Legislature(2003 - 2004)

05/17/2003 10:38 AM House FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
CS FOR SENATE BILL NO. 119(FIN)(efd fld)                                                                                      
                                                                                                                                
     "An   Act   authorizing   the  Alaska   Public   Offices                                                                   
     Commission   to   issue  advisory   opinions;   amending                                                                   
     campaign    financial     disclosure    and    reporting                                                                   
     requirements,  campaign contribution limits,  provisions                                                                   
     related   to   contributions    after   elections,   and                                                                   
     provisions  related  to unused  campaign  contributions;                                                                   
     providing for expedited consideration  of, and modifying                                                                   
     procedures   for   determining,  violations   of   state                                                                   
     election campaign laws; amending  the time period within                                                                   
     which  to   file  an   administrative  complaint   of  a                                                                   
     violation of state election  campaign laws; amending the                                                                   
     definitions  of 'express  communication' and  'political                                                                   
     party'  for  state  election   campaigns;  amending  the                                                                   
     registration fee for lobbyists;  providing for increased                                                                   
     use  of electronic  filing  for  reports  to the  Alaska                                                                   
     Public  Offices  Commission;   adding  a  definition  of                                                                   
     'commission'  in   the  regulation  of   lobbying  laws;                                                                   
     amending   the  requirements   for   the  reporting   of                                                                   
     financial  interests  by   public  officials;  adding  a                                                                   
     definition  of  'domestic  partner' in  the  legislative                                                                   
     ethics  code  and  in  the   public  official  financial                                                                   
     disclosure  requirements; allowing classified  employees                                                                   
     to take  an active part  in political party  management;                                                                   
     and making conforming amendments."                                                                                         
                                                                                                                                
BROOK  MILES,   EXECUTIVE  DIRECTOR,  ALASKA   PUBLIC  OFFICE                                                                   
COMMISSION (APOC), testified via  teleconference and provided                                                                   
information on  the bill. The  bill provides important  tools                                                                   
for  the  Commission  in  obtaining  its  mission  to  ensure                                                                   
accountability   of   candidates,   public   officials,   and                                                                   
lobbyists  to  the  public.  The   legislation  provides  the                                                                   
foundation for  mandatory electronic  filings under  all four                                                                   
laws  administered by  the Commission.  Section 17,  codifies                                                                   
the way  the Commission processes  complaints. Under  the new                                                                   
procedures,  most   complaints,  should  reach   their  final                                                                   
disposition  no more  than  90 days  after  the complaint  is                                                                   
filed.   An expedited complaint  process would  be initiated.                                                                   
Verified  complaints   could  endanger  the  results   of  an                                                                   
election.  The bill gives the  Commission authority for cease                                                                   
and  desist  orders  and  allows   the  Commission  to  issue                                                                   
advisory  opinions (a  process the  Commission has  practiced                                                                   
since the  mid 1980's). The  Commission's authority  to issue                                                                   
advisory opinions  has been in  question. This  tool provides                                                                   
requestors   clarification   and   allows   them   to   avoid                                                                   
complaints. The  legislation increases limits  under campaign                                                                   
disclosure, changes  reporting under campaign  disclosure and                                                                   
increases  the   reporting  threshold  under   the  financial                                                                   
disclosure   law.   Under  the   changes,   individuals   may                                                                   
contribute  up to $1,000  to candidates  or political  action                                                                   
committees and up to $10,000 to a political party.                                                                              
                                                                                                                                
TAPE HFC 03 - 99, Side B                                                                                                      
                                                                                                                                
Ms.  Miles  added  that  the   bill  changes  the  method  of                                                                   
reporting.   She  discussed  current reporting  methods,  and                                                                   
indicating   that  the   original   intent   was  for   total                                                                   
disclosure. Under  the current SFIN version,  campaigns would                                                                   
report the aggregate figure for  those contributors that give                                                                   
less  than  $100  dollars. She  observed  that  the  original                                                                   
proposal  was  for full  disclosure,  with  all  contributors                                                                   
identified  by  their  names  and  addresses  (regardless  of                                                                   
amount), unless the contribution  was the result of an exempt                                                                   
fund  raising  activity.    Names   and  addresses  would  be                                                                   
reported  for   contributions  over  $100  but   under  $250.                                                                   
Contributions  of over  $250 would require  a detail  report:                                                                   
name,  address,  occupation  and  employer.  The  amount  for                                                                   
exempt campaigns  would change  from $2,500 to  $5,000; fewer                                                                   
people would be required to disclose  at the municipal level.                                                                   
The  requirement for  candidates  to file  10-days after  the                                                                   
election  was  deleted.  The reporting  period  for  year-end                                                                   
disclosure was  expanded.  Candidate filings  on February 15,                                                                   
the  year after  the  election,  would include  all  campaign                                                                   
costs.  Under the  current provisions  the  public must  wait                                                                   
another calendar year for this information.                                                                                     
                                                                                                                                
Ms.   Miles   noted   that  the   legislation   removes   the                                                                   
restriction, which prevents candidates  that are unopposed on                                                                   
the general  election  from raising money  45-days after  the                                                                   
primary election.  These candidates would be  allowed, as all                                                                   
other  candidates, to  raise funds  until  45-days after  the                                                                   
general  election   ballot.  She   noted  that  the   current                                                                   
provision  proved  unworkable.  She  noted  that  Section  18                                                                   
redefined express  communication, enabling issue  advocacy to                                                                   
be dealt with differently. Issue  advocacy that is clearly to                                                                   
support  or  oppose  a  candidate would  be  subject  to  the                                                                   
campaign disclosure  law and would  be an important  tool for                                                                   
the Commission.   She added  that lobbyist registration  fees                                                                   
had been  increased from  $100 to $250  per client  per year.                                                                   
This is the  first increase since they were  enacted in 1990.                                                                   
The reporting threshold for legislators  and public officials                                                                   
to  disclose sources  of  income was  raised  from $1,000  to                                                                   
$10,000.   Disclosing  stock   holdings  is  streamlined   by                                                                   
exempting stock interest  of less than $10,000  per public or                                                                   
trading company.                                                                                                                
                                                                                                                                
ROGER  SHANNON,  KENAI,  testified   via  teleconference  and                                                                   
emphasized the public importance  of APOC.  He suggested that                                                                   
the APOC should receive proper funding.                                                                                         
                                                                                                                                
AUDREE MCCLOUD, testified via  teleconference against raising                                                                   
the  contribution limit.  She  maintained  that the  increase                                                                   
would limit  competition  and bar entry,  and questioned  the                                                                   
need for the increase.                                                                                                          
                                                                                                                                
Co-Chair Williams concluded public testimony.                                                                                   
                                                                                                                                
CSSB 119 (FIN) HELD in Committee for further consideration.                                                                     

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