03/15/1999 09:09 AM Senate FIN

                                                                                                                                
SENATE BILL NO. 33                                                                                                              
"An Act relating to the Task Force on Privatization;                                                                            
and providing for an effective date."                                                                                           
                                                                                                                                
This was the third hearing for this bill.                                                                                       
                                                                                                                                
Co-Chair John Torgerson noted the committee had just been                                                                       
handed out a proposed CS Version ".  He detailed the                                                                            
changes. On page 2 language was inserted beginning with                                                                         
line 16 after, "Items not subject to bargaining.." A new                                                                        
subsection (5) was added that stated, "the unrestricted                                                                         
authority of the employer to enter into contracts with an                                                                       
entity of the private sector of the economy to perform a                                                                        
function previously performed by state employees." He                                                                           
explained that this would allow the state to privatize some                                                                     
sections of government without any prohibitions from the                                                                        
employee bargaining contracts.  This was because, under                                                                         
this provision, the Administration was prohibited from                                                                          
using any privatization restrictions in the bargaining                                                                          
process.                                                                                                                        
                                                                                                                                
Also changed was language from Section 3, line 29, which                                                                        
would now read, ".The labor or employee organization                                                                            
representing those employees may prepare and submit on                                                                          
behalf of the employees to demonstrate that the state will                                                                      
not reduce costs by contracting the performance of that                                                                         
function.  A response prepared or submitted by the labor                                                                        
employee union is not entitled to a preference over bids                                                                        
submitted to perform the function, but the state shall                                                                          
consider the response before making its decisions."  This                                                                       
again directed the Administration not to bargain the                                                                            
privatization option away.                                                                                                      
                                                                                                                                
He asked that committee members review the Workdraft and                                                                        
come back to the committee with comments and suggestions.                                                                       
                                                                                                                                
Senator Loren Leman asked if this version incorporated any                                                                      
amendments adopted at its earlier hearing. Co-Chair John                                                                        
Torgerson was unsure if any of the earlier amendments were                                                                      
actually adopted.                                                                                                               
                                                                                                                                
Senator Loren Leman said he would offer other amendments at                                                                     
the next meeting to address the mandate to the advisory                                                                         
council.                                                                                                                        
                                                                                                                                
Co-Chair John Torgerson ordered the bill held in committee.