Legislature(2003 - 2004)
04/06/2004 04:21 PM Senate FIN
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+ teleconferenced
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MINUTES
SENATE FINANCE COMMITTEE
April 06, 2004
4:21 PM
TAPES
SFC-04 # 73, Side A
CALL TO ORDER
Co-Chair Gary Wilken convened the meeting at approximately 4:21 PM.
PRESENT
Senator Lyda Green, Co-Chair
Senator Gary Wilken, Co-Chair
Senator Con Bunde, Vice Chair
Senator Ben Stevens
Senator Donny Olson
Senator Lyman Hoffman
Senator Fred Dyson
Also Attending: REPRESENTATIVE RALPH SAMUELS; JOHN MAIN, Staff to
Representative Pete Kott;
Attending via Teleconference: From an offnet location: BROOK
MILES, Executive Director, Alaska Public Offices Commission,
Department of Administration; DIANE WENDLANDT, Chief Assistant
Attorney, General, Statewide Section Supervisor, Collections and
Supports Section, Civil Division Department of Law;
SUMMARY INFORMATION
SB 351-APOC REPORTS BY NONELECTRONIC MEANS
The Committee heard from the sponsor and the Alaska Public Offices
Commission. A committee substitute was adopted and the bill moved
from Committee.
HB 357-RESTITUTION
The Committee heard from the sponsor and the Department of Law. The
bill moved from Committee.
HB 513-CSED NAME CHANGE/DRIVER'S LIC.SUSPENSION
The Committee heard from the sponsor. The bill moved from
Committee.
SENATE BILL NO. 351
"An Act requiring the Alaska Public Offices Commission to
accept documents by nonelectronic means."
This was the first hearing for this bill in the Senate Finance
Committee.
Co-Chair Wilken stated this bill "broadens the acceptable format
for the filing of APOC [Alaska Public Offices Commission] mandatory
reports. It's sponsored by the Senate Finance Committee."
Senator B. Stevens moved to adopt CS SB 351, 23-LS1742\I as a
working draft.
There was no objection and the committee substitute was ADOPTED.
Co-Chair Green testified that when she received notice that further
filings of public office information must be through electronic
methods, she was "shocked". She remarked that campaigns should have
the option of filing by either hard copy or electronic means,
provided that the filing is on time and correct. She stated that
the Alaska Public Offices Commission (APOC) prefers electronic
filing to eliminate the process of transferring information from
hard copy and subsequently make the information available to the
public immediately. She disagreed this was an issue. She predicted
that electronic requirement would be a deterrent for some to file
for public office. She relayed that APOC is still in the process of
developing electronic filing methods and could be couple more years
before established. Regardless, she opined that flexibility should
be provided for those to file either electronically or hard copy.
Senator Bunde relayed discussion about electronic voting and the
need for a paper trail. He asked how this would be assured for APOC
information.
BROOK MILES, Executive Director, Alaska Public Offices Commission,
Department of Administration, testified via teleconference from an
offnet location that although she appreciated Co-Chair Green and
her staff's professionalism and cooperation, APOC opposes this
legislation. She reminded that in 2003 the legislature passed SB
219, relating to campaign finance reform, after undergoing public
process. She stated that full disclosure of all campaign
contributions are now required of campaigns. She noted that bill
provided a $450,000 capital appropriation for APOC to update the
existing electronic filing system and to develop new procedures.
She added that she supported the retention of the mandatory
electronic filing for lobbyists.
Ms. Miles spoke to the requirement to fully disclose all
contributions under the new statute. She noted that certain
political groups, such as labor unions, garner frequent contributes
in smaller amounts, thus generating lengthy reports which APOC is
required to process. She told of other significant information that
APOC staff must enter into a database. She informed that today, the
computer program was unable to access the system due to the high
number of other users. She qualified that it is an election day for
the Municipality of Anchorage. However, she emphasized the
Commission operates with a limited budget, with current funding
reductions resulting a 20 percent reduction to personal services.
Ms. Miles informed that the project to convert to an electronic
filing method is underway with planned completion for the
gubernatorial election in 2006. She expressed concern that using
the current paper method with the changed campaign finance statutes
would result in the inability to have information available to the
public before elections occur. She relayed the fundamental
philosophy that to be fully accessible to the public, APOC
information must be available on the Internet.
Ms. Miles directed attention to the indeterminate fiscal note
submitted by APOC, stating that the number of campaigns that would
choose electronic filing is unknown. She listed the number of
candidates and groups currently filing electronically.
Senator Bunde stated he derived comfort from walking into the APOC
office, having his information date stamped and receiving a stamped
copy for his records. He also relayed fears of losing work done on
his computer. He asked how filers would receive assurance that
information submitted was received.
Ms. Miles replied that confirmation of received information is sent
to the filer via email. She compared this to purchases made through
the Internet, whereby buyers receive an email confirmation of their
order. She furthered that the filer is also able to print a hard
copy of reports and that reports would be printed out by APOC to
ensure a "paper trail".
Co-Chair Wilken shared that he attempted to file electronically in
the year 2000, but encountered difficulties with the system
database. He stated he has since filed manually. He asked if the
database has been changed to be more user friendly.
Ms. Miles assured the upgrade project would be more user friendly.
She described the planned web based system that would prompt filers
based on the answers to specific questions.
Co-Chair Wilken asked when the new system would be operational and
implemented.
Ms. Miles replied the intent is to be implemented for the 2006
gubernatorial election.
Co-Chair Wilken clarified that the system would not be operational
for the current year elections.
Ms. Miles affirmed.
Co-Chair Wilken asked how campaigns were to file electronically
this year.
Ms. Miles replied that the existing, albeit rudimentary, electronic
filing system remains operational until a new system is in place.
She pointed out that filing could still be done manually this year.
Co-Chair Wilken asked if campaigns filing electronically could
access and update information from previous years to avoid
"starting all over again" each year.
Ms. Miles affirmed this is the focus of the project.
Co-Chair Wilken commented that as the system becomes more user
friendly it provides incentive for use. He asked whether the
Commission has considered imposing a surcharge for those who opt to
file manually.
Ms. Miles indicated this would be an appropriate option for the
Senate Finance Committee to consider.
Co-Chair Wilken asked the difference in expense of a manual filing
and a recommended surcharge amount.
Ms. Miles replied she would calculate this and provide information
to the Committee.
Senator Bunde commented that other State operations, such as the
issuance of business licenses are self-supporting and he suggested
APOC could implement filing fees and also become self-supporting.
Co-Chair Green announced that she was unaware the electronic filing
requirement would not take effect until the elections of 2006 and
she therefore had the option to file manually this year. She
remarked that if she had understood this she would not have
sponsored this legislation.
Ms. Miles apologized for the misunderstanding and emphasized that
although she had directed APOC staff to encourage electronic
filing, staff was not to instruct campaigns that it was required.
Co-Chair Wilken clarified that the requirement for electronic
filing would not be in effect until the year 2006.
Ms. Miles responded this is the intent but she stressed that
electronic filing would not be required until a new system is in
place and not before the 2006 election. She noted that projects
sometimes take longer to complete than planned.
Senator B. Stevens offered a motion to move CS SB 351, 23-LS1742\I
from Committee as amended, with individual recommendations and
accompanying fiscal note.
There was no objection and CS SB 351 (FIN) MOVED from Committee
with fiscal note #1 from the Department of Administration in an
indeterminate amount.
SENATE CS FOR CS FOR HOUSE BILL NO. 357(JUD)
"An Act relating to restitution; and providing for an
effective date."
This was the first hearing for this bill in the Senate Finance
Committee.
Co-Chair Wilken stated, sponsored by Representative Samuels,
"requires judges to order restitution in every criminal case where
a victim has suffered a financial loss. It ensures that offenders
are ordered to make realistic restitution payments within a
reasonable timeframe."
REPRESENTATIVE RALPH SAMUELS testified that in 1994 the legislature
passed, and voters approved a constitutional amendment giving crime
victims certain rights. Article 1, Section 24 of the Alaska
Constitution, he pointed out, lists the specific rights, including
the rights of restitution from the accused. He stated this bill
conforms statutes to the constitution.
Representative Samuels noted the bill changes court ordered
restitution from an optional order to a mandatory required order.
He relayed that some victims may prefer to not receive restitution,
such as a family member, or a victim of a violent crime wanting to
"get on with their life" and have no reminders of the crime. In
these events, he stated that the victim has the option to not
receive restitution, but under the provisions of this legislation,
the ability of the offender to pay restitution, would not be a
factor in determining whether the money is owed. He noted that most
crimes against property are committed by young male offenders, who
are in a stage of life in which they do not have significant assets
or income. However, he stressed that this does not remove liability
for those individuals once they are in a position to pay
restitution.
Representative Samuels explained that changes made to the bill by
the Senate Judiciary Committee clarified the accounting procedures
of the legislation.
Representative Samuels stated this legislation would not change the
process, but rather hold those in arrears accountable for payment.
Co-Chair Green referenced stipulations providing that when a person
is charged with a crime, restitution must be determined without
considering the suspect's ability to pay; however, after
conviction, the offender's ability to pay could be considered in
ordering restitution.
Representative Samuels explained this language would provide judges
the latitude to prevent a liable party from becoming bankrupt; in
which case he pointed out, repayment would never be received,
regardless of whether the liable party earned sufficient income in
the future.
Co-Chair Green clarified that the court may not reduce an order of
restitution but may change the payment schedule.
Senator Dyson remarked that Representative Samuels is attempting to
correct inadvertent omissions of Senator Dyson's when these
statutes were amended several years prior.
DIANE WENDLANDT, Chief Assistant Attorney, General, Statewide
Section Supervisor, Collections and Supports Section, Civil
Division Department of Law, testified via teleconference from an
offnet location to answer questions related to the collections
process. She described the Senate Judiciary Committee amendment to
the bill to require that restitution payments received by the court
be transferred to the Department of Law for distribution.
Co-Chair Green noted other programs in which the court is required
to order restitution, although accounting difficulties have arisen
in the link between the court and the receiving agency. She asked
if the provisions of this legislation would encounter the same
difficulties.
Ms. Wendlandt responded that efforts are underway to correct the
situation and that implementing this legislation should be
successful. She expressed this legislation reflects the theory that
money should never "be turned away". She spoke to the reluctance of
some victims to accept restitution, particularly if the offenders
are known to them, and also when living in smaller communities.
Senator Olson asked if any opposition to this bill has been voiced.
Representative Samuels answered none has been received and that the
public defender has not testified to this legislation.
Senator Olson asked if other states implement similar procedures.
Representative Samuels was unsure of any.
Senator Dyson interjected that at least 35 other states have
implemented some form of restorative or restitution method. He
emphasized his support of this bill.
Senator Dyson offered a motion to report the bill from Committee
with individual recommendations and accompanying fiscal note.
Without objection SCS CS HB 357(JUD) MOVED from Committee with
fiscal note #1 from the Department of Administration and fiscal
note #2 from the Department of Law, both in indeterminate amounts.
SENATE CS FOR HOUSE BILL NO. 513(JUD)
"An Act relating to the enforcement of support orders through
suspension of drivers' licenses; changing the name of the
child support enforcement agency to the child support services
agency; amending Rules 90.3 and 90.5, Alaska Rules of Civil
Procedure; and providing for an effective date."
This was the first hearing for this bill in the Senate Finance
Committee.
Co-Chair Wilken stated this bill, sponsored by Representative Kott,
"changes the name of the Child Support Enforcement Division to the
Child Support Services Division and it simplifies the method in
which the Division may revoke an obligor's drivers license."
JOHN MAIN, Staff to Representative Pete Kott, testified that the
Division performs functions in addition to enforcing child support
orders, specifically educating the public about the meaning of
child support. He furthered the proposed name change would foster
an attitude that the Division is service oriented. He noted several
other states are considering similar title changes.
Mr. Main stated this bill would also "close a loophole" for those
in arrears. He detailed the current process in which an individual
found incompliant is sent a letter directing that person to become
compliant within 60 days. After this, he continued, the individual
is given 150 days in which to comply. If during the 150-day period,
that individual agrees to comply, he informed that the driver's
license is returned; however, if the individual stops making child
support payments, the process start again. He explained that this
legislation would provide that the process would resume "where it
left off", with the individual subject to compliance within the
remaining number of days of the original notification. He qualified
that a two-year limit would be implemented for each individual, at
which time this provision would not apply.
Senator Dyson noted the zero fiscal note from the Department of
Revenue. He asked if stationary and other items printed with the
Division's current name would be used until supplies run out, then
replaced with the updated title.
Mr. Main replied this is his understanding.
Senator Dyson and Mr. Main clarified that other provisions related
to this Division that would make broader changes, are included in
separate legislation.
Senator Dyson offered a motion to report the bill from Committee
with individual recommendations and accompanying fiscal notes.
There being no objection, SCS HB 513 (JUD) MOVED from Committee
with zero fiscal note #1 from the Alaska Court System, and zero
fiscal note #2 from the Department of Revenue.
ADJOURNMENT
Co-Chair Gary Wilken adjourned the meeting at 05:07 PM
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