Legislature(2005 - 2006)

11/15/2006 04:24 PM House FIN


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HOUSE BILL NO. 4002                                                                                                           
                                                                                                                                
     "An Act authorizing an advisory vote on employment                                                                         
     benefits for same-sex partners of public employees; and                                                                    
     providing for an effective date."                                                                                          
                                                                                                                                
                                                                                                                                
REPRESENTATIVE  NORMAN  ROKEBERG,  SPONSOR, stated  that  the                                                                   
legislation  was brought  forward to bring  public debate  on                                                                   
the  issue of  same sex  benefits.  He pointed  out that  the                                                                   
purpose  of  the  bill was  to  reassert  the  constitutional                                                                   
authority of the  legislature as the voice of  the people. He                                                                   
felt that the  Judiciary had overstepped its  bounds in areas                                                                   
that speak  to public policy.  He observed that  the previous                                                                   
Legislature was  involved in issues regarding  changes to the                                                                   
oil tax structure, a gas pipeline  proposal and other weighty                                                                   
issues. He  did not  think the  previous Legislature  had the                                                                   
three-fourth votes to put forward  a constitutional amendment                                                                   
pertaining  to the  issue  of same  sex  benefits before  the                                                                   
people.  The legislation  would require  an advisory  vote of                                                                   
the people to have the public  discussion; thereby, providing                                                                   
a  clear understanding  of  the  people's desire.  A  special                                                                   
                                          rd                                                                                    
advisory election  would occur on  April 3,  2007,  which was                                                                   
selected  as the  municipal  election date  for  many of  the                                                                   
larger municipalities  including Anchorage  in an  attempt to                                                                   
save  the State  money  in putting  on  another election.  He                                                                   
thought the  April 3, 2007  date would allow  the Legislature                                                                   
time to discuss  the issue and act. He maintained  that there                                                                   
deserves to be  public discussion and the issue  needed to be                                                                   
resolved. He  acknowledged changing attitudes in  the country                                                                   
regarding  the issue and  questioned if  Alaska was  ready to                                                                   
follow this  trend or  maintain the constitutionally  adopted                                                                   
definition  of marriage. He  noted that  he was the  original                                                                   
sponsor,   in  1996,   of  legislation   pertaining  to   the                                                                   
definition of marriage. He pointed  out that the ACLU lawsuit                                                                   
did not  have a brief relating  to the legislation  passed in                                                                   
1996. AS 18.80.220 (c) provides:                                                                                                
     Notwithstanding the prohibition against employment                                                                         
     discrimination on the basis of marital status or                                                                           
     parenthood under (a) of this section,                                                                                      
                                                                                                                                
        (1) an employer may, without violating this                                                                             
     chapter, provide greater health and retirement benefits                                                                    
     to employees who have a spouse or dependent children                                                                       
     than are provided to other employees.                                                                                      
Representative  Rokeberg maintained  that the  Office of  the                                                                   
Attorney General  has failed the  people of Alaska  "in terms                                                                   
of pursuing these types of cases  and, therefore, it is up to                                                                   
the legislature  to assert"  its own  power and authority  to                                                                   
take back  from the  judiciary its right  to make  policy for                                                                   
the state. He referred to the ballot proposition on page 2:                                                                     
                                                                                                                                
     Shall  the legislature  adopt  a proposed  amendment  to                                                                   
     the state  constitution to  be considered by  the voters                                                                   
     at  the 2008 general  election that  would prohibit  the                                                                   
     state,  or a municipality  or other  subdivision  of the                                                                   
     state,  from providing employment  benefits to  same-sex                                                                   
     partners  of public employees  and to same-sex  partners                                                                   
     of public employee retirees?                                                                                               
                                                                                                                                
6:14:01 PM                                                                                                                    
                                                                                                                                
Representative  Rokeberg  questioned   if  discussion  should                                                                   
occur  regarding prohibiting  the University  of Alaska  from                                                                   
providing benefits or if Municipalities  should be allowed an                                                                   
optional selection. He noted that  the 1996 legislation was a                                                                   
result of  the Tumeo  versus the  University of Alaska  case.                                                                   
The  Tumeo   case  gave  rise   to  the  first  set   of  the                                                                   
University's regulations and eligibility  requirements, which                                                                   
were promulgated by the University  and ratified by the Court                                                                   
as a result of  court action, not by the people  of the state                                                                   
of  Alaska.  He  maintained  that   the  same  situation  has                                                                   
occurred,  eleven years  later. The "judges  are driving  and                                                                   
the people of Alaska are not being listened too".                                                                               
                                                                                                                                
6:15:28 PM                                                                                                                    
                                                                                                                                
Representative Stoltze suggested  the date to allow the issue                                                                   
to  be tagged  on to  municipal elections.  He observed  that                                                                   
Anchorage's   Superintendent   Comeau  had   approached   the                                                                   
Division  of   Election  about  "tagging"   municipal  school                                                                   
district  issues  during  state  elections on  at  least  two                                                                   
occasions,  "given  that  it  is  about  40  percent  of  the                                                                   
population."  He maintained that  striving to increase  voter                                                                   
turnout is a  good public policy motivation for  the date. He                                                                   
noted  that  the  date  would  also  allow  the  Division  of                                                                   
Elections sufficient  time to  prepare. He observed  that, in                                                                   
the  past, the  Municipality of  Anchorage's school  district                                                                   
has compensated  the  state of  Alaska for  the cost [to  add                                                                   
issues on to  state elections] and felt that  the state would                                                                   
"turn about" to reimburse municipalities for those costs.                                                                       
                                                                                                                                
                                                                                                                                
Co-Chair Meyer  agreed that it  would be "legitimate"  to tag                                                                   
on to  the City  of Anchorage's  election. He questioned  the                                                                   
sponsor's   intent  regarding   an   opt-out  provision   for                                                                   
municipalities  and  the  University   that  now  allows  the                                                                   
benefits.  Representative   Rokeberg  acknowledged   that  an                                                                   
argument could be made that the  benefits achieved should not                                                                   
be  diminished.   He  observed   the  difficulty   of  making                                                                   
exceptions  to the language.  He had  not reached a  decision                                                                   
regarding an opt-out provision.                                                                                                 
                                                                                                                                
6:18:37 PM                                                                                                                    
                                                                                                                                
Representative  Stoltze  observed  that all  monetary  issues                                                                   
come  before the  Finance  Committee.  He suggested  that  it                                                                   
would be a function of the legislature  to implement the will                                                                   
of  the people,  and  would  have until  2008  to  do so.  He                                                                   
stressed that  the legislation  would accomplish the  goal of                                                                   
discovering the will of the people.  The legislation provides                                                                   
an  advisory  opinion;  an  actual  constitutional  amendment                                                                   
would have a longer process.                                                                                                    
                                                                                                                                
Representative  Rokeberg  proposed  that the  legislation  be                                                                   
amended with the addition of "substantially"  on page 1, line                                                                   
13. He suggested  that the addition of  "substantially" would                                                                   
give the legislature  the right to word-smith  the amendment.                                                                   
He  noted that  there would  be  another session  in 2008  to                                                                   
draft the ballot amendment before it is passed.                                                                                 
                                                                                                                                
6:20:59 PM                                                                                                                    
                                                                                                                                
Representative Kerttula asked  if the Supreme Court was wrong                                                                   
in their equal  protection analysis. Representative  Rokeberg                                                                   
noted that  he disagreed with  the Supreme Court's  decision.                                                                   
He felt  that legal credence  was not  given to the  voice of                                                                   
the people's  action in  adopting a  same sex prohibition  in                                                                   
terms of  the marriage  definition. He  acknowledged  that he                                                                   
was not  a legal expert. He  thought that the  privacy clause                                                                   
of the  Alaska Constitution  might give  greater credence  to                                                                   
the equal  protection argument.  He observed that  the courts                                                                   
have  never allowed  the  legislature  to amend  the  privacy                                                                   
clause,  when   in  fact  the   term  "by  law"  is   in  the                                                                   
constitutional amendment. He concluded  that without the full                                                                   
understanding  of the legal  issues, he  would tend  to agree                                                                   
with the  Court in its analysis;  however, he felt  that they                                                                   
had wronged the Legislature with  their remedy process, which                                                                   
he  felt was  the  biggest problem.  He  maintained that  the                                                                   
Court  had  reached  into  the   policy  making  process  and                                                                   
observed that the University had  eligibility criteria, which                                                                   
was established  as  a result  of the Court's  action for  10                                                                   
years. Due  to the Court's  action eligibility  criteria [for                                                                   
same sex  marriage benefits] were  drafted by  the University                                                                   
and   ratified   by   the   membership   of   the   resulting                                                                   
beneficiaries.  Now  the  Court  has  determined  that  these                                                                   
criteria,  which  have  been  in placed  for  a  decade,  are                                                                   
inadequate.  He stressed that  no credence  was given  to the                                                                   
voice of the legislature  in the past, and cut  out the voice                                                                   
of  the  people   as  represented  by  the   legislature.  He                                                                   
concluded  that  a constitutional  amendment  discussion  and                                                                   
vote was demanded for clarity.                                                                                                  
                                                                                                                                
6:24:36 PM                                                                                                                    
                                                                                                                                
Representative  Kerttula expressed  respect for the  Sponsor.                                                                   
She noted  that "once you completely  did not agree  with the                                                                   
resolution  for the  remedy. Representative  Rokeberg  agreed                                                                   
that the  issue is  complex and  that the goal  is to  find a                                                                   
common ground and  that the "clarity of the  resolution is to                                                                   
put it on the ballot" with a 2/3  rd vote of the legislature.                                                                   
                                                                                                                                
6:25:54 PM                                                                                                                    
                                                                                                                                
Representative   Kelly   worried  that   the   Court  had   a                                                                   
destination in  mind with the decision. He  expressed concern                                                                   
that "everything  can be made  to look normal by  lawyers and                                                                   
judges that have  a destination in mind." He  referred to the                                                                   
$10  million   unfunded  liability   [of  the  cost   of  the                                                                   
additional   coverage].  He   maintained  that   it  is   the                                                                   
legislature's purview  to decide whether the  benefits should                                                                   
be offered.  He asserted that  the "people spoke  clearly and                                                                   
they meant this issue to be included."  The legislation would                                                                   
allow  the  legislature  time  to deliberate  and  "give  the                                                                   
people  of Alaska  time to tell  them, once  more, what  they                                                                   
meant in 1998.                                                                                                                  
                                                                                                                                
6:29:21 PM                                                                                                                    
                                                                                                                                
WHITNEY BREWSTER,  (TESTIFIED VIA TELECONFERENCE),  DIRECTOR,                                                                   
DIVISION   OF   ELECTIONS,  JUNEAU,   addressed   the   costs                                                                   
associated  with conducting  an advisory  vote election.  She                                                                   
observed that  an advisory vote  on a long range  fiscal plan                                                                   
cost $939  thousand in 1999. She  noted that the  fiscal note                                                                   
assumed that  the election would  be conducted in  person and                                                                   
that  contractual services  would  include: ballot  printing,                                                                   
election boards,  advertising, shipping and  postage, polling                                                                   
place rental  and setup,  forms, microfilming, $100  thousand                                                                   
for the  creation and mailing  of an information  pamphlet to                                                                   
each household. She observed that  costs have increased since                                                                   
1999;  there  have  been  increases   to  shipping,  postage,                                                                   
payment to election  workers, and ballot printing.  She noted                                                                   
that there could  be cost savings if the Division  is able to                                                                   
enter  into  a   memorandum  of  agreement  (MOA)   with  the                                                                   
Municipality  of  Anchorage to  utilize  municipal  resources                                                                   
during municipal  elections. She  observed that  the Division                                                                   
has held special  elections for the Municipal  elections, and                                                                   
hoped that they would be willing to reciprocate.                                                                                
                                                                                                                                
6:32:13 PM                                                                                                                    
                                                                                                                                
Co-Chair Meyer questioned if it  were a reasonable request to                                                                   
ask the City of Anchorage to allow  the State to "piggy-back"                                                                   
on the municipal  elections. Ms. Brewster felt  that it would                                                                   
be a reasonable  request and pointed out that  the State held                                                                   
a special election for the Municipality  of Anchorage in 2004                                                                   
and noted  that the  Municipality assumed  some of  the costs                                                                   
associated with that election.                                                                                                  
                                                                                                                                
Co-Chair  Meyer   proposed  that  the  bill   be  moved  from                                                                   
Committee  with an  indeterminate fiscal  note. Ms.  Brewster                                                                   
was comfortable with that idea.                                                                                                 
                                                                                                                                
6:33:44 PM                                                                                                                    
                                                                                                                                
STEVEN  JACQUIER,  ANCHORAGE, testified  via  teleconference,                                                                   
spoke  against  the  legislation.  He  felt  the  legislation                                                                   
expressed   anti-gay  sentiment.   He  maintained   that  the                                                                   
Constitution requires equal treatment.                                                                                          
                                                                                                                                
6:37:17 PM                                                                                                                    
                                                                                                                                
In response to a question by Co-Chair  Chenault, Mr. Jacquier                                                                   
clarified that  his children  were currently covered  through                                                                   
his partner's benefit program.                                                                                                  
                                                                                                                                
6:39:11 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON,  spoke  to  the  case  of  a  Supreme                                                                   
Court's expansion  of class of  people eligible  for benefits                                                                   
under  equal protection.  He noted  that the  Alaska Cost  of                                                                   
Living  Allowance  (COLA)  gives  an  additional  10  percent                                                                   
retirement  benefit to  those residing  in Alaska. The  Court                                                                   
and  Court of  Appeals  have determined  that,  based on  the                                                                   
equal protection clause, anyone  living outside of Alaska can                                                                   
qualify for  the Alaska COLA  if they  have a cost  of living                                                                   
equal to  Anchorage. There are  two paralleled  situations in                                                                   
which  the  Courts  are  making a  decision  based  on  equal                                                                   
protection to expand  the class of people that  would receive                                                                   
benefits.  He questioned if the  advisory vote should address                                                                   
all  situations regarding  the  expansion  of benefits  under                                                                   
equal. He observed  that the Supreme Court has  not yet ruled                                                                   
on the COLA issue.                                                                                                              
                                                                                                                                
6:42:08 PM                                                                                                                    
                                                                                                                                
Representative  Rokeberg  suggested  that "and  retirees"  be                                                                   
added  to page  2,  line 5,  since  there are  two  different                                                                   
groups  that  would  be  affected.    He  observed  that  the                                                                   
Commissioner supports the change.                                                                                               
                                                                                                                                
6:43:01 PM                                                                                                                    
                                                                                                                                
Representative Hawker  MOVED to AMEND: insert  "and retirees"                                                                   
on page 2, line 5.                                                                                                              
                                                                                                                                
6:43:41 PM                                                                                                                    
                                                                                                                                
Representative  Kerttula  OBJECTED.  She indicated  that  her                                                                   
objection pertained to the entire legislation.                                                                                  
                                                                                                                                
Representative  Stoltze stressed  that the legislation  would                                                                   
not  restrict  any broad  retiree  benefits  and is  only  in                                                                   
regards to same sex benefit retirees.                                                                                           
                                                                                                                                
Representative  Kerttula  pointed out  that  it would  affect                                                                   
retirees with same sex partners.                                                                                                
                                                                                                                                
A roll call vote was taken on the motion.                                                                                       
                                                                                                                                
IN FAVOR: Stoltze,   Foster,  Hawker,  Holm,   Kelly,  Meyer,                                                                   
          Chenault                                                                                                              
OPPOSED: Kerttula                                                                                                               
                                                                                                                                
Representatives Moses,  Joule and Weyhrauch were  absent from                                                                   
the vote.                                                                                                                       
                                                                                                                                
The MOTION PASSED (7-1).                                                                                                        
                                                                                                                                
Representative Hawker MOVED to  AMEND: insert "substantially"                                                                   
on page 1, line 13 after "ballot".                                                                                              
                                                                                                                                
6:45:26 PM                                                                                                                    
                                                                                                                                
Representative Kerttula OBJECTED.  She explained that she was                                                                   
not comfortable without knowing the exact language.                                                                             
                                                                                                                                
Representative  Hawker  argued  that the  language  would  be                                                                   
crafted in the next legislature in a full and open process.                                                                     
                                                                                                                                
A roll call vote was taken on the motion.                                                                                       
                                                                                                                                
IN FAVOR: Stoltze,   Foster,  Hawker,  Holm,   Kelly,  Meyer,                                                                   
          Chenault                                                                                                              
OPPOSED: Kerttula                                                                                                               
                                                                                                                                
Representatives Moses,  Joule and Weyhrauch were  absent from                                                                   
the vote.                                                                                                                       
                                                                                                                                
The MOTION PASSED (7-1).                                                                                                        
                                                                                                                                
Vice-Chair  Meyer  observed that  the  fiscal  note would  be                                                                   
forthcoming from Division of Elections.                                                                                         
                                                                                                                                
Representative Foster MOVED to  report CSHB 4002 (FIN) out of                                                                   
Committee with the accompanying fiscal note.                                                                                    
                                                                                                                                
Representative  Kerttula OBJECTED.  She observed that  rather                                                                   
than identifying the right determination  of what makes sense                                                                   
across  the board  for Alaskans  that  the legislation  would                                                                   
prohibit  something. She  argued that  was the  wrong way  to                                                                   
approach the issue.                                                                                                             
                                                                                                                                
6:49:15 PM                                                                                                                    
                                                                                                                                
Representative   Hawker   referred   to  the   sentiment   of                                                                   
"trusting"  the  people  on  issues.  He  felt  that  it  was                                                                   
appropriate to trust  the people to guide the  legislature on                                                                   
this very controversial issue, without an empirical answer.                                                                     
                                                                                                                                
Representative  Kerttula  noted  that  she took  an  oath  to                                                                   
uphold the  Constitution and  felt that it  was clear  on the                                                                   
issue.                                                                                                                          
                                                                                                                                
6:50:36 PM                                                                                                                    
                                                                                                                                
A roll  call vote was  taken on the  motion to pass  the bill                                                                   
from Committee.                                                                                                                 
                                                                                                                                
IN FAVOR: Stoltze,   Foster,  Hawker,  Holm,   Kelly,  Meyer,                                                                   
          Chenault                                                                                                              
OPPOSED: Kerttula                                                                                                               
                                                                                                                                
Representatives Moses,  Joule and Weyhrauch were  absent from                                                                   
the vote.                                                                                                                       
                                                                                                                                
The MOTION PASSED (7-1).                                                                                                        
CSHB 4002  (FIN) was  REPORTED  out of Committee  with  a "do                                                                   
pass"  recommendation  and  with  two new  fiscal  notes:  An                                                                   
indeterminate and ADM zero.                                                                                                     

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