Legislature(1999 - 2000)

03/29/2000 02:00 PM House FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
CS FOR SENATE BILL NO. 269(RLS) am                                                                                              
                                                                                                                                
"An Act relating to legislative powers and                                                                                      
responsibility with respect to collective bargaining                                                                            
agreements between the state and a labor or employee                                                                            
organization representing state employees; and                                                                                  
providing for an effective date."                                                                                               
                                                                                                                                
Co-Chair Therriault MOVED to ADOPT Amendment 2:                                                                                 
                                                                                                                                
   Page 1, lines 5- 11:                                                                                                         
                                                                                                                                
Delete all material.                                                                                                            
 Page 1, line 12:                                                                                                               
                                                                                                                                
Delete "Sec. 2                                                                                                                  
Insert "Section 1                                                                                                               
 Page 2, following line 14:                                                                                                     
                                                                                                                                
Insert a new bill section to read:                                                                                              
Sec. 2. AS 23.40.250(4) is amended to read:                                                                                     
                                                                                                                                
(4) "Monetary terms of an agreement" means the changes                                                                          
in the terms and conditions of employment resulting                                                                             
from an agreement that will require an appropriation                                                                            
for their imp1ernentation [OR] will result in a change                                                                          
in state revenues or productive work hours for state                                                                            
employees;                                                                                                                      
                                                                                                                                
(C) Address employee compensation leave benefits, or                                                                            
health insurance benefits, whether or not an                                                                                    
appropriation is required for implementation.                                                                                   
                                                                                                                                
MIKE TIBBLES, STAFF, REPRESENTATIVE THERRIAULT explained                                                                        
that the amendment would delete section 1 and add a new                                                                         
section, which would expand the definition of monetary                                                                          
terms. Co-Chair Therriault noted that the definition of                                                                         
monetary terms would be expanded to include items such as                                                                       
leave cash-ins.                                                                                                                 
                                                                                                                                
There being NO OBJECTION, Amendment 2 was adopted.                                                                              
                                                                                                                                
Representative Grussendorf noted that the legislation                                                                           
contains a 45 day deadline in regards to submissions of                                                                         
agreements to the legislature. He spoke in support of a 60-                                                                     
day limit, which would be halfway through the statutory                                                                         
legislative session limit.                                                                                                      
                                                                                                                                
KHRISTOPHER KNAUSS, STAFF, SENATOR PEARCE pointed out that                                                                      
the original date was April 1. He clarified that the 45-day                                                                     
deadline was substituted to allow action on rejection.                                                                          
                                                                                                                                
Co-Chair Therriault explained that under the current statute                                                                    
the legislature would have to take action by the 60th day.                                                                      
This assumes that the legislature would have had the                                                                            
information previously. The 45-day period refers to the time                                                                    
in which the information is provided to the legislature.                                                                        
                                                                                                                                
Representative J. Davies spoke in support of the 60 day                                                                         
deadline. He maintained that 60 days would allow action in                                                                      
either direction.                                                                                                               
                                                                                                                                
Representative Grussendorf MOVED to ADOPT Amendment 3:                                                                          
delete "45" and insert "60" on page 2, line 3.                                                                                  
                                                                                                                                
Co-Chair Therriault clarified that the language requiring a                                                                     
concurrent resolution had been deleted.                                                                                         
                                                                                                                                
Mr. Knauss observed the Alaska Supreme Court ruled that if                                                                      
the legislature does not specifically fund the monetary                                                                         
terms of a contract that they do not go into effect.                                                                            
Representative Grussendorf observed that the Court was                                                                          
addressing the university and added that the university is                                                                      
not in the same position as the state because it does not                                                                       
have the option to raise funds.                                                                                                 
                                                                                                                                
There being NO OBJECTION, Amendment 3 was adopted.                                                                              
                                                                                                                                
Mr. Knauss explained that the university expressed concern                                                                      
that renegotiated contracts be considered as timely filed if                                                                    
the original contract submission was timely.                                                                                    
                                                                                                                                
Representative J. Davies questioned the meaning of "unless                                                                      
otherwise authorized by the legislature." He asked if the                                                                       
legislature would have to pass a resolution to address a                                                                        
renegotiated contract. He suggested that language be added                                                                      
to allow the legislature to consider a renegotiated contract                                                                    
if it was timely filed.                                                                                                         
                                                                                                                                
Co-Chair Therriault stressed that the power of appropriation                                                                    
is king and if a contract were funded then it would be                                                                          
authorized. Representative J. Davies felt that the language                                                                     
"unless otherwise authorized by the legislature" could open                                                                     
the state to litigation.                                                                                                        
                                                                                                                                
Representative Phillips interpreted the language to refer to                                                                    
previous action by the legislature. Representative J. Davies                                                                    
argued that the final agreement would not have been                                                                             
submitted timely. He felt that there needed to be explicit                                                                      
acknowledgement.                                                                                                                
                                                                                                                                
Mr. Tibbles observed that legislative legal counsel did not                                                                     
feel that a resolution was required to meet the requirement                                                                     
of authorized by the legislature. He explained that a                                                                           
temporary act would have to be introduced and passed to                                                                         
accept something that is passed the deadline.                                                                                   
                                                                                                                                
Representative J. Davies MOVED to delete "unless otherwise                                                                      
authorized by the legislature" and "final" and change "the"                                                                     
to "The". The legislation would be amended to read: "The                                                                        
agreement shall be submitted to the legislature no later                                                                        
then the 60th day of the legislative session." He concluded                                                                     
that the amendment would eliminate the need to pass separate                                                                    
legislation.                                                                                                                    
                                                                                                                                
CSSB 269(RLS)am was heard and HELD in Committee for further                                                                     
consideration during the meeting.                                                                                               
CS FOR SENATE BILL NO. 269(RLS) am                                                                                              
                                                                                                                                
"An Act relating to legislative powers and                                                                                      
responsibility with respect to collective bargaining                                                                            
agreements between the state and a labor or employee                                                                            
organization representing state employees; and                                                                                  
providing for an effective date."                                                                                               
                                                                                                                                
Co-Chair Therriault observed that the committee changed 45th                                                                    
day to 60th day. He observed that there is an amendment by                                                                      
Representative J. Davies pending. The language being amended                                                                    
addresses a concern by Senator Elton that if a rejected                                                                         
contract was renegotiated after the deadline that it would                                                                      
not receive consideration during the calendar year.                                                                             
                                                                                                                                
Representative J. Davies argued that if the contract was                                                                        
submitted and then resubmitted that the argument could be                                                                       
made that it was timely. He added that it would be unlikely                                                                     
that action by the legislature to approve an appropriation                                                                      
would be rejected.                                                                                                              
                                                                                                                                
TERRY CRAMER, LEGISLATIVE COUNSEL, LEGISLATIVE AFFAIRS                                                                          
AGENCY provided information on the legislation. She observed                                                                    
that the language does not give guidance about what is                                                                          
intended to be authorization. She agreed that the court                                                                         
gives deference to the legislature in matters that are                                                                          
within their purview.  She observed that the legislature                                                                        
could manifest their authorization by appropriating money                                                                       
and did not think that the courts would rule that contract                                                                      
monetary terms that were appropriated by the legislature did                                                                    
not take effect. She added that the language does not guide                                                                     
future legislatures in how they are to go about authorizing                                                                     
monetary terms.                                                                                                                 
                                                                                                                                
Co-Chair Therriault referred to the use of "final". Ms.                                                                         
Cramer explained that the current statute requires that the                                                                     
Department of Administration submit monetary terms within 10                                                                    
days. The new language changes this to the final agreement.                                                                     
She was unsure of the meaning of final.                                                                                         
                                                                                                                                
Co-Chair Therriault questioned if "ratified" would provide                                                                      
clarification. Ms. Cramer responded that "ratified" would                                                                       
work if the intent is to have the contract ratified by the                                                                      
employees.                                                                                                                      
                                                                                                                                
Representative J. Davies referred to page 1, line 6.  He                                                                        
observed that the collective bargaining provisions modify                                                                       
"agreement".                                                                                                                    
                                                                                                                                
Ms. Cramer observed that statutes require that the monetary                                                                     
terms of agreements be submitted to the legislature. She                                                                        
asked for clarification of "final" agreement and questioned                                                                     
if a final agreement would have to have already been                                                                            
ratified or is an agreement reached by the union and state                                                                      
negotiators that was to be submitted to the legislature for                                                                     
approval of monetary terms and the membership for approval                                                                      
of the contract as a whole.                                                                                                     
                                                                                                                                
Representative J. Davies suggested the use of "tentative".                                                                      
                                                                                                                                
Ms. Cramer stated that the statutory language does not speak                                                                    
to the "tentative agreement".                                                                                                   
                                                                                                                                
Co-Chair Therriault observed that Senator Parnell expressed                                                                     
concern over the deletion of "final". Mr. Tibbles clarified                                                                     
that Senator Parnell felt that the final agreement would                                                                        
contain the entire package. Co-Chair Therriault observed                                                                        
that sick leave information was not received because it was                                                                     
not considered as part of the monetary agreement.                                                                               
                                                                                                                                
Vice Chair Bunde asked when is an agreement an agreement. He                                                                    
questioned if it is a new agreement every time there is a                                                                       
change. Ms. Cramer responded that it would be possible to                                                                       
argue that every change constitutes a new agreement, but                                                                        
that it would not be a strong argument. Vice Chair Bunde                                                                        
clarified that it is not his intent that every change is                                                                        
considered as a new agreement. He asked if "tentative" would                                                                    
solve the issue. Ms. Cramer agreed that it would reduce                                                                         
ambiguity. He noted that a sentence could be added to                                                                           
specifically address the circumstances: "When an agreement                                                                      
has been presented to the legislature and the parties                                                                           
perceive that the legislature disapproves it, and goes back                                                                     
to the table to renegotiate, if the first submission was                                                                        
filled in a timely fashion anything later counts as timely                                                                      
filled."                                                                                                                        
                                                                                                                                
Representative J. Davies agreed with Ms. Cramer and added                                                                       
that a sentence could be added that states: "Except that the                                                                    
legislature may consider a resubmitted agreement if it was                                                                      
originally submitted timely and has been perceived to be                                                                        
rejected, renegotiated and resubmitted."                                                                                        
                                                                                                                                
Representative G. Davis suggested that agreements are                                                                           
amending an initial contract. Ms. Cramer observed that the                                                                      
Public Employment Act uses "agreement" in place of                                                                              
"contract".                                                                                                                     
                                                                                                                                
Representative J. Davies reviewed his conceptual amendment                                                                      
(see amendment 1-LS1386\KA.7). He observed that "unless                                                                         
otherwise authorized" is undefined. He clarified that his                                                                       
amendment would address all the terms: monetary and non-                                                                        
monetary.                                                                                                                       
                                                                                                                                
SB 269 was heard and HELD in Committee for further                                                                              
consideration and amendments.                                                                                                   
CS FOR SENATE BILL NO. 269(RLS) am                                                                                              
                                                                                                                                
"An Act relating to legislative powers and                                                                                      
responsibility with respect to collective bargaining                                                                            
agreements between the state and a labor or employee                                                                            
organization representing state employees; and                                                                                  
providing for an effective date."                                                                                               
                                                                                                                                
Representative J. Davies MOVED to ADOPT Amendment 1-                                                                            
LS1386\KA.7:                                                                                                                    
                                                                                                                                
The complete monetary and nonmonetary terms of a                                                                                
tentative agreement shall be submitted to the                                                                                   
legislature no later than the 60th day of the                                                                                   
legislative session to receive legislative                                                                                      
consideration during that calendar year.  However, if                                                                           
the department has submitted a tentative agreement in a                                                                         
timely manner and the parties to the agreement decide                                                                           
to renegotiate the terms, the renegotiated agreement                                                                            
shall be considered to have been submitted in a timely                                                                          
manner.  In this subsection, "tentative agreement"                                                                              
means an agreement that has been reached by the                                                                                 
negotiators for the employer and the bargaining unit                                                                            
but that has not yet been ratified by the members of                                                                            
the bargaining unit.                                                                                                            
                                                                                                                                
Representative J. Davies argued that the agreement is                                                                           
tentative until the membership and the legislature have                                                                         
approved the agreement. He suggested that "or approved by                                                                       
the legislature" be added at the end of line 10 and line 9                                                                      
be changed from "has" to "may". Ms. Cramer argued that "or                                                                      
approved by the legislature" was unnecessary. Co-Chair                                                                          
Therriault pointed out that "have" should be placed before                                                                      
"been".                                                                                                                         
                                                                                                                                
Representative J. Davies MOVED to ADOPT the amendment as                                                                        
amended to change "has" to "may" and insert "have" before                                                                       
"been". There being NO OBJECTION, it was so ordered.                                                                            
                                                                                                                                
Co-Chair Mulder MOVED to report HCS CSSB 269 (FIN)  out of                                                                      
Committee with the accompanying fiscal note. There being NO                                                                     
OBJECTION, it was so ordered.                                                                                                   
                                                                                                                                
HCS CSSB 269 (FIN) was REPORTED out of Committee with a zero                                                                    
fiscal note by the Department of Administration, published                                                                      
date 3/6/00.                                                                                                                    

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