Legislature(2021 - 2022)BUTROVICH 205

05/07/2021 01:30 PM Senate JUDICIARY

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 109 EXTEND BAR ASS'N BOARD OF GOVERNORS TELECONFERENCED
Heard & Held
+= SJR 6 CONST. AM: PERM FUND & PFDS TELECONFERENCED
<Bill Hearing Rescheduled to 05/10/2021>
+= SJR 5 CONST. AM: APPROP LIMIT; BUDGET RESERVE TELECONFERENCED
Moved CSSJR 5(JUD) Out of Committee
+= SJR 7 CONST. AM: STATE TAX; VOTER APPROVAL TELECONFERENCED
Moved CSSJR 7(JUD) Out of Committee
+ SB 39 BALLOT CUSTODY/TAMPERING; VOTER REG; MAIL TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
           HB 109-EXTEND BAR ASS'N BOARD OF GOVERNORS                                                                       
                                                                                                                                
1:35:38 PM                                                                                                                    
CHAIR HOLLAND announced the consideration  of HOUSE BILL NO. 109,                                                               
"An Act extending the termination  date of the Board of Governors                                                               
of the  Alaska Bar  Association; and  providing for  an effective                                                               
date."                                                                                                                          
                                                                                                                                
[This is  the second  hearing. The bill  was previously  heard on                                                               
5/5/21, and public testimony was opened and closed.]                                                                            
                                                                                                                                
1:36:15 PM                                                                                                                    
DANIELLE  BAILEY,  Executive  Director, Alaska  Bar  Association,                                                               
Anchorage, Alaska, reported on the  actions taken by the Board of                                                               
Governors of the  Alaska Bar at its meeting  yesterday. The board                                                               
created  a  subcommittee  to consider  whether  to  increase  the                                                               
mandatory  continuing legal  education  (CLE).  According to  Bar                                                               
Rule  62, the  Board of  Governors cannot  change the  bar rules.                                                               
Instead, the Alaska Supreme Court  (ASC) must make those changes.                                                               
The Board  of Governors circulates  a rule change  to membership,                                                               
publishes it  the Alaska Bar  Association's publication,  the Bar                                                               
Rag, then  the Board  of Governors  discusses any  public comment                                                               
received.  Following the  public  comment period,  the board  can                                                               
submit the rule proposal to the Alaska Supreme Court.                                                                           
                                                                                                                                
MS.  BAILEY offered  her  belief  that this  audit  was a  little                                                               
different than  the last  sunset audit eight  years ago.  At that                                                               
time, the  board created a  Mandatory Continuing  Legal Education                                                               
Committee  to poll  membership.  The  Bar Association  membership                                                               
voted  against increasing  mandatory  continuing legal  education                                                               
(CLE) hours.  The board decided  not to poll the  Bar Association                                                               
membership on mandatory  CLE this year. Instead,  it formulated a                                                               
plan  to increase  mandatory CLE  hours. The  committee presented                                                               
its  recommendations to  the Board  of Governors.  Yesterday, the                                                               
board  established  a  subcommittee   to  begin  the  process  to                                                               
potentially forward  a new proposal  to address mandatory  CLE to                                                               
the Alaska Supreme Court.                                                                                                       
                                                                                                                                
1:38:48 PM                                                                                                                    
SENATOR  HUGHES  pointed  out  that the  Board  of  Governors  is                                                               
empowered to  approve and  recommend rule  changes to  the Alaska                                                               
Supreme Court and adopt bylaws  and regulations. Referring to the                                                               
recent sunset audit, she asked  if the number of continuing legal                                                               
education credits would fall under  a rule rather than bylaws and                                                               
regulations.                                                                                                                    
                                                                                                                                
MS. BAILEY responded  that is correct. She said that  Bar Rule 65                                                               
outlines  the  number  of mandatory  continuing  legal  education                                                               
(CLE) credits for bar members.                                                                                                  
                                                                                                                                
SENATOR HUGHES  noted the  sunset audit was  dated June  9, 2020.                                                               
She  asked  why the  board  is  just  now  meeting to  make  that                                                               
decision and why the process was not started last summer.                                                                       
                                                                                                                                
MS. BAILEY  answered that  the next  board meeting  was scheduled                                                               
for October  20, 2020. The  board established a CLE  committee to                                                               
make recommendations to  the board. This committee  has met three                                                               
times since  October 2020. The  CLE committee sent a  proposal to                                                               
the  Board  of  Governors,  which  was  received  at  yesterday's                                                               
meeting.   She  said   the   board   immediately  established   a                                                               
subcommittee to look into this matter.                                                                                          
                                                                                                                                
1:40:55 PM                                                                                                                    
SENATOR HUGHES asked how often  the Board of Governors meets. She                                                               
expressed   concern  about   the   11-month   lapse  before   the                                                               
subcommittee  was  set up.  She  asked  whether the  board  could                                                               
create a workgroup  between meetings to address  concerns such as                                                               
mandatory CLEs.                                                                                                                 
                                                                                                                                
MS.  BAILEY responded  that  the Board  of  Governors meets  four                                                               
times per  year, although the  board sometimes meets  for special                                                               
meetings. Since the legislative  auditor just released its report                                                               
this summer,  the board first  wanted to hear expertise  from the                                                               
subcommittee.                                                                                                                   
                                                                                                                                
1:41:52 PM                                                                                                                    
SENATOR  HUGHES   pointed  out  that  44   other  states  require                                                               
significantly more continuing legal education (CLE) than Alaska.                                                                
                                                                                                                                
1:42:13 PM                                                                                                                    
BEN  HOFMEISTER,  President,  Board   of  Governors,  Alaska  Bar                                                               
Association,  Alaska Court  System, Anchorage,  Alaska, explained                                                               
that  the  board received  the  legislative  sunset audit  report                                                               
[Audit Control  Number 41-20119-20]  in June  2020. The  Board of                                                               
Governors filed  a response, indicating  the board  would address                                                               
the mandatory CLE  matter. He assured members that  the board was                                                               
working  on  this  issue. The  recommendations  provided  several                                                               
options  for  consideration.  The  Board of  Governors  wanted  a                                                               
subcommittee to  consider all  options rather  than have  the 12-                                                               
voting member board make the  decision. He emphasized that Alaska                                                               
requires more  mandatory CLE  for ethics  than all  other states.                                                               
Although  some states  require three  hours of  ethics continuing                                                               
education  training, those  states  spread  the requirements  out                                                               
over  three  years.  Alaska   requires  continuing  legal  ethics                                                               
education every year.  Of course, Alaska could do  more, he said.                                                               
He assured members the Board  of Governors wants to keep Alaskans                                                               
safe. Thus,  the board  will forward  its recommendations  to the                                                               
Alaska Supreme Court, but it must consider options first.                                                                       
                                                                                                                                
1:44:36 PM                                                                                                                    
SENATOR  HUGHES offered  her appreciation  for  the attention  to                                                               
ethics.  However,  Alaskans  spend significant  income  on  legal                                                               
fees, so  it's important  to assure them  that the  profession is                                                               
doing its best. She reported  that the sunset audit indicates the                                                               
board met  18 times in three  years, which on average  is 6 times                                                               
per year. She expressed concern that  the audit identified 7 of 9                                                               
public meetings were not public  noticed on its website. Further,                                                               
6  of 9  board agendas  did not  specifically provide  for public                                                               
comment. While she understood the  mandatory CLEs might not apply                                                               
to  some  legal practices,  44  states  have more  mandatory  CLE                                                               
requirements  than  Alaska.  She  stated  her  goal  is  to  have                                                               
Alaskans well served.                                                                                                           
                                                                                                                                
1:46:15 PM                                                                                                                    
SENATOR KIEHL  commented that he  spoke to several  attorneys who                                                               
did  not   oppose  increasing   mandatory  CLE.   However,  these                                                               
attorneys indicated they  would like more CLE  topics relevant to                                                               
their  practices.  He  said  that  adding  variety  would  likely                                                               
dissipate   any  concern   that  attorneys   have  about   adding                                                               
additional requirements.                                                                                                        
                                                                                                                                
1:47:02 PM                                                                                                                    
REPRESENTATIVE  MATT CLAMAN,  Alaska  State Legislature,  Juneau,                                                               
Alaska, sponsor  of HB 109, stated  that it might be  helpful for                                                               
the  board or  staff to  provide  the options  the CLE  Committee                                                               
referred  to the  Board of  Governors since  those considerations                                                               
slowed the board's process down.                                                                                                
                                                                                                                                
1:47:35 PM                                                                                                                    
MS. BAILEY replied that one  option was to increase the mandatory                                                               
CLEs  for ethics  since the  primary  continuing legal  education                                                               
focus  should be  ethics. The  committee  attributed the  state's                                                               
lowest complaints  per attorney  to the current  requirements for                                                               
ethics mandatory  CLEs. Another  proposal was  not to  change the                                                               
current  mandatory CLE  requirements,  although the  subcommittee                                                               
may provide the board with other options.                                                                                       
                                                                                                                                
1:48:52 PM                                                                                                                    
SENATOR  SHOWER offered  that  8  years is  a  long time  between                                                               
reviews. While  he said he  is glad  the Board of  Governors will                                                               
consider  continuing  education  requirements  and  options,  the                                                               
committee should  consider reducing the  time for the  next audit                                                               
review.                                                                                                                         
                                                                                                                                
1:51:42 PM                                                                                                                    
SENATOR KIEHL pointed  out that the auditor  has recommended that                                                               
the  board be  extended for  eight years.  He suggested  a better                                                               
approach to  change timeframes would  be to change  the auditor's                                                               
parameters in AS 08.03.020 since it will affect all boards.                                                                     
                                                                                                                                
[HB 109 was held in committee.]                                                                                                 

Document Name Date/Time Subjects
SJR7_A.2.pdf SJUD 5/7/2021 1:30:00 PM
SJR 7
SJR7_A.1.pdf SJUD 5/7/2021 1:30:00 PM
SJR 7
SJR 5 Amendment Package (SJUD).pdf SJUD 5/7/2021 1:30:00 PM
SJR 5
SJR 5 Legal memo.pdf SJUD 5/7/2021 1:30:00 PM
SJR 5
SJR 7 Attorney General Opinion.pdf SJUD 5/7/2021 1:30:00 PM
SJR 7
SJR 5 Amendment 7.pdf SJUD 5/7/2021 1:30:00 PM
SJR 5
SJR 7 legal opinion.pdf SJUD 5/7/2021 1:30:00 PM
SJR 7
SJR 5 Legal Memo 2.pdf SJUD 5/7/2021 1:30:00 PM
SJR 5