SB 24-LEGIS. ETHICS ACT: CONTRACTORS, INTERNS  9:15:15 AM CHAIR STOLTZE announced the consideration of SB 24. 9:15:28 AM SENATOR BERTA GARDNER, Alaska State Legislature, Juneau, Alaska, noted that responses will be provided for issues that were raised when the bill was previously heard in the committee. 9:15:42 AM THOMAS PRESLEY, Staff, Senator Berta Gardner, Alaska State Legislature, Juneau, Alaska, explained that two questions came up during the last committee meeting: which contracts would be effected by the bill and how the legislation made it through the Ethics Committee. He noted that documents were provided to the committee that listed contractors and contracts that would be effected by the bill. He specified that the bill was unanimously passed by the Ethics Committee based upon changes recommended by Joyce Anderson, Daniel Wayne, and Chair Gary Turner. 9:18:06 AM CHAIR STOLTZE asked that the record show that Jerry Anderson and Joyce Anderson have no affiliation with one another. 9:18:37 AM SENATOR HUGGINS opined that ethics cannot be legislated. He stated that people are what they are. He asked what consultants will need to do in order to comply. MR. PRESLEY replied that a handout was provided to the committee at the previous meeting that listed parts of the Ethics Code that applies to legislators. He specified that prohibitions relate to conflicts of interest, restrictions on fund raising, restrictions on employee candidacies, and protection on whistle blowers. He concurred with Senator Huggins that legislating ethics is difficult. 9:20:14 AM SENATOR HUGGINS replied that he understood the prohibitions. He asked if consultants would have to be counseled for two hours or would a document have to be signed that attests to their reading of the information. MR. PRESLEY replied that Joyce Anderson and Jerry Anderson will address Senator Huggins' question. He noted that there was some discussion about creating a 30 minute online video and a form that provides information for consultants. 9:21:06 AM JOYCE ANDERSON, Contractor, Select Committee on Legislative Ethics, Alaska State Legislature, Juneau, Alaska, noted that she was the former administrator to the Ethics Committee. She replied that the training requirement is not going to be required for independent contractors and consultants. She explained that the suggestion was the Ethics Office put out a short video for a contractor or consultant to review as an option and to sign a form that they are aware of the requirements. She said there would not be any lengthy training, approximate time would be 20 minutes. 9:22:19 AM JERRY ANDERSON, Committee Administrator, Select Committee on Legislative Ethics, Alaska State Legislature, Juneau, Alaska, agreed that Ms. Anderson's interpretation is the interpretation that the Ethics Committee adopted. SENATOR HUGGINS asked why the Legislature needs to address ethics applicability changes through a bill. He inquired if the Ethics Committee has the authority to make the changes on their own. MS. ANDERSON replied as follows: The Ethics Committee through the Legislative Legal Office has determined that the committee does not have the authority to make this type of change considering that independent contractors and consultants are listed under the definition of legislative employee and so when you are listed as a legislative employee you are required to comply with all of the requirements of the Legislative Ethics Act. So the committee felt that, and through the legal department, that they did not have the authority to make the change without having some sort of legislation passed. 9:23:46 AM SENATOR HUGGINS replied that he understood. He pointed out that Ms. Anderson used the term "optional" regarding training. MS. ANDERSON answered that the training would be optional. She specified that the requirements that the independent contractors and consultants would have to follow are stipulated in SB 24. She said the Ethics Committee felt that training should be optional and not mandatory, but that the changes should be made to only require particular parts of the Legislative Ethics Act. CHAIR STOLTZE asked if legislators will get billed $500 per hour by their consultants to take their compliance course. SENATOR GARDNER replied that potentially legislators could be billed, depending on the terms of their contract. She pointed out that consultants are subject to all parts of the Legislative Ethics Act and it does not make sense in all cases. SENATOR STOLTZE asked if there was anyone else from the public, state agencies, or contractors that would like to testify. He noted that the next committee of referral is the Judiciary Committee. 9:25:27 AM SENATOR MCGUIRE moved to report SB 24 from committee with individual recommendations and attached fiscal notes. 9:25:40 AM CHAIR STOLTZE announced that he will talk to the Senate President about adding a Finance Committee referral due to the potential for extra costs for legislative contracts. He asked if there were any objections to moving the bill out of committee. SENATOR HUGGINS commented that his hope is that the Legislature hires people that have a track record and the hiring is reflective of what the committee addressed in the legislation. He opined that the bill was the equivalent to "pole vaulting over mouse dung." 9:26:34 AM CHAIR STOLTZE announced that there being no objection, SB 24 is reported from the Senate State Affairs Standing Committee.