Legislature(2013 - 2014)HOUSE FINANCE 519

03/25/2014 07:00 PM House FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 210 STUDENT RESTRAINT, SECLUSION, PSYC DRUGS TELECONFERENCED
Moved CSHB 210(FIN) Out of Committee
+= HCR 15 TASK FORCE ON UNMANNED AIRCRAFT SYSTEMS TELECONFERENCED
Moved CSHCR 15(FIN) Out of Committee
+= HJR 18 CONST. AM: ELECTED ATTORNEY GENERAL TELECONFERENCED
Moved CSHJR 18(FIN) Out of Committee
HOUSE JOINT RESOLUTION NO. 18                                                                                                 
                                                                                                                                
     Proposing amendments to the Constitution of the State                                                                      
     of Alaska relating to the office of attorney general.                                                                      
                                                                                                                                
7:05:01 PM                                                                                                                    
                                                                                                                                
Co-Chair Stoltze discussed the meeting agenda.                                                                                  
                                                                                                                                
Representative   Costello  MOVED   to  ADOPT   the  proposed                                                                    
committee  substitute for  HJR  18,  Work Draft  28-LS1216\N                                                                    
(Bullard, 3/19/14).                                                                                                             
                                                                                                                                
Co-Chair Stoltze OBJECTED for discussion.                                                                                       
                                                                                                                                
DANIEL   GEORGE,   STAFF,   REPRESENTATIVE   BILL   STOLTZE,                                                                    
explained the  changes in  the CS. Page  1, line  16 through                                                                    
page 2, line  1 added the following  sentence: "the attorney                                                                    
general  shall  be  a  citizen   of  the  United  States,  a                                                                    
qualified voter  of the  State, and  a resident  of Alaska."                                                                    
The  language  "to meet  the  qualifications  of a  superior                                                                    
court  judge" had  been removed  from  page 2,  line 2;  the                                                                    
sentence had  been changed  to the  following: "A  person is                                                                    
not eligible to serve as  attorney general unless the person                                                                    
is an active member of  the organized state bar." Subsection                                                                    
(c) had  been added to the  bill on page 2,  lines 9 through                                                                    
19.  He  detailed  that the  subsection  included  the  same                                                                    
election procedures for filling a  vacancy in the U.S. House                                                                    
and Senate.                                                                                                                     
                                                                                                                                
7:06:36 PM                                                                                                                    
                                                                                                                                
Co-Chair  Stoltze noted  that  the  subsection pertained  to                                                                    
special elections  and included identical language  that had                                                                    
been approved by voters in 2004.                                                                                                
                                                                                                                                
Co-Chair  Stoltze WITHDREW  his  OBJECTION.  There being  NO                                                                    
further OBJECTION, Workdraft 28-LS1216\N was ADOPTED.                                                                           
                                                                                                                                
Representative  Holmes wondered  if  it  was appropriate  to                                                                    
insert  the language  "in good  standing" following  the new                                                                    
sentence  "A person  is not  eligible to  serve as  attorney                                                                    
general  unless  the  person  is an  active  member  of  the                                                                    
organized state bar" (page 2, lines 1 through 3).                                                                               
                                                                                                                                
Co-Chair Stoltze discussed that  the intent was to determine                                                                    
if  there was  support  to  address the  bill  on the  House                                                                    
floor.                                                                                                                          
                                                                                                                                
Representative  Gara  noted   that  currently  the  attorney                                                                    
general (AG)  represented the  governor and  state agencies.                                                                    
He understood  the intent was  to have the AG  represent the                                                                    
people of Alaska.  He wondered if another  attorney would be                                                                    
appointed to represent the governor and agencies.                                                                               
                                                                                                                                
Co-Chair  Stoltze  noted  that  it  was  a  possibility.  He                                                                    
determined  that there  may be  an  AG and  governor with  a                                                                    
concomitance of opinion. However,  he believed it was likely                                                                    
that the  governor may want  his/her own attorney.  He noted                                                                    
that the U.S.  president had at least  one special attorney.                                                                    
He  surmised  that  the governor  had  sufficient  funds  to                                                                    
figure out a solution.                                                                                                          
                                                                                                                                
Representative Gara  wondered whether  the elected  AG would                                                                    
represent state agencies. He  supposed the legislature would                                                                    
determine  funding  for  the   AG's  staff.  He  pointed  to                                                                    
situations where the AG and  legislature were of a different                                                                    
political persuasion.                                                                                                           
                                                                                                                                
Co-Chair  Stoltze   answered  that  the   legislature  would                                                                    
determine  funding  for the  AG's  staff  much like  it  did                                                                    
currently. He believed the AG  would work for the people and                                                                    
would have  the same interest  for state agencies.  He could                                                                    
not predict  whether conflicts may emerge.  He remarked that                                                                    
there  would be  independence.  He opined  that there  would                                                                    
always be politics in any  appointed or elected position. He                                                                    
added that the change would be "new ground."                                                                                    
                                                                                                                                
7:10:35 PM                                                                                                                    
                                                                                                                                
Representative  Holmes noted  that many  states had  elected                                                                    
AGs. She  wondered how other  states handled the  issue. She                                                                    
believed  approximately half  the states  had an  elected AG                                                                    
versus an appointed AG.                                                                                                         
                                                                                                                                
Co-Chair Stoltze clarified that  43 states had elected AG's.                                                                    
Currently Alaska,  New Jersey, and several  other states had                                                                    
governor appointed AG's.                                                                                                        
                                                                                                                                
DARRELL   BREESE,   STAFF,  REPRESENTATIVE   BILL   STOLTZE,                                                                    
responded to  Representative Gara's questions.  He explained                                                                    
that AG duties were listed  in statute and could be adjusted                                                                    
by  the legislature  at any  time. He  detailed that  if the                                                                    
constitutional amendment  became law, the  legislature could                                                                    
change the AG duties with future legislation.                                                                                   
                                                                                                                                
Co-Chair  Stoltze added  that the  AG would  still take  the                                                                    
same constitutional oath.                                                                                                       
                                                                                                                                
Mr. Breese  replied to Representative Holmes's  question and                                                                    
relayed that 43 states had  elected AG's. He elaborated that                                                                    
some  states  had a  general  counsel  position that  solely                                                                    
represented   the   governor   and  state   agencies   (e.g.                                                                    
Pennsylvania  and   Virginia);  the   AG  in   these  states                                                                    
represented the people and  the legislative body. Structures                                                                    
varied widely  by state. For  example, in New Mexico  it was                                                                    
up to the governor to hire special representation.                                                                              
                                                                                                                                
Representative  Wilson spoke  in  support of  the bill.  She                                                                    
believed  the   change  would  make  the   AG  the  people's                                                                    
attorney. She  stated that  currently the  public had  to go                                                                    
through a legislator's office or the governor.                                                                                  
                                                                                                                                
Co-Chair  Stoltze remarked  that  the  bill represented  one                                                                    
step. He stressed that the  constitutional amendment was not                                                                    
about a specific AG or  governor; it represented a permanent                                                                    
systemic change.                                                                                                                
                                                                                                                                
Representative Wilson commented that  the majority of people                                                                    
thought the AG was a representative of the people.                                                                              
                                                                                                                                
Co-Chair Stoltze  stated that the  issue was about  what was                                                                    
best for Alaska.                                                                                                                
                                                                                                                                
7:14:25 PM                                                                                                                    
                                                                                                                                
Representative  Costello   asked  if  AG   candidates  would                                                                    
campaign,  receive  contributions,   file  with  the  Alaska                                                                    
Public  Offices Commission,  and  follow the  same rules  as                                                                    
legislative candidates.                                                                                                         
                                                                                                                                
Co-Chair  Stoltze replied  in  the  affirmative. He  relayed                                                                    
that  the AG  would be  elected in  the same  manner as  the                                                                    
other  two   constitutional  officers  (i.e.   governor  and                                                                    
lieutenant  governor).   There  could  be   other  statutory                                                                    
changes related to the AG.                                                                                                      
                                                                                                                                
Representative  Costello   asked  if  there  would   be  any                                                                    
conflict  of  interest  related  to  individuals  trying  to                                                                    
influence  the  actions  of  the   AG  by  way  of  monetary                                                                    
contributions in an election.                                                                                                   
                                                                                                                                
Co-Chair  Stoltze  surmised  that   it  would  be  the  same                                                                    
morality  as having  a  governor who  would  deliver the  AG                                                                    
vote.  He  believed the  state  had  been fortunate  in  its                                                                    
political process yielding honorable  people. There had been                                                                    
some "black spots"  on the way, but he  believed the average                                                                    
person did  not seek to get  wealthy in the office  and most                                                                    
were not successful at it.                                                                                                      
                                                                                                                                
Representative Costello  could foresee  a different  type of                                                                    
individual   wanting   to   fill   the   position   if   the                                                                    
constitutional amendment  passed. The individual  would need                                                                    
to self-select and  run for office. She  believed the change                                                                    
would be significant; currently  the governor and lieutenant                                                                    
governor   positions   were   the  two   positions   elected                                                                    
statewide. She  wondered how  many AGs  ran for  governor in                                                                    
states with elected AGs.                                                                                                        
                                                                                                                                
Co-Chair  Stoltze   commented  that  some   people  jokingly                                                                    
referred to  the National  Association of  Attorneys General                                                                    
as the National Association of Aspiring Governors.                                                                              
                                                                                                                                
Mr. Breese answered that the  University of Virginia, Center                                                                    
of Politics had  done a study in 2010 looking  back over the                                                                    
prior 25  years. During the  period of  study 28 of  the 250                                                                    
AGs  had  become  governors   (11  percent);  whereas,  22.4                                                                    
percent  of  the  lieutenant   governors  had  succeeded  in                                                                    
running for governor.                                                                                                           
                                                                                                                                
Representative  Costello  appreciated the  information,  but                                                                    
noted that  it was not indicative  of the number of  AGs who                                                                    
had actually run for governor.                                                                                                  
                                                                                                                                
Representative  Munoz referred  to  information on  Alaska's                                                                    
constitutional  convention  included   in  member's  packets                                                                    
(copy  on   file).  She   asked  about   the  constitutional                                                                    
convention debate that had centered on the issue.                                                                               
                                                                                                                                
Mr. Breese replied that the  debate had been whether to have                                                                    
a strong  executive. The executive committee  had considered                                                                    
an  amendment  that  would  have  made  the  AG  an  elected                                                                    
position, but  it had not  received adequate votes  from the                                                                    
convention  as a  whole. The  executive  committee had  been                                                                    
under the impression that they  wanted a strong executive in                                                                    
leadership. He  noted that  prior to  the convention  all of                                                                    
the  AGs from  the territorial  government had  been elected                                                                    
positions. He  continued that territorial Senator  Bill Egan                                                                    
had  wanted a  strong  executive with  the  exception of  an                                                                    
elected AG;  he did not  want the  state to have  a governor                                                                    
that ran amuck.                                                                                                                 
                                                                                                                                
Co-Chair  Stoltze added  that  the  information [related  to                                                                    
Senator Bill Egan]  had been included in a  November 7, 1955                                                                    
article.                                                                                                                        
                                                                                                                                
7:19:28 PM                                                                                                                    
                                                                                                                                
Representative  Munoz  asked if  making  the  AG an  elected                                                                    
position weakened the governor's office.                                                                                        
                                                                                                                                
Co-Chair Stoltze  asked whether it weakened  the governor or                                                                    
strengthened  the  people.  He  believed  the  change  would                                                                    
strengthen  the  public's  confidence  in  the  process.  He                                                                    
surmised  that the  office would  be weakened  in the  sense                                                                    
that  the  governor would  no  longer  have the  ability  to                                                                    
direct  the AG  to make  an  executive act.  He stated  that                                                                    
unlike a regulatory  ruling, the AG's opinion  had the force                                                                    
of law.  The AG would  have power  to set aside  statutes on                                                                    
behalf  of  the people  of  Alaska  if  she/he felt  it  was                                                                    
appropriate. He  believed the people would  be fortified. He                                                                    
recalled visiting with  constitutional delegate Yule Kilcher                                                                    
in  the past.  He noted  that there  had been  a strong  Bar                                                                    
Association  presence at  the constitutional  convention. He                                                                    
relayed that prior  to statehood Alaska had  elected AGs. At                                                                    
the time  of the convention Attorneys  had communicated that                                                                    
hardly anyone  ran for  the AG seat  because there  were not                                                                    
enough lawyers in Alaska; the  average AG tenure had been 10                                                                    
or 11  years. The delegation  had thought that  an appointed                                                                    
AG would  be more stable. He  hoped to move the  bill out of                                                                    
committee, but  understood if members  voted against  it. He                                                                    
noted that it may not make it to a floor vote.                                                                                  
                                                                                                                                
7:22:43 PM                                                                                                                    
                                                                                                                                
Vice-Chair Neuman wondered when  the committee would vote on                                                                    
the bill.                                                                                                                       
                                                                                                                                
Co-Chair Stoltze  believed the  dialogue was  important. The                                                                    
only immediate  financial ramification  was a  $1,500 fiscal                                                                    
note related  to the  cost of  printing [the  information on                                                                    
the Division of Elections ballot].                                                                                              
                                                                                                                                
Representative Gara  would not object to  reporting the bill                                                                    
out. He  spoke to merits on  both sides of the  issue. First                                                                    
he spoke  to a  potential benefit of  the amendment.  He had                                                                    
worked under two former AGs  including Charlie Cole and Doug                                                                    
Bailey;   neither   of   the   individuals   had   political                                                                    
aspirations  and  he  believed  they had  run  their  office                                                                    
professionally. He  stated that historically there  had been                                                                    
pressure  in the  AG's  office to  issue  opinions that  the                                                                    
governor wanted.  The general view  had taken hold  that the                                                                    
AG was the governor's  attorney; under the current structure                                                                    
there would  always be a  question about the  objectivity of                                                                    
an  AG opinion.  Second he  spoke to  concerns: he  wondered                                                                    
which  outside   Citizens  United  interests   would  insert                                                                    
themselves in  the state's  AG races.  He spoke  against the                                                                    
Citizens United  opinion and believed  it had been a  pox on                                                                    
the  country's  elections.  Additionally,  he  believed  the                                                                    
governor  would   want  his/her  own  attorney   and  staff;                                                                    
therefore,  at  some point  there  would  be a  fiscal  note                                                                    
reflecting the salaries of a  modest number of attorneys and                                                                    
staff. He guessed it could be $1 million to $2 million.                                                                         
                                                                                                                                
Co-Chair  Stoltze believed  the  responsibility  was on  his                                                                    
side to  convince the whole  body collectively. He  asked if                                                                    
there were any amendments.                                                                                                      
                                                                                                                                
Representative   Costello   discussed   the   fiscal   notes                                                                    
including one  zero fiscal note from  the Alaska Legislature                                                                    
and one fiscal  impact note from the Office  of the Governor                                                                    
totaling $1,500  in FY 15 and  zero impact in FY  16 through                                                                    
FY 20.                                                                                                                          
                                                                                                                                
Co-Chair Stoltze noted  that the $1,500 was for  the cost of                                                                    
printing  the  information  on  the  Division  of  Elections                                                                    
ballot.                                                                                                                         
                                                                                                                                
Vice-Chair  Neuman  MOVED to  REPORT  CSHJR  18(FIN) out  of                                                                    
committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal notes.                                                                                                      
                                                                                                                                
There being NO OBJECTION, CSHJR  18(FIN) was REPORTED out of                                                                    
committee with  "no recommendation" and with  one previously                                                                    
published zero  fiscal note: FN1  (LEG); and  one previously                                                                    
published fiscal impact note: FN2 (GOV).                                                                                        
                                                                                                                                
7:27:48 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
7:30:36 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                

Document Name Date/Time Subjects
HB 210 CS WORKDRAFT FIN D version.pdf HFIN 3/25/2014 7:00:00 PM
HB 210
CS for HCR 15(FIN) - Ver C - 3.25.14.pdf HFIN 3/25/2014 7:00:00 PM
HCR 15
HCR 15 DFG Response to HFIN.pdf HFIN 3/25/2014 7:00:00 PM
HCR 15
HCR 15 Amendment -1 Gara.pdf HFIN 3/25/2014 7:00:00 PM
HCR 15