seventy one little. Would you agree. Thank you done a good job bringing all parties together to get this resolved. I don't know if you saw the phone calls I got Friday have been nervous all week and I don't know. Well it seems like you've done a good job when you agree it's we've got an agreed upon bill I agree to that. Questions about the committee sorry the flowers just real quick And even if you may be able to answer this so I just want to be clear about what I just heard so just the amendment to lead the retroactivity of the bill or it doesn't delete it. The Amendment. Well actually Is that already been deleted in the bill is filed okay yes with respect to anything proper except that application of the prior law to existing Arkansas and current law to existing franchises in Arkansas so what you're referring to was deleted before we ever filed a bill okay and then we put in and the bill that was filed without this amendment we actually inserted summer done that language that explain what was rector active in what was not we did that at the request of that meeting I told you we had last year's the knot but with this builds that doesn't matter anymore because most of those sections are now taking out because we're referring back to the act from nineteen seventy seven okay as the same words in it definitions a little different but same words or and and one other quick thing attorney rich what would you say you were from I'm a. To wish we south Arkansas down here all day. Any other questions by the committee. Okay saying none. We have numerous people who are signed up to speak for and against this bill it is my hope that maybe that's not gonna happen now but to. Mr chemist can we stand in the palms up before good. Yeah. So long as the amendments that we've discussed our. Thank you is there anyone represent Wardlaw like that you'd like to call up and have them a firearm I'm good okay. Okay thank you Okay so what I would do is close your bill I'll close Mr at present a good vote okay day. Wardlaw as close for his bill which to me make sure recognized. Motion do pass as amended what a motion do pass as amended on pressure Wardlaw as bill any discussion on the motion. Saying none. All in favor the motion do pass as amended say aye. Imposts NO. Mr I'd like thank you in the committee for the long day. He. You're welcome. Representative Warren I believe you've been very patient would you like to go to the end of the table. I can't believe. The morning it's eighteen sixteen that you're going to run is that correct okay and you're not going to run eighteen thirty six is that correct okay so committee represent warns only running eighteen sixteen not eighteen thirty six today correct you may proceed. Thank you Mr chairman committee the. There's a need in Arkansas to strength in an incorporated nonprofit by giving them the authority to have the ability for independent governments from the national bodies. We've seen liability issues with the Boy Scouts of America and local troops we've also learned of how local organizations are precluded from seeking grants and funding due to restrictions of national organizations. So I propose to amend the unincorporated associations act to give unincorporated non profits the ability to amend the organizational structure so they can thrive in locally in our state. The proposed amendment can be very beneficial for short and long term success. By allowing unincorporated non profits to have governing documents independent of their national parent results can be amazing. The unincorporated nonprofit is dedicated to promoting a social cause or advocating for a particular standpoint in the local community. On a local level the services strive to solve important potentially life threatening problems and issues that are identifiable only in this state and region. In other words the national overall goal of a nonprofit does not always mesh with what is needed or required locally by allowing local non profits to have the flexibility to amend its governing documents it can accomplish its purpose for the community. One of the most important aspects of running an organization is establishing a consistent method for funding projects and operations nonprofit seek out private donations of time and money corporate sponsorships and government grants among others by addressing local concerns and address local issues that were not considered by national organizations a local unincorporated association who is amended its governing documents has the ability to focus on issues and matters that address local donors this creates confidence and donors as a success for nonprofits is measured based on an organizational organization accomplishing its philanthropic mission. My purpose is to make sure our local nonprofits get to take care of our local issues so. That's what we're trying to do here. Is make sure the nonprofits can stay focused on Arkansas local issues. When they conflict with what a paired or national organization is saying you have to do. Thank you SO one questions by the committee. You saying none there is no one who signed up to speak for against this bill is in when the audience would like to speak on behalf of this bill. See no one who is the one you're recognized grocery bill. and closed would make a motion to pass question one has made a motion do pass all in favor say aye opposed no graduation you've passed your bill. Representative. Perry I believe you have a bill. Thank you for waiting patiently. Members this is this is HB thirteen twelve. The pair you have an amendment on this yes I do if. Members of the amendment is being passed out now represent pair if you like to go ahead and just explain the amendment I'll be glad to thank you Mr chairman committee the amendment to house bill thirteen twelve a representative agreement has been reached between the Arkansas a month's Association and a very large insurer in our state as to the rate that will be charged for in network providers the previous bill that representative shields ran referenced network providers but additionally it corrects the reference to aim was providers and state of the ambulance service providers to make it more consistent with other statutes. I would move for adoption of the amendment one shall receive that. We have a motion to adopt the amendment all in favor say aye opposed say no but the pay go you may proceed with present the bill as amended thank you Mr chairman members I've got a can Kelly here if you all acts any really technical questions he's represents the Arkansas anyone's Association and he's a wealth of knowledge but currently the ambulances services are considered vendors and not providers by insurers so the bill simply put some pressure parameters on contracts should ensure decide that they want to create ground ambulance networks. The first format pages are really definitions of the bill you saw page six four you'll find the payment language and other than that that is the extent of the bill Mr chairman Committee thank you have a question about the committee. Okay saying none of the I've got to ask questions Rep Kelly spend all day here for the technical expertise. You should intend to represent where you're recognized. No chief to to over the difference if you will Public controversial standpoint a vendor verses a provider. That I'm not sure of I mean we've always been classified as vendors I know our industry is always moved to try to raise the professional status to the professional level as far as the amount of reimbursement goes I I believe the insurance industry has recognized as more as professionals it's just more of a technical term that we listed as a vendor I don't think this bill will change that relationship as far as a reimbursement goes under any network agreements this is been a strong negotiated bill over the about the last year with some of the no surprises act legislation that has come about I know in the federal level there is a move to elevate the emergency medical services to more professional status and so I think this is just Arkansas's stab at doing that but I don't know that would change any of the amounts that would be reimbursed does would already be negotiated as we have in this bill today well thank you I agree with that I think it does look as though by. Thank you very much thank you Mr chairman thank you represent Britain any other questions by the committee. Representative Roger merit mess for a question is there any cost involved in this but the cost going to be the taxpayer. There's none of the taxpayer it's all it would be part of the network if the company decided to get into the network. Does not require participation in the network but if a provider chooses to and engage in that it does set some minimum parameters system for but not the ceiling on the contracts but it does not require anything and and certainly exempts the state programs government run programs no impact costs there. Floor is good but I always worry about feeling that that's what expenses are but I'm I'm fine with that I just wanna make sure I understood there's not any tax dollars involved. No tax dollars to. Any other questions by the committee. Seeing none to anyone else like to speak we have this bill for against this bill. Action codes are set up but he's going to refrain represent Perry you're recognized to oppose the bill I'm close for the bill make a motion do pass as amended motion do pass as amended by represent Perry all in favor say aye. The post I know thank you represent area pastor bill. Thank you Committee thank. Less members I do not see anyone else representative long let me know he's not going to run this bill I don't see anyone else here who is wanting to run a bill it's my intent that we will meet again Wednesday as normal for Senate bills only so unless anyone has any other business we are adjourned.