Legislature(2007 - 2008)HOUSE FINANCE 519
05/04/2007 08:30 AM House FINANCE
| Audio | Topic |
|---|---|
| Start | |
| HB226 | |
| HCR8 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | HCR 6 | TELECONFERENCED | |
| += | HB 88 | TELECONFERENCED | |
| += | HB 226 | TELECONFERENCED | |
| + | HCR 8 | TELECONFERENCED | |
HOUSE FINANCE COMMITTEE
May 4, 2007
8:58 a.m.
CALL TO ORDER
Co-Chair Meyer called the House Finance Committee meeting to
order at 8:58:27 AM.
MEMBERS PRESENT
Representative Mike Chenault, Co-Chair
Representative Kevin Meyer, Co-Chair
Representative Bill Stoltze, Vice-Chair
Representative Harry Crawford
Representative Richard Foster
Representative Les Gara
Representative Mike Hawker
Representative Reggie Joule
Representative Mike Kelly
Representative Mary Nelson
Representative Bill Thomas, Jr.
MEMBERS ABSENT
None
ALSO PRESENT
Rynnieva Moss, Staff, Representative John Coghill; Guy Bell,
Assistant Commissioner, Department of Labor and Workforce
Development; Barbara Huff Tuckness, Director of Governmental
and Legislative Affairs, Teamsters Local 959; Rebecca Logan,
President, Alaska Builders and Contractors; Representative
Kurt Olson; Kate Giard, Commissioner, Chair, Regulatory
Commission of Alaska; Sally Saddler, Legislative Liaison,
Department of Community and Economic Development
PRESENT VIA TELECONFERENCE
Sean Montgomery, Laborers Local 341, Anchorage; Pat Falon,
Laborers Local 341, Anchorage; Joe Crum, President, Northern
Industrial Training
SUMMARY
HB 226 "An Act repealing the termination of the state
training and employment program; and providing for
an effective date."
CSHB 226 (FIN) was REPORTED out of Committee with
a "do pass" recommendation and with two new fiscal
notes by the Department of Labor and Workforce
Development.
HCR 8 Establishing a task force to make recommendations
regarding job descriptions and salary changes for
the commissioners and support staff of the
Regulatory Commission of Alaska.
CSHCR 8 (L&C) was REPORTED out of Committee with a
"do pass" recommendation and with fiscal note #1
by the Legislature.
HB 88 "An Act relating to televisions, monitors,
portable computers, and similar devices in motor
vehicles; and providing for an effective date."
CSHB 88 was scheduled but not heard.
8:58:39 AM
HOUSE BILL NO. 226
"An Act repealing the termination of the state training
and employment program; and providing for an effective
date."
RYNNIEVA MOSS, STAFF, REPRESENTATIVE JOHN COGHILL, reported
that the sponsor feels that it is very important for the
state to step up to the plate to train the workforce for the
gas pipeline. HB 226, in its present form, would give the
State Training and Employment Program (STEP) six more years.
The original bill would have made STEP into a permanent
program. Ms. Moss related that STEP is a good mechanism
toward reducing welfare. She mentioned that there are legal
concerns regarding this legislation and an amendment has
been written to address those concerns. Governor Palin's
transition team recognized the value of STEP and recommended
restructure of the Alaska Workforce Investment Board and to
revise STEP to its original intent. She reported support
for the bill by members of the Alaska Builders and
Contractors, the Department of Labor, and labor leaders.
The sponsor of the bill has tremendous faith in Commissioner
Bishop to make the necessary changes to the STEP program as
recommended by the bipartisan transition team. She
requested the Committee to pass HB 226.
9:03:17 AM
GUY BELL, ASSISTANT COMMISSIONER, DEPARTMENT OF LABOR AND
WORKFORCE DEVELOPMENT, thanked Representative Coghill for
sponsoring HB 226. Mr. Bell related that STEP has
demonstrated its success the past 18 years, serving over
25,000 Alaskans. He discussed the evaluation from DOL
called the "Training Program Performance Report", which
contains STEP as one of its programs. He said he looks
forward to reviewing the STEP program with all involved
parties. He shared statistics related to the success of the
STEP program that demonstrate it is working to reduce the
number of unemployment benefits and increasing wages.
9:06:13 AM
Representative Crawford asked about the amendments. Co-
Chair Meyer said they would be discussed shortly.
REBECCA LOGAN, PRESIDENT, ALASKA BUILDERS AND CONTRACTORS,
referred to a position paper in the members' packets. She
said she is in favor of increasing the current contribution.
She spoke in strong support of the bill.
BARBARA HUFF TUCKNESS, DIRECTOR OF GOVERNMENTAL AND
LEGISLATIVE AFFAIRS, TEAMSTERS LOCAL 959, testified in
support of HB 226. She pointed out that joint employer
union representatives manage the training trusts, which sets
a very strong groundwork from a long-term perspective. She
added that STEP augments a process that is already in place.
STEP is an infusion of additional dollars. She spoke of the
importance of oversight.
Representative Gara asked for Ms. Huff Tuckness's opinion of
the amendments. Ms. Huff Tuckness reported that she
supports Amendment #1. She wondered why the date was
reduced in Amendment #2.
9:14:46 AM
Co-Chair Meyer MOVED to ADOPT Amendment #1:
Page 1, line 1, following "program;"
Insert "requiring a review of the program;"
Page 1, following line 8:
Insert a new bill section to read:
"*Sec.2. The uncodified law of the State of Alaska is
amended by adding a new section to read:
REVIEW OF THE STATE TRAINING AND EMPLOYMENT PROGRAM.
The Department of Labor and Workforce Development, in
consultation with the entities listed in AS
23.15.645(b), shall work with representatives of
entities eligible to submit a grant application under
AS 23.15.620-23.15.660 and that provide industry
specific training, on-the-job training, institutional
training, classroom job linked training and employment
assistance to conduct a review of the priorities and
procedures of the state training and employment
program. The entities involved in the review of the
state training and employment program must represent
organized labor and non-union entities. Following the
review, the department shall publish a written report
containing its findings and recommendations, including
changes, that it recommends be made to state statute
and regulations. The department shall deliver the
report to the president of the senate and the speaker
th
of the house of representatives on or before the 30
day of the 2008 regular legislative session."
Renumber the following bill section accordingly.
Vice Chair Stoltze OBJECTED. Co-Chair Meyer noted that both
amendments are at the request of the sponsor.
Ms. Moss explained that Amendment #1 requires DOL to put
together a report and present it to the President of the
Senate and to the Speaker of the House. It echoes
recommendations made in the transition report.
Representative Crawford thought the amendment was vague.
Ms. Moss reported that the sponsor tried to get all parties
to come to the table, which they have. He wanted some
flexibility for all of those people to work together.
Vice Chair Stoltze WITHDREW his objection. There being NO
OBJECTION, it was so ordered.
9:16:58 AM
Co-Chair Meyer MOVED to ADOPT Amendment #2:
Page 1, line 8
Delete "2014"
Insert "2009"
Vice Chair Stoltze OBJECTED.
Ms. Moss explained that the amendment gives DOL two years to
make the changes to the program to make it more efficient,
more accountable, and more transparent.
9:18:42 AM
At-ease.
9:23:41 AM
Representative Crawford spoke against Amendment #2. He
concurred with Amendment #1. He said that Amendment #2 does
not allow enough time to make any changes.
Co-Chair Meyer mentioned that the commissioner was in favor
of the amendments. Ms. Moss said that the original bill
ended sunsets completely, but through discussions with trade
unions, contractors, and DOL it was agreed upon to set a
two-year sunset.
Vice Chair Stoltze asked if the intent of the sponsor is to
make STEP permanent after the two-year sunset. Ms. Moss
said it was.
Representative Hawker noted that legitimate concerns were
raised in previous committees and spoke in favor of both
amendments.
9:26:59 AM
Representative Kelly spoke in favor of the sunset in two
years.
Representative Gara commented that the sunset takes place
before the evaluation would be complete. He spoke against
Amendment #2. Ms. Moss said that the report is due to the
th
legislature on the 30 day of the 2008 legislative session.
Vice Chair Stoltze maintained his objection.
A roll call vote was taken on the motion.
IN FAVOR: Kelly, Stoltze, Thomas, Foster, Hawker, Chenault,
Meyer
OPPOSED: Joule, Nelson, Crawford, Gara
Representative Gara questioned if 2014 was in the bill. Co-
Chair Meyer said it was June 30, 2014.
The amendment passed (7-4).
9:31:05 AM
SEAN MONTGOMERY, LABORERS LOCAL 341, ANCHORAGE, shared
personal experiences with STEP training. He spoke in
support of HB 226 and allowing STEP grants to continue.
PAT FALON, LABORERS LOCAL 341, ANCHORAGE, testified in
support of HB 226 and voiced gratitude for the training
provided by the STEP program. He spoke against Amendment
#2.
JOE CRUM, PRESIDENT, NORTHERN INDUSTRIAL TRAINING (NIT),
spoke of his extensive background in training programs. He
detailed programs offered by NIT and the difficulties of
securing funding. He testified in support of STEP only if
the problems are fixed which have cut NIT out of receiving
STEP funding.
Co-Chair Chenault asked for an explanation for the funding
cuts. Mr. Crum said he did not know why. He highlighted
successes of his programs. Some grantees were given funding
while others were left unfunded.
Representative Kelly commented that Mr. Crum's input is
valued.
9:40:53 AM
Co-Chair Meyer noted that the fiscal notes will have to be
modified to reflect the new date of 2009.
Representative Foster MOVED to REPORT CSHB 266 (FIN) out of
Committee with individual recommendations and the
accompanying fiscal notes. There being NO OBJECTION, it was
so ordered.
CSHB 226 (FIN) was REPORTED out of Committee with a "do
pass" recommendation and with two new fiscal notes by the
Department of Labor and Workforce Development.
9:43:16 AM
HOUSE CONCURRENT RESOLUTION NO. 8
Establishing a task force to make recommendations
regarding job descriptions and salary changes for the
commissioners and support staff of the Regulatory
Commission of Alaska.
REPRESENTATIVE KURT OLSON, sponsor, explained that the bill
which was a result of a February 22 letter from the
Regulatory Commission of Alaska (RCA) to Governor Palin
indicating that the RCA commissioners needed a salary
increase. The resolution would establish a legislative task
force to make recommendations for job descriptions and
salaries, as well as staffing within the RCA. The task
force would consist of nine members, three from the House,
three from the Senate, and Governor Palin or her designee,
the Attorney General or his designee, and Commissioner Notti
or his designee. The task force would meet up to five times
during the interim and make recommendations to the
legislature in the first week of the next session. It would
sunset on May 30, 2008. He noted that the administration is
supportive of HCR 8. He drew attention to the $10,000
fiscal note by the Legislature.
9:45:20 AM
KATE GIARD, COMMISSIONER, CHAIR, REGULATORY COMMISSION OF
ALASKA (RCA), related that there have been thirty years of
problems with RCA. She said the goal is to have open and
transparent business and yet protect Alaska. There is a
need to balance the needs of the infrastructure with those
of the rate payers. She testified in support of HCR 8,
which sets up a task force. A task force was set up in
2002, which never met. Ms. Giard looked at this legislation
as an opportunity to work together.
9:49:54 AM
SALLY SADDLER, LEGISLATIVE LIAISON, DEPARTMENT OF COMMUNITY
AND ECONOMIC DEVELOPMENT, said zero fiscal notes would be
forthcoming.
Vice Chair Stoltze asked who would absorb expenses of the
executive branch. Ms. Saddler reported it would be
administrative branch funds, not RCA.
9:51:13 AM
Representative Hawker referred to a memo from the governor's
chief of staff which states that the governor would select
the commission chair. He pointed out that the bill does not
provide for that. He asked if it would be problematic if
the members elect the chair.
Representative Olson reported that HB 209 would address that
issue.
Representative Hawker read from the memo regarding the
governor's preferences. Representative Olson said HB 110
deals with the sunset date; HB 209 deals with the board
appointment and timelines. Representative Hawker noted an
inconsistency. Ms. Saddler said the administration is
comfortable with this approach of two bills and a
resolution.
Representative Joule said the resolution speaks of a task
force and the memo speaks to a commission. Representative
Olson noted that the administration supports the resolution.
9:54:50 AM
Representative Foster MOVED to REPORT CSHCR 8 (L&C) out of
Committee with individual recommendations and the
accompanying fiscal note.
Representative Gara OBJECTED for discussion purposes. He
commented on Ms. Giard's expertise.
Representative Gara WITHDREW his objection. There being NO
further OBJECTION, it was so ordered.
CSHCR 8 (L&C) was REPORTED out of Committee with a "do pass"
recommendation and with fiscal note #1 by the Legislature.
ADJOURNMENT
The meeting was adjourned at 9:56 AM.
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