Legislature(2017 - 2018)BARNES 124

03/05/2018 03:15 PM LABOR & COMMERCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 309 REJECT OFFICERS COMP. COMMISSION REPORT TELECONFERENCED
Heard & Held
-- Public Testimony --
+= HB 277 BROADBAND INTERNET: NEUTRALITY/REGULATION TELECONFERENCED
Moved HB 277 Out of Committee
-- Public Testimony --
*+ HB 353 MARITAL & FAMILY THERAPY LIC. & SERVICES TELECONFERENCED
Heard & Held
-- Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
          HB 309-REJECT OFFICERS COMP. COMMISSION REPORT                                                                    
                                                                                                                                
4:44:32 PM                                                                                                                    
                                                                                                                                
VICE-CHAIR WOOL announced  that the next order  of business would                                                               
be HOUSE BILL  NO. 309, "An Act  disapproving all recommendations                                                               
of  the State  Officers Compensation  Commission relating  to the                                                               
compensation,  benefits, and  allowances of  state officers;  and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
4:45:03 PM                                                                                                                    
                                                                                                                                
ALLIANA  SALANGUIT,   Staff,  Representative   David  Guttenberg,                                                               
Alaska  State  Legislature,  introduced   HB  309  on  behalf  of                                                               
Representative   Guttenberg,   prime   sponsor.      She   stated                                                               
Representative Guttenberg had introduced  the proposed bill as he                                                               
was  concerned  with   the  process  leading  up   to  the  final                                                               
recommendations  made   by  the  state's   officers  compensation                                                               
commission. She  said he believes  the commission was  enacted to                                                               
depoliticize  legislators'  salaries  and that  he  believes  the                                                               
recommendations  failed to  meet the  obligation to  recommend an                                                               
equitable rate for legislators.                                                                                                 
                                                                                                                                
4:46:03 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  BIRCH asked  whether the  only issue  is the  per                                                               
diem for Juneau legislators.                                                                                                    
                                                                                                                                
MS.  SALANGUIT said  Representative Guttenberg's  concern is  the                                                               
process leading up  to that recommendation but  that the proposed                                                               
bill would  affect legislators working  within 50 miles  of their                                                               
residence.                                                                                                                      
                                                                                                                                
REPRESENTATIVE BIRCH  restated his  question that the  only issue                                                               
at play  is that  anyone within  50 miles  would not  receive per                                                               
diem.                                                                                                                           
                                                                                                                                
MS. SALANGUIT  said that was  a result  of the findings  but that                                                               
Representative  Guttenberg was  primarily  concerned that  "there                                                               
wasn't  enough  data,  facts,  and   figures"  and  that  it  was                                                               
political.                                                                                                                      
                                                                                                                                
4:47:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KNOPP  commented  that  he also  felt  the  first                                                               
ruling was  completely arbitrary.   He added that he  thought the                                                               
second go-around  was not arbitrary  and asked why that  was also                                                               
considered arbitrary.                                                                                                           
                                                                                                                                
MS. SALANGUIT referenced the January  17 [2018] meeting and urged                                                               
Representative Knopp to listen to the proceedings.                                                                              
                                                                                                                                
4:48:45 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JOSEPHSON moved  to adopt  CS for  HB 309  as the                                                               
working document.                                                                                                               
                                                                                                                                
VICE-CHAIR WOOL objected for the purpose of discussion.                                                                         
                                                                                                                                
4:49:10 PM                                                                                                                    
                                                                                                                                
CHAIR KITO stated  he would give a  brief PowerPoint presentation                                                               
[included in  committee packet].   He underlined it  was entirely                                                               
his  work and  not  the work  of  the committee  or  of the  bill                                                               
sponsor.                                                                                                                        
                                                                                                                                
CHAIR KITO  presented a  series of slides  on "ASOCC  History" on                                                               
slides  1-6.   He  began  by  addressing slide  1,  "Compensation                                                               
Methods."  The  slide shows a map of the  United States with each                                                               
state's compensation method indicated with a color key.                                                                         
                                                                                                                                
4:50:53 PM                                                                                                                    
                                                                                                                                
CHAIR KITO moved to slide 2, "ASOCC History":                                                                                   
                                                                                                                                
     Alaska Officers Compensation Commission                                                                                    
          Authorized under AS 39.                                                                                               
        Passed as House Bill 417 during the 25th Alaska                                                                         
          Legislature (2008).                                                                                                   
          2009 was the first issued report.                                                                                     
                                                                                                                                
4:51:19 PM                                                                                                                    
                                                                                                                                
CHAIR KITO addressed slide 3:                                                                                                   
                                                                                                                                
     2009 Report Recommended:                                                                                                   
          Legislator Salary of $50,400                                                                                          
         An additional $500 for President of the Senate                                                                         
          and Speaker of the House                                                                                              
        Per Diem, Office Expenses and Moving Expenses to                                                                        
          be set by Legislative Council                                                                                         
                                                                                                                                
4:51:31 PM                                                                                                                    
                                                                                                                                
CHAIR KITO continued to slide 4:                                                                                                
                                                                                                                                
          2011 Recommended an increase to salaries of                                                                           
          Governor ($125k to $145k)and Lt. Governor ($100k                                                                      
          to $115k). Recommendation was not rejected.                                                                           
          2014 Recommended an increase to salaries for                                                                          
          Governor, Lt. Governor and Department Heads.                                                                          
          Recommendation was rejected by Legislature and                                                                        
          Governor.                                                                                                             
                                                                                                                                
CHAIR KITO spoke to slide 5:                                                                                                    
                                                                                                                                
           ASOCC recommended salary increases for the                                                                           
          Governor and Lt. Governor on two occasions and                                                                        
          for department heads on one occasion,                                                                                 
            2017 was the first recommended change to                                                                            
          legislative compensation since 2009, and that                                                                         
          recommendation was to decrease Juneau legislators                                                                     
          compensation.                                                                                                         
                                                                                                                                
4:53:09 PM                                                                                                                    
                                                                                                                                
VICE-CHAIR  WOOL commented  that  legislative council  recommends                                                               
per diem, but the commission  chose to reduce the Juneau, Alaska,                                                               
legislators' compensation.                                                                                                      
                                                                                                                                
CHAIR KITO  added that in  2009 the compensation  commission said                                                               
that it would not  address per diem and that it  should be in the                                                               
remit of Legislative Council.                                                                                                   
                                                                                                                                
4:54:00 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE BIRCH remarked  that Chair Kito had  used the term                                                               
"compensation" as  it relates  to per diem.  He asked  whether he                                                               
considered per diem as part of the compensation.                                                                                
                                                                                                                                
CHAIR KITO said he would address the issue further along.                                                                       
                                                                                                                                
4:54:44 PM                                                                                                                    
                                                                                                                                
CHAIR KITO moved on to slide 6:                                                                                                 
                                                                                                                                
            In 10 years of existence, the ASOCC has failed                                                                      
           to engage in a periodic review of legislative                                                                        
           compensation,  however,  has   on  two  occasions                                                                    
           recommended increases to executive compensation.                                                                     
                                                                                                                                
CHAIR  KITO spoke  to the  slides on  equitable compensation.  He                                                               
began with slide 8, "Current Compensation":                                                                                     
                                                                                                                                
           Base Salary $50,400                                                                                                  
           Per diem based on federal short-term rate                                                                            
           Relocation expenses provided                                                                                         
           Travel per diem provided                                                                                             
           Non-Juneau Base = $75,150                                                                                            
           Juneau Base = $68,692.5                                                                                              
           Total All Legislators Base = $4.49 Million                                                                           
                                                                                                                                
4:56:30 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SULLIVAN-LEONARD  shared her  understanding  that                                                               
per diem is calculated by the  [U.S.} Department of Defense.  She                                                               
asked about the process.                                                                                                        
                                                                                                                                
CHAIR  KITO answered  that  per diem  is  adopted by  Legislative                                                               
Council, but  since the original determination,  there is nothing                                                               
in  the record  that explains  why the  type of  per diem  or the                                                               
adjustment for Juneau legislators was adopted.                                                                                  
                                                                                                                                
REPRESENTATIVE  SULLIVAN-LEONARD  asked whether  the  Legislative                                                               
Council had looked at per diem on a yearly basis.                                                                               
                                                                                                                                
CHAIR KITO  answered that the  discussion had come up  during his                                                               
time on Legislative Council in April [2017].                                                                                    
                                                                                                                                
4:59:12 PM                                                                                                                    
                                                                                                                                
VICE-CHAIR  WOOL asked  for  confirmation  that the  Juneau-based                                                               
legislators  are getting  75 percent  of  the federal  short-term                                                               
rate, but Juneau legislators pay tax on it as income.                                                                           
                                                                                                                                
CHAIR KITO answered  that it is correct that per  diem is counted                                                               
as taxable income for Juneau legislators.                                                                                       
                                                                                                                                
4:59:56 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  BIRCH  offered  the observation  that  Anchorage,                                                               
Alaska, or  over half  of legislators would  receive no  per diem                                                               
for a local special session so it would be considerable savings.                                                                
                                                                                                                                
CHAIR  KITO  answered that  it  had  been  calculated out  for  a                                                               
special   session,   and   the   Anchorage   peridium   rate   is                                                               
significantly higher than the rate  for Juneau, Alaska, meaning a                                                               
special session in Anchorage, Alaska, would cost much more.                                                                     
                                                                                                                                
5:01:20 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KNOPP answered  Representative Sullivan-Leonard's                                                               
question  saying that  the Department  of Defense  does calculate                                                               
per diem.                                                                                                                       
                                                                                                                                
5:02:11 PM                                                                                                                    
                                                                                                                                
VICE-CHAIR WOOL held over HB 309.                                                                                               

Document Name Date/Time Subjects
HB353 Letters of Support 2.21.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 353
HB353 Supporting Document - Arctic Mental Health Working Group - Alaska's Mental Health Needs.pdf HL&C 3/5/2018 3:15:00 PM
HB 353
HB353 Sectional Analysis 2.21.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 353
HB353 Sponsor Statement 2.21.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 353
HB353 version A 2.21.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 353
HB353 Fiscal Note DCCED CBPL 3.2.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 353
HB353 Fiscal Note DHSS BHMS 3.2.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 353
HB353 HLAC PowerPoint 3.3.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 353
HB277 Opposition Documents 2.13.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 277
HB277 Supporting Document-Fast Facts for Conservatives on Net Neutrality 2.12.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 277
HB277 Letters of Support 2.28.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 277
HB309 CS Presentation.pdf HL&C 3/5/2018 3:15:00 PM
HB 309
HB309 CS Support Letter SK to HLAC.pdf HL&C 3/5/2018 3:15:00 PM
HB 309
HB309 CS Exhibit D1 Ver J.PDF HL&C 3/5/2018 3:15:00 PM
HB 309
HB309 Sponsor Statement 2.2.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 309
HB309 Supporting Document- Bruce Botehlo Letter to SOCC 2.2.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 309
HB309 Ver A 2.2.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 309
HB309 CS A Exhibits.pdf HL&C 3/5/2018 3:15:00 PM
HB 309
HB309 CS B Exhibits.pdf HL&C 3/5/2018 3:15:00 PM
HB 309
HB309 CS C Exhibits.pdf HL&C 3/5/2018 3:15:00 PM
HB 309
HB309 Fiscal Note LEG 3.5.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 309
HB277 Opposition Letters 3.5.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 277
HB309 Legal Memo 3.16.18.pdf HL&C 3/5/2018 3:15:00 PM
HB 309