Current through February 24, 2025
(a)
Setting Hearings. When the
department intends to issue or has issued an order directing a person to stop
an act or practice considered by the department to be unsafe or unsound, or in
violation of or likely to violate an order of the department, the provisions of
AS 06, or regulations adopted under AS 06, the department will hold a hearing
on the order or proposed order, on the department's own motion or upon timely
written request by
(1) a person subject to
the order or proposed order; or
(2)
a person having a contractual relationship with the person subject to the order
and who is directly affected by the order or proposed order, except that a
person does not obtain standing to request a hearing solely due to the person's
status as a depositor.
(b)
Time of Hearing. Upon
receipt of a written request for a hearing, the department will, within 30
days, schedule a hearing date on the subject matter of the order or proposed
order.
(c)
Notice of Hearing.
Except for an emergency hearing under
AS
06.05.468(d), notice of
hearing will be given not less than 10 days before the hearing date to those
parties named in the department's order or proposed order. The notice of
hearing will contain
(1) the name of the
party who is the subject of the order or proposed order;
(2) the time and place of the
hearing;
(3) a statement of matters
to be considered;
(4) a statement
of the legal authority and jurisdiction under which the hearing is to be held;
and
(5) references to the
applicable statutes and regulations.
(d)
Confidentiality. All
hearings on orders under this section will be private unless the department, in
its sole discretion, after considering the views of the party afforded the
hearing, determines that a public hearing is necessary to protect the public
interest.
(e)
Witnesses.
A party who is subject to the order or proposed order of the department
has the right to have subpoenas issued by the department on the party's behalf
to a witness.
(f)
Right to
Counsel. A party named in the order or proposed order has the right to
appear in person and by counsel; counsel may be present during the presentation
of evidence and will be given a reasonable opportunity to examine and inspect
all documentary evidence made a part of the record.
(g)
Rules of Evidence. The
following rules of evidence apply in hearings held under this section:
(1) oral evidence will be taken only on oath
or affirmation;
(2) a party or that
party's counsel, but not both, may call and examine witnesses, introduce
exhibits, cross-examine opposing witnesses on matter relevant to the issues
even though that matter was not covered in the direct examination, impeach a
witness regardless of which party first called the witness to testify, and
rebut adverse evidence;
(3) a party
may be called by another party and examined as if under
cross-examination;
(4) the hearing
need not be conducted according to technical judicial rules relating to
evidence and witnesses; however, relevant evidence will be admitted if it is
the sort of evidence on which responsible persons are accustomed to rely in the
conduct of serious affairs, regardless of the existence of a common law,
statutory, or court rule which makes improper the admission of the evidence
over objection in a civil action; hearsay evidence may be used to supplement or
explain direct evidence but is not sufficient by itself to support a finding
unless it would be admissible over objection in a civil action; the rules of
privilege are effective to the same extent that they are recognized in a civil
action; irrelevant and unduly repetitious evidence will be excluded;
(5) nothing in this section alters the
ordinary rules of burden of proof of judicial proceedings in the
state.
(h)
Transcript of Hearing. The hearing must be recorded. Upon written
request by a party and at the party's expense, the department will make a
transcript of the hearing.
(i)
Contents of Record. The record of the hearing will include the
following:
(1) all pleadings, motions, and
intermediate rulings considered by the hearing officer;
(2) arguments of parties or their
representatives and all evidence received and considered including a statement
of matters of which official notice is taken by the hearing officer;
(3) questions or offers of proof, objections,
and rulings on them by the hearing officer;
(4) proposed findings of fact and conclusions
of law prepared by the parties if requested by the hearing officer;
and
(5) the decision and final
order of the department.
(j)
Final Orders. A final order
will be in writing and included in the record. A final order will include
findings of fact and conclusions of law. All findings of fact will be based
exclusively on the evidence presented at the hearing and on matters officially
noticed. Findings of fact will be accompanied by a concise and explicit
statement of the underlying facts supporting the findings. A copy of the final
order will be delivered or mailed to all parties and to their counsels of
record, if any, within 10 days after the termination of the hearing.
(k)
Rehearings. The following
provisions apply to rehearings held under this section:
(1) the department will, in its discretion,
grant a rehearing to an aggrieved party if a written request is made for a
rehearing within 10 days after the final order is mailed to the person entitled
to receive it. A request for a rehearing must set out one or more of the
following grounds:
(A) newly discovered
evidence or newly available evidence relevant to the issues;
(B) the need for additional evidence to
develop the facts essential to proper decision;
(C) probable error committed in the
proceeding, the hearing officer's decision, or the final order which would be
grounds for reversal on judicial review of the order; or
(D) need for further consideration of the
issues and the evidence in the public interest;
(2) a rehearing will be limited to those
grounds upon which the rehearing was requested or granted;
(3) the decision on rehearing will be
delivered or mailed to all parties and to their counsels of record, if any,
within 10 days of the termination of the rehearing;
(4) nothing in this section prohibits the
department from rehearing, reopening, or reconsidering any matter in accordance
with other applicable statutory provisions, on the ground of fraud by the
prevailing party, or of procurement of the order by perjured testimony or
fictitious evidence.
In making 3 AAC 01.010 permanent, the regulations
attorney reorganized and renumbered the paragraphs in 3 AAC 01.010(k) to more
clearly reflect the steps in the rehearing
process.
Authority:AS
06.01.025
AS 06.01.030
AS
06.05.005(a)
