Legislature(2007 - 2008)CAPITOL 106

02/21/2008 08:00 AM House STATE AFFAIRS


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 54 CONSTRUCTION OF LEGISLATIVE HALL TELECONFERENCED
Heard & Held
*+ HB 261 CLEAN ELECTIONS TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 318 LOCATION OF SPECIAL SESSIONS TELECONFERENCED
Scheduled But Not Heard
HB 261-CLEAN ELECTIONS                                                                                                        
                                                                                                                                
9:47:00 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN announced that the  last order of business was SPONSOR                                                               
SUBSTITUTE  FOR  HOUSE  BILL  NO. 261,  "An  Act  establishing  a                                                               
program  of   public  funding  for  the   financing  of  election                                                               
campaigns of  candidates for state  elected offices, to  be known                                                               
as the Clean Elections Act."                                                                                                    
                                                                                                                                
9:48:11 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GABRIELLE   LeDOUX,  Alaska   State  Legislature,                                                               
offered a brief introduction commencing  the hearing on SSHB 261.                                                               
She  stated  that  money  is  often  a  corrupting  influence  in                                                               
politics, which is  the reason for the proposed  legislation.  In                                                               
response to  a question from  Chair Lynn, she confirmed  that she                                                               
is not associated with the Clean Elections Initiative.                                                                          
                                                                                                                                
9:49:16 AM                                                                                                                    
                                                                                                                                
SUZANNE HANCOCK,  Staff, Representative Gabrielle  LeDoux, Alaska                                                               
State   Legislature,   presenting   SSHB   261   on   behalf   of                                                               
Representative   LeDoux,  prime   sponsor,   stated  that   clean                                                               
elections  enhance democracy  and  affirm the  principle of  "one                                                               
person, one vote" by "reducing  the disproportionate influence of                                                               
large  contributors on  elections  and enabling  citizens of  all                                                               
backgrounds to  participate equally  in the  democratic process."                                                               
She  said  the  proposed   legislation  would  strengthen  public                                                               
confidence  in  government,  while  eliminating  the  danger  and                                                               
perception  of  corruption  cause  by the  private  financing  of                                                               
election  campaigns.     Furthermore,   it  would   increase  the                                                               
accountability of elected officials to the voting public.                                                                       
                                                                                                                                
MS.  HANCOCK  reported that  seven  states  and two  cities  have                                                               
already  incorporated  clean  election  laws.    She  said  clean                                                               
elections  benefit  incumbents  who   are  planning  to  run  for                                                               
reelection,  because their  time  is freed  to  deal with  issues                                                               
rather  than  trying to  fundraise.    She  noted that  in  2006,                                                               
candidates  for state  offices  in Alaska  and  those groups  who                                                               
supported  them raised  more  than  $17 million.    She said  the                                                               
process of fundraising  is time consuming and "it's  a lot easier                                                               
to go  to special  interest groups  who can  provide you  with an                                                               
opportunity to garner  many dollars rather than  go to individual                                                               
people for small amounts of money."   She reported that one state                                                               
with a clean  election law in place has  found that contributions                                                               
have increased  by 34 percent, and  by checking zip codes,  it is                                                               
apparent  that those  contributions  are coming  from the  poorer                                                               
members  of society  rather than  the richer  ones.   She stated,                                                               
"So, this  is an  opportunity for people  to actually  pick their                                                               
candidates,  and for  candidates  who normally  wouldn't have  an                                                               
opportunity to run to be able to pursue public office."                                                                         
                                                                                                                                
9:51:42 AM                                                                                                                    
                                                                                                                                
CHAIR  LYNN asked  the  bill  sponsor if  she  would consider  an                                                               
amendment  to change  the use  of the  term "clean  elections" to                                                               
"some other less proscriptive word."                                                                                            
                                                                                                                                
REPRESENTATIVE LeDOUX responded  that she does not  care what the                                                               
bill is called; it is the substance that matters.                                                                               
                                                                                                                                
9:53:04 AM                                                                                                                    
                                                                                                                                
TIM JUNE, Chair, Alaskans for  Clean Elections, said Alaskans for                                                               
Clean  Elections is  the sponsor  of the  Alaska Clean  Elections                                                               
Initiative.   In response to  Chair Lynn, he said  currently both                                                               
related House  and Senate  bills share the  same language  as the                                                               
initiative.     He  reported  that   33,500  signatures   on  the                                                               
initiative were recently submitted  to the Division of Elections,                                                               
of which  24,000 were  verified.  He  also said  verification was                                                               
made regarding the  minimum requirement of 34-40  districts.  Mr.                                                               
June said Alaskans for Clean  Elections conducted a poll in March                                                               
2007  that  showed that  70  percent  of Alaskans  support  clean                                                               
elections.                                                                                                                      
                                                                                                                                
MR. JUNE related  that the clean elections system  is a voluntary                                                               
system of campaign  funding, which is law in  the following seven                                                               
states:   Arizona,  Connecticut, Massachusetts,  New Jersey,  New                                                               
Mexico, North Carolina, and Vermont.   Maine and Arizona have had                                                               
a clean elections system in place  for over a decade, with 84 and                                                               
42 percent  of candidates "using clean  elections," respectively.                                                               
He stated that it is a "tried and true" system.                                                                                 
                                                                                                                                
MR. JUNE  said Alaskans  for Clean  Elections took  the following                                                               
steps  in  coming up  with  its  initiative:   wrote  22  drafts,                                                               
including  six  former  legislators in  the  drafting  committee;                                                               
worked with  legislators to  get a bi-partisan  bill in  both the                                                               
House  and  Senate  -  bills   which  have  been  vetted  through                                                               
Legislative  Legal  and  Research  Services, the  Office  of  the                                                               
Lieutenant Governor, and the Office  of the Attorney General; and                                                               
used the best  of the laws of the aforementioned  seven states to                                                               
come up with the language of the initiative.                                                                                    
                                                                                                                                
MR. JUNE  named the  following endorsers  of the  Clean Elections                                                               
Initiative:   constitutional  fathers  Victor  Fisher and  George                                                               
Rogers;  former  governors Walter  J.  Hickel  and Tony  Knowles;                                                               
leaders from five of the  six political parties; Mayors Whitaker,                                                               
Botelho,  Dapcevich, and  Shields; U.S.  Senate candidates  David                                                               
Cutty  and  Ray  Metcalf; U.S.  House  candidates  Representative                                                               
Gabrielle  LeDoux,  Ethan  Berkowitz,  Dianne  Benson,  and  Jake                                                               
Metcalf;   the   National   Education  Association   (NEA);   the                                                               
International  Brotherhood of  Electrical  Workers (IBEW);  AARP;                                                               
and the Alaska Women's Political Caucus (AKWPC).                                                                                
                                                                                                                                
9:56:19 AM                                                                                                                    
                                                                                                                                
MR. JUNE pointed out that the  clean elections system is not only                                                               
funded   by  general   funding,   but  also   by  the   $5-dollar                                                               
contributions  that  candidates  collect  to  qualify  for  clean                                                               
elections.  He continued:                                                                                                       
                                                                                                                                
     ... If we assume  100 percent participation, that would                                                                    
     include  about  $310,000  ... an  election  cycle  from                                                                    
     those $5 contributions.  It  also includes any leftover                                                                    
     campaign money  [that] goes back in  the clean election                                                                    
     fund, and then any fines that  are levied.  So, I would                                                                    
     just like to make a note  that that was not included in                                                                    
     the fiscal note.                                                                                                           
                                                                                                                                
MR. JUNE, regarding  the fiscal analysis, noted that  in both the                                                               
Alaska Public  Offices Commission's (APOC's) fiscal  note and the                                                               
one prepared for the Clean  Elections Initiative, the annual cost                                                               
was notated as $6 million a year.   He said, "The cost in here is                                                               
reflective of an  election cycle, which happens  every two years,                                                               
so please be  sure to divide that by two  when you're calculating                                                               
that cost."                                                                                                                     
                                                                                                                                
MR. JUNE stated  that the cost of a clean  elections system would                                                               
be 3.4  percent of an  annual $10 billion-plus  capital operating                                                               
budget, which he  said is "a percent of a  percent of a percent."                                                               
He  said the  incremental cost  of a  clean elections  system has                                                               
nothing to  do with  the budget  but everything  to do  with good                                                               
government.   He asked  the committee  to support  SSHB 261.   He                                                               
read a  quote from U.S.  Senator and Presidential  candidate John                                                               
McCain, as follows:                                                                                                             
                                                                                                                                
     Any voter with a healthy  understanding of the flaws of                                                                    
     human nature and  who notices the vast  amount of money                                                                    
     solicited and  received by politicians cannot  help but                                                                    
     believe   that  we   are  unduly   influenced  by   our                                                                    
     benefactor's generosity.                                                                                                   
                                                                                                                                
9:58:23 AM                                                                                                                    
                                                                                                                                
MR. JUNE,  in response to  Chair Lynn, confirmed that  a question                                                               
on  the aforementioned  poll was  whether the  person taking  the                                                               
poll  favored  clean  elections.   In  response  to  a  follow-up                                                               
question  from Chair  Lynn,  he said  no one  was  asked if  they                                                               
favored dirty elections.                                                                                                        
                                                                                                                                
9:58:47 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ROSES said  both the opening language  of the bill                                                               
and the presentation given describe  how a clean elections system                                                               
enhances democracy  and improves the  opportunity  for  voters to                                                               
participate.   He asked Mr. June  to expand on that  topic and to                                                               
talk  about  how clean  elections  seem  to  affect the  rate  of                                                               
reelection for incumbents.                                                                                                      
                                                                                                                                
MR.  JUNE responded  that in  terms of  enhancing democracy,  the                                                               
State of Arizona  has had a 34 percent increase  in voter turnout                                                               
in non-Presidential  election years and  a 7 percent  increase in                                                               
Presidential election  years since  enacting [its  Citizens Clean                                                               
Elections Act].   Furthermore,  he noted  that Arizona's  rate of                                                               
contributions  to political  campaigns has  increased three-fold.                                                               
He echoed  Ms. Hancock's testimony  that the more  accessible $5-                                                               
dollar contribution  has shifted  the political donor  class from                                                               
the upper-middle class to the middle and lower classes.                                                                         
                                                                                                                                
MR. JUNE,  regarding incumbency,  reported that  a study  done in                                                               
California  showed  that 98  percent  of  that state's  political                                                               
races were  determined by  who raised the  most money  in his/her                                                               
campaign.   In  Arizona,  he said,  incumbency  before the  state                                                               
adopted  a clean  elections  system  was about  96  percent.   He                                                               
offered  his understanding  that the  rate after  Arizona's clean                                                               
elections system was  in place was approximately 76  percent.  He                                                               
said,  "So, it  has some  effect on  it, but  I would  not say  a                                                               
devastating effect."   He stated  that incumbents  obviously have                                                               
the  advantage of  getting their  names in  the news  and getting                                                               
known for the bills they sponsor,  and there is not way to affect                                                               
that advantage.   He said, "What this does is  really just try to                                                               
take the money element out  of determining who wins and election,                                                               
and instead put it in terms of issues and voters."                                                                              
                                                                                                                                
10:02:07 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE   BERTA   GARDNER,   Alaska   State   Legislature,                                                               
announced for the  record that yesterday the House  passed a bill                                                               
prohibiting  all  fundraising  for political  purposes  during  a                                                               
legislative session.   She  said the  bill was  broadly supported                                                               
for  good reason:    "the appearance  and  potential conflict  of                                                               
raising money during  the session."  She said she  thinks a clean                                                               
elections  system  would help  address  that  issue.   She  asked                                                               
everyone  to   consider  the  following   question:     "If  it's                                                               
inappropriate and  damaging to  the process  to collect  money on                                                               
January  15 -  the  first day  of  session -  why  is January  14                                                               
significantly different?"   She added  that that is  a rhetorical                                                               
question.                                                                                                                       
                                                                                                                                
[SSHB 261 was heard and held.]                                                                                                  

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