The House Labor and Commerce Committee reported House Bill 20 out of committee after members declined an amendment that would have let insurers recover most of the cost of providing paper statements.
Representative Dan Sadler, sponsor of HB 20, told the committee the bill “would just prevent businesses from charging an extra fee to customers who prefer to get their invoices or their statements … on paper.” He framed the proposal as addressing the needs of older Alaskans and residents with limited or unreliable internet access.
Representative Colom offered an amendment that would have allowed insurers to recover up to 90% of the cost of supplying paper statements. Representative Sadler opposed the amendment, arguing that paper costs are already baked into business operations and that the amendment would dilute the bill’s consumer-protection goal.
Staff testimony clarified examples of current practice: Melody Welterdink, staff to Representative Sadler, noted examples where banks charge a paper-statement fee (citing a $2 charge at one institution) and explained the sponsor’s intent to bar differential fees that penalize customers who use paper. Committee members debated whether the amendment would create an uneven recovery mechanism or allow companies to overstate costs.
The roll call on the amendment failed 1-5 (Colom yes; Sadler, Carrick, Nelson, Burke and Co-chair Fields opposed). After the amendment failed, Representative Burke moved to report HB 20 out of committee; there was no objection and the bill passed from committee by unanimous consent.
Members who supported the bill cited problems with missed electronic notices and the treatment of customers with unreliable internet; opponents of the amendment said businesses should not be presumed to need additional cost recovery for a longstanding paper option.
HB 20 will now proceed with committee recommendations; the transcript records no separate fiscal note attached to the motion to report.