Legislature(1995 - 1996)
1996-03-22 Senate Journal
Full Journal pdf1996-03-22 Senate Journal Page 2837 SB 317 SENATE BILL NO. 317 BY THE SENATE RULES COMMITTEE BY REQUEST OF THE GOVERNOR, entitled: 1996-03-22 Senate Journal Page 2838 SB 317 An Act relating to the cost-of-living differential for certain public employees residing in the state and the criteria for determining eligibility for the differential; and providing for an effective date. was read the first time and referred to the Finance Committee. Zero fiscal notes published today from Department of Administration, Department of Revenue, Department of Transportation and Public Facilities. Governor's transmittal letter dated March 22: Dear President Pearce: Under the authority of art. III, sec. 18, of the Alaska Constitution, I am transmitting a bill that would clarify how the state applies the cost of living pay differential for public employees. This bill sets up a framework of eligibility criteria and defines state residency for the purpose of pay differentials which are required for certain public employees under collective bargaining agreements. By codifying the states interpretation of the pay differentials, this legislation will help avoid conflicts and legal actions on this issue. The state has been in disputes with employees of the marine highway system over a definition of state residency and the eligibility criteria for the pay differential. Arbitrators have used different, and sometimes inconsistent, criteria in resolving the disputes. Confusion over the criteria and whether it is subject to union bargaining has also led to court litigation. This diverse situation has made it difficult to administer the differential program. This bill resolves most of the uncertainty in the program by applying the permanent fund dividend definition of state resident, which has been tested in court. In addition, this bill authorizes the Department of Administration to adopt regulations to further clarify the criteria 1996-03-22 Senate Journal Page 2839 SB 317 for pay differentials as the need arises. This would make it clear that the department has this authority and that criteria for the pay differential is not subject to collective bargaining. I urge your prompt action on this bill. Sincerely, /s/ Tony Knowles Governor