Legislature(2021 - 2022)BELTZ 105 (TSBldg)
05/15/2021 01:30 PM Senate TRANSPORTATION
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| Audio | Topic |
|---|---|
| Start | |
| HB160 | |
| HB63 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 63 | TELECONFERENCED | |
| + | HB 160 | TELECONFERENCED | |
| + | TELECONFERENCED |
ALASKA STATE LEGISLATURE
SENATE TRANSPORTATION STANDING COMMITTEE
May 15, 2021
1:36 p.m.
MEMBERS PRESENT
Senator Robert Myers, Chair
Senator Peter Micciche
Senator Jesse Kiehl
MEMBERS ABSENT
Senator Mike Shower, Vice Chair
Senator Click Bishop
COMMITTEE CALENDAR
COMMITTEE SUBSTITUTE FOR HOUSE BILL NO. 160(TRA) AM
"An Act relating to the state procurement code; establishing the
construction manager general contractor procurement method; and
providing for an effective date."
- MOVED CSHB 160(TRA) AM OUT OF COMMITTEE
COMMITTEE SUBSTITUTE FOR HOUSE BILL NO. 63(STA)
"An Act relating to the duties of the Department of
Transportation and Public Facilities; renaming the Alaska Marine
Transportation Advisory Board the Alaska Marine Highway
Operations Board; relating to the membership and duties of the
Alaska Marine Highway Operations Board; and relating to the
comprehensive, intermodal, long-range transportation plan for
the state."
- MOVED SCS CSHB 63(TRA) OUT OF COMMITTEE
PREVIOUS COMMITTEE ACTION
BILL: HB 160
SHORT TITLE: PROCUREMENT; CONSTRUCTION; CONTRACTS
SPONSOR(s): RULES BY REQUEST OF THE GOVERNOR
03/31/21 (H) READ THE FIRST TIME - REFERRALS
03/31/21 (H) TRA
04/15/21 (H) TRA AT 1:00 PM BARNES 124
04/15/21 (H) Heard & Held
04/15/21 (H) MINUTE(TRA)
04/27/21 (H) TRA AT 1:00 PM BARNES 124
04/27/21 (H) Moved CSHB 160(TRA) Out of Committee
04/27/21 (H) MINUTE(TRA)
04/28/21 (H) TRA RPT CS(TRA) 4DP 3NR
04/28/21 (H) DP: HANNAN, SPOHNHOLZ, MCKAY, MCCABE
04/28/21 (H) NR: DRUMMOND, CRONK, HOPKINS
05/13/21 (H) TRANSMITTED TO (S)
05/13/21 (H) VERSION: CSHB 160(TRA) AM
05/14/21 (S) READ THE FIRST TIME - REFERRALS
05/14/21 (S) TRA
05/15/21 (S) TRA AT 1:30 PM BELTZ 105 (TSBldg)
BILL: HB 63
SHORT TITLE: ALASKA MARINE HIGHWAY OPERATIONS BOARD
SPONSOR(s): REPRESENTATIVE(s) STUTES
02/18/21 (H) PREFILE RELEASED 1/15/21
02/18/21 (H) READ THE FIRST TIME - REFERRALS
02/18/21 (H) TRA, STA
03/11/21 (H) TRA AT 1:30 PM BARNES 124
03/11/21 (H) Heard & Held
03/11/21 (H) MINUTE(TRA)
03/18/21 (H) TRA AT 1:30 PM BARNES 124
03/18/21 (H) Moved CSHB 63(TRA) Out of Committee
03/18/21 (H) MINUTE(TRA)
03/20/21 (H) TRA RPT CS(TRA) NEW TITLE 4DP 2NR
03/20/21 (H) DP: DRUMMOND, HANNAN, SPOHNHOLZ,
HOPKINS
03/20/21 (H) NR: MCCABE, CRONK
03/30/21 (H) STA AT 3:00 PM GRUENBERG 120
03/30/21 (H) Heard & Held
03/30/21 (H) MINUTE(STA)
04/06/21 (H) STA AT 3:00 PM GRUENBERG 120
04/06/21 (H) Heard & Held
04/06/21 (H) MINUTE(STA)
04/15/21 (H) STA AT 3:00 PM GRUENBERG 120
04/15/21 (H) Heard & Held
04/15/21 (H) MINUTE(STA)
04/22/21 (H) STA AT 3:00 PM GRUENBERG 120
04/22/21 (H) Moved CSHB 63(STA) Out of Committee
04/22/21 (H) MINUTE(STA)
04/26/21 (H) STA RPT CS(STA) NEW TITLE 6DP
04/26/21 (H) DP: CLAMAN, STORY, KAUFMAN, VANCE,
TARR, KREISS-TOMKINS
05/05/21 (H) TRANSMITTED TO (S)
05/05/21 (H) VERSION: CSHB 63(STA)
05/07/21 (S) READ THE FIRST TIME - REFERRALS
05/07/21 (S) TRA
05/11/21 (S) TRA AT 1:30 PM BELTZ 105 (TSBldg)
05/11/21 (S) -- Invited & Public Testimony --
05/13/21 (S) TRA AT 1:30 PM BELTZ 105 (TSBldg)
05/13/21 (S) Heard & Held
05/13/21 (S) MINUTE(TRA)
05/15/21 (S) TRA AT 1:30 PM BELTZ 105 (TSBldg)
WITNESS REGISTER
ANDY MILLS, Special Assistant to the Commissioner
Department of Transportation and Public Facilities (DOTPF)
Juneau, Alaska
POSITION STATEMENT: Presented HB 160 on behalf of the
administration; during the hearing on HB 63, commenting on the
separation of powers question regarding legislative
appointments.
KERRY CROCKER, Staff
Representative Louise Stutes
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Testified that the sponsor supports
Amendments 1 and 2 to CSHB 63(STA).
SUSAN POLLARD, Chief Assistant Attorney General
Statewide Civil Division
Legislation and Regulations Section
Department of Law
Juneau, Alaska
POSITION STATEMENT: During the hearing on HB 63, commented on
separation of powers question regarding legislative
appointments.
ACTION NARRATIVE
1:36:00 PM
CHAIR ROBERT MYERS called the Senate Transportation Standing
Committee meeting to order at 1:36 p.m. Present at the call to
order were Senators Kiehl, Micciche, and Chair Myers.
HB 160-PROCUREMENT; CONSTRUCTION; CONTRACTS
1:36:42 PM
CHAIR MYERS announced the consideration of CS FOR HOUSE BILL NO.
160(TRA) am, "An Act relating to the state procurement code;
establishing the construction manager general contractor
procurement method; and providing for an effective date."
CHAIR MYERS welcomed Andy Mills to highlight the differences
between CSHB 160(STA) and SB 117, the companion bill that the
committee passed several days ago.
1:37:19 PM
ANDY MILLS, Special Assistant to the Commissioner, Department of
Transportation and Public Facilities (DOTPF), advised that HB
160 is substantively similar to SB 117, the companion bill that
this committee previously passed from committee. He highlighted
the following differences in HB 160 that reflect the changes
made in House committees and on the House floor:
Page 1, line 9, following "request for proposals":
Insert: "issued under this paragraph"
MR. MILLS advised that some in the contracting community
requested this change to clarify that the requests for proposals
relate to that paragraph:
Page 2, line 1:
Delete: "exclude price as an evaluation factor"
Insert: "include factors in addition to price as
evaluation factors"
MR. MILLS said this change was the House floor amendment. The
agency believes it still allows the flexibility needed during
the evaluation portion of preconstruction services. DOT&PF
initially had that price exclusion language because the
preconstruction services' price is a relatively small evaluation
factor compared to the other criteria. He added that it is
important to understand that preconstruction services and
initial services are different from the project's cost.
Page 2, lines 5-6, following "The Department of
Transportation and Public Facilities may award"
Insert: "by competitive sealed proposals"
MR. MILLS explained that the phrase was relocated from farther
down in the paragraph to clarify that the first phase uses the
competitive sealed proposal process for contractor selection.
The award of the contract for the second phase was with the
selected contractor before negotiations.
1:40:31 PM
MR. MILLS pointed out the last change:
Page 2, line 11:
Delete: "shall"
Insert: "may"
MR. MILLS explained that "may" is more often used in the
construction manager general contractor (CMGC) contracting
method because it helps to avoid the potential for contract
disputes. The regulations will help specify the conditions
for awarding a contract under negotiations.
CHAIR MYERS found no questions or comments.
1:41:49 PM
CHAIR MYERS opened public testimony on HB 160; finding none, he
closed public testimony. He asked Mr. Mills if he had any
closing comments.
MR. MILLS thanked the committee for hearing the bill and
explained that he did not ask the parties that provided
testimony on the companion bill to testify again today since
their testimony was already part of the public record.
CHAIR MYERS solicited a motion.
1:42:51 PM
SENATOR MICCICHE moved to report [CSHB 160(TRA)am, work order
32-GH1579\B.A, from committee with individual recommendations
and attached fiscal note(s)].
CHAIR MEYERS found no further objection and SCS HB 160(TRA)am,
was reported from the Senate Transportation Standing Committee.
1:43:12 PM
At ease
HB 63-ALASKA MARINE HIGHWAY OPERATIONS BOARD
1:46:18 PM
CHAIR MYERS announced the consideration of CS FOR HOUSE BILL NO.
63(STA), "An Act relating to the duties of the Department of
Transportation and Public Facilities; renaming the Alaska Marine
Transportation Advisory Board the Alaska Marine Highway
Operations Board; relating to the membership and duties of the
Alaska Marine Highway Operations Board; and relating to the
comprehensive, intermodal, long-range transportation plan for
the state."
CHAIR MEYERS asked Mr. Crocker to provide opening comments
before the committee considered the two amendments.
1:46:38 PM
KERRY CROCKER, Staff, Representative Louise Stutes, Alaska State
Legislature, Juneau, Alaska, summarized that HB 63 modifies the
system of governance in the Alaska Marine Highway. He said this
had been an issue since 1982. He said he hoped that the
committee will move the bill forward.
CHAIR MYERS noted who was available to answer questions.
1:47:36 PM
CHAIR MYERS moved Amendment 1, work order 32-LS0286\N.1.
32-LS0286\N.1
Fisher
5/14/21
AMENDMENT 1
OFFERED IN THE SENATE BY SENATOR MEYERS
TO: CSHB 63(STA)
Page 4, lines 12-26:
Delete all material.
Renumber the following bill sections accordingly.
1:47:45 PM
SENATOR MICCICHE objected for discussion purposes.
CHAIR MYERS explained that Amendment 1 removes Section 7. It
provides that a regional development organization representing a
region of the state containing a community dependent upon the
Marine Highway System may recommend a person to fill a vacancy
on the board. He said regional development organizations are
vital resources, but this section elevates one organization over
other people or organizations that may also want to nominate
people to the board.
He asked Mr. Crocker for the sponsor's view of the amendment.
1:49:05 PM
MR. CROCKER reported that the sponsor supports Amendment 1 to
narrow the board's scope.
1:49:35 PM
SENATOR MICCICHE removed his objection.
SENATOR KIEHL asked for the reason to remove both paragraphs.
CHAIR MYERS replied he was asked to offer this amendment and
that language seemed superfluous.
1:50:21 PM
CHAIR MYERS found no further objection, so Amendment 1 passed.
1:50:28 PM
CHAIR MYERS moved to adopt Amendment 2, work order 32-
LS0286\N.2.
32-LS0286\N.2
Fisher
5/14/21
AMENDMENT 2
OFFERED IN THE SENATE BY SENATOR MEYERS
TO: CSHB 63(STA)
Page 2, line 24, following "attained":
Insert ", must include recommendations for the
state operating and capital budgets,"
SENATOR MICCICHE objected for discussion purposes.
CHAIR MYERS explained that Amendment 2 makes it explicit that
the short-term plan must include recommendations for the state
operating and capital budgets. This matches what the committee
added to SB 103.
He asked Mr. Crocker if he had any comment.
1:51:35 PM
MR. CROCKER stated that the sponsor supports Amendment 2.
1:51:43 PM
SENATOR MICCICHE removed his objection.
1:51:48 PM
CHAIR MYERS found no further objection and Amendment 2 passed.
1:52:00 PM
CHAIR MYERS asked Mr. Mills and Susan Pollard to comment on the
separation of powers question related to legislative
appointments.
1:52:30 PM
ANDY MILLS, Special Assistant to the Commissioner, Department of
Transportation and Public Facilities (DOTPF), Juneau, Alaska,
noted earlier comments about giving the board "more teeth." He
stated that based on the composition of the board and the legal
memos that talk about the advisory nature of the board not
creating a separation of powers issue, the department looks at
that as an indication that this board is to be advisory.
1:54:33 PM
SUSAN POLLARD, Chief Assistant Attorney General, Statewide,
Civil Division, Legislative and Regulations Sections, Department
of Law, Juneau, Alaska, referred to the legal memo dated April
6, 2021, by Mr. Fischer with Legislative Legal Services. That
memo points out that because this board provides advice and
recommendations of an advisory nature, that avoids the
separation of powers issue that would arise if the board's
recommendations were implemented differently. Given that, the
bill adds clarity to the robust advisory nature of this
particular board, she said.
1:56:22 PM
SENATOR MICCICHE said he supports HB 63. He said he views the
board as advisory. Further, he hopes it will have the expertise
to recognize the inefficiencies of the current system yet find
affordable "outside the box" solutions, so the system will
survive. He said he was sorry the restructuring skillset was
removed from the original bill. He said that as the Senate
President, he would find that requiring the specific skillset as
important when appointing board members. People who restructure
failing businesses are very good at analyzing the problem and
coming up with solutions to restructure the business model. He
compared it to the skillsets used in corporate America and some
municipal and state business models. He restated support for the
bill. The bill provides an element of separation and
independence for the board. He said it will take the system to
the next step if the right people are appointed.
1:58:43 PM
CHAIR MYERS said he tended to agree. To the point about looking
for an expert in restructuring, he said he believes the House
member responsible for removing that provision was trying to
prevent hamstringing the board if they could not find somebody
with that expertise who was willing to serve. He said that the
intent was to have that expertise even if it is not in the
statute.
1:59:38 PM
SENATOR KIEHL said he believes it will be helpful to have the
Senate President and Speaker of the House make some of the
appointments with an eye out for people who have the expertise
to evaluate what needs to change with the Marine Highway System.
He said he believes that the restructuring expert that Senator
Micciche mentioned will have an easier job than usual because 30
years of study outline the things that need to change with the
model. As Mr. Mills and Ms. Pollard noted, this board is
advisory, so it will remain the executive branch's job to take
the recommendations and put them into action. It will come down
to whether the executive branch makes the changes and uses the
board. If that happens, he said there is potential for great
success, but if it doesn't happen, the committee will be looking
at a very different bill next time.
2:01:19 PM
CHAIR MEYERS discerned that Mr. Crocker had no closing comments
and solicited a motion.
2:01:52 PM
SENATOR MICCICHE moved to report CSHB 63, work order 32-LS0286\N
as amended, from committee with individual recommendations [and
attached fiscal note(s).]
CHAIR MYERS stated that without objection, SCS CSHB 63(TRA) was
reported from the Senate Transportation Standing Committee.
2:02:32 PM
There being no further business to come before the committee,
Chair Meyers adjourned the Senate Transportation Standing
Committee meeting at 2:02 p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 160 Sponsor Statement.pdf |
STRA 5/15/2021 1:30:00 PM |
HB 160 |
| HB 160 Sectional Analysis 5.13.2021.pdf |
STRA 5/15/2021 1:30:00 PM |
HB 160 |
| HB 160 - CMGC Award Process - Flow Chart STEP 2 4.27.2021.pdf |
STRA 5/15/2021 1:30:00 PM |
HB 160 |
| HB 160 - CMGC Award Process - Flow Chart STEP 1 4.27.2021.pdf |
STRA 5/15/2021 1:30:00 PM |
HB 160 |