Legislature(2017 - 2018)GRUENBERG 120
02/23/2017 03:00 PM House STATE AFFAIRS
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| Audio | Topic |
|---|---|
| Start | |
| HB91 | |
| HB1 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 82 | TELECONFERENCED | |
| *+ | HB 1 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | HB 91 | TELECONFERENCED | |
HB 91-APOC REGISTRATION FEES; LOBBYIST TAX
3:08:18 PM
CHAIR KREISS-TOMKINS announced that the first order of business
would be HOUSE BILL NO. 91, "An Act relating to fees for certain
persons filing disclosure statements or other reports with the
Alaska Public Offices Commission; relating to a tax on
legislative lobbyists; and providing for an effective date."
[Because of their length, some amendments discussed or adopted
during the meeting are found at the end of the minutes for HB
91. Shorter amendments are included in the main text.]
3:09:00 PM
REPRESENTATIVE KNOPP moved to adopt the proposed committee
substitute (CS) for HB 91, Version 30-LS0067\D, Bullard,
2/21/17, as the working document.
CHAIR KREISS-TOMKINS objected for the purpose of discussion.
3:09:43 PM
CRYSTAL KOENEMAN, Staff, Representative Sam Kito, Alaska State
Legislature, presented the CS for HB 91 on behalf of
Representative Kito, prime sponsor. She pointed out that the CS
modifies Section 1 of HB 91 to link the candidate fee to the
election cycle. She stated that there are no changes to Section
2. She relayed that Section 3 maintains the removal of the $250
lobbyist fee and is amended to incorporate the "stair-step"
schedule of lobbyist fees, which would replace the "income tax"
language. She cited language on page 2, line 31, through to
page 3, line 5, which read as follows:
For each lobbying contract, a lobbyist shall pay a fee
of
(1) $350 for a contract with a value of less than
$30,000;
(2) $650 for a contract with a value of between
$30,000 and $60,000; and 5
(3) $850 for a contract with a value of more than
$60,000.
CHAIR KREISS-TOMKINS removed his objection to the motion to
adopt the proposed CS for HB 91, Version 30-LS0067\D, Bullard,
2/21/17, as the working document. There being no further
objection, Version D was before the committee.
3:13:21 PM
REPRESENTATIVE TUCK moved to adopt Conceptual Amendment 1, which
read as follows [original punctuation provided]:
Page 1, line 11:
Following "files":
Delete: "a declaration of candidacy under AS
15.25.030, a letter of intent under AS 15.13.105,
or a nominating petition under AS 15.25.170"
Insert: "under 15.13.060(c)"
CHAIR KREISS-TOMKINS objected for the purpose of discussion.
REPRESENTATIVE TUCK explained that Conceptual Amendment 1
corrects a drafting error by deleting language beginning on page
1, line 11, of Version D, which read, "a declaration of
candidacy under AS 15.25.030, a letter of intent under AS
15.13.105, or a nominating petition under AS 15.25.170", and
inserting "under 15.13.060(c)". He explained that declarations
of candidacy are functions of the Division of Elections (DOE)
and not functions of the Alaska Public Offices Commission
(APOC). The correction replaces the DOE requirements with APOC
requirements for declarations of candidacy.
CHAIR KREISS-TOMKINS removed his objection to Conceptual
Amendment 1. There being no further objection, it was so
ordered.
3:15:26 PM
REPRESENTATIVE KNOPP moved to adopt Amendment 2, [labeled 30-
LS0067\D.1, Bullard, 2/23/17]. [Amendment 2 is provided at the
end of the minutes on HB 91.]
CHAIR KREISS-TOMKINS objected for the purpose of discussion.
REPRESENTATIVE KNOPP explained that Amendment 2 would eliminate
the requirements for individuals appointed to boards and
commissions to file public official financial disclosures
(POFDs); therefore, exempting them from the annual registration
fee of $50, in Section 7 of HB 91. He asserted that in his
experience with local government, it is difficult to find people
willing to serve on boards and commissions, and he opined that
the requirements for APOC filing discourages them even more. He
expressed his hope that by eliminating these reporting
requirements, more people will be encouraged to serve on boards
and commissions. He added that the second reason for
introducing Amendment 2 is to reduce APOC workload.
REPRESENTATIVE WOOL asked if Amendment 2 would remove the
requirement for filing POFDs for anyone running for city
council, borough, or assembly.
REPRESENTATIVE KNOPP replied no. The amendment would exclude
just those serving on boards and commissions, not public
officials serving on municipal assemblies or councils.
REPRESENTATIVE SAM KITO, Alaska State Legislature, as prime
sponsor of HB 91, testified that exempting board and commission
members from filing would alleviate a financial burden on
uncompensated individuals, as well as reduce the workload of
APOC, which is required to audit 100 percent of its filings.
3:20:06 PM
HEATHER HEBDON, Executive Director, Alaska Public Offices
Commissions (APOC), testified that the exemption of volunteer,
appointed members of municipal boards and commissions would
relieve APOC of a considerable amount of work. She asked for
clarification that Amendment 2 refers to boards and commissions
on the municipal level, not on the state level.
REPRESENTATIVE KNOPP answered that his intent for Amendment 2 is
to include state boards and commissions in the exemption. He
added that some board and commission members are compensated,
some are not, and not all boards and commissions are required to
file with APOC.
MS. HEBDON asserted that the exemption of state level board and
commission members would decrease APOC workload immensely. She
added that APOC relies heavily on third-party sources for
information on appointments and terminations of terms, and the
tracking procedure is difficult.
3:22:44 PM
REPRESENTATIVE LEDOUX cited Representative Knopp's statement
that not all boards and commissions are subject to filing with
APOC. She asked which boards and commissions are exempt from
filing.
REPRESENTATIVE KNOPP offered that the Alaska Gasline Development
Corporation (AGDC) board is not required to file with APOC.
MS. HEBDON responded that she does not have a list of the boards
and commissions not required to file with APOC. She added that
of the existing boards and commissions, only 40 are required to
file with APOC under state statutes.
CHAIR KREISS-TOMKINS asked for examples of boards and
commissions that are required to file with APOC.
MS. HEBDON relayed examples of boards and commissions that file
with APOC, as follows: Alaska State Council on the Arts (ASCA),
Alcohol Beverage Control (ABC) Board, State Assessment Review
Board (SARB), State Board of Education & Early Development,
Alaska Public Broadcasting Commission (APBC), APOC, Alaska
Commercial Fisheries Entry Commission (CFEC), Fishermen's Fund
Advisory and Appeals Council (FFAAC), Big Game Commercial
Services Board (BGCSB), Board of Agriculture and Conservation
(BAC), and Board of Trustees of the Alaska Mental Health Trust
Authority (AMHTA).
MS. HEBDON opined that she agrees with the exemption but
believes there should be more scrutiny before applying a blanket
exemption. She offered that some of the boards and commissions
oversee significant policy decisions and suggested that it may
be good for them to continue reporting to APOC.
3:25:40 PM
REPRESENTATIVE BIRCH referred to Section 3(g) of Version D,
which states that subsection (g) does not apply to a volunteer
lobbyist or a representational lobbyist. He asked if volunteer
or representational lobbyists are exempt from registering with
APOC.
MS. HEBDON responded that she does not believe that a volunteer
lobbyist is required to file a registration with APOC.
REPRESENTATIVE BIRCH asked for confirmation that if a volunteer
lobbyist exceeds the "10 hours in 30 days" lobbying activity
threshold that identifies one as a lobbyist, he/she still would
not have to register because he/she is unpaid.
MS. HEBDON replied that she does not know.
REPRESENTATIVE BIRCH asked for a description of a
representational lobbyist.
MS. HEBDON said that she doesn't know but would provide that
information. She added that her focus has not been on lobbying
laws. She offered that her understanding of representational
lobbyists is that their focus is other than lobbying.
REPRESENTATIVE BIRCH offered that his interest in this question
is to estimate the scope of APOC filings.
3:29:08 PM
CHAIR KREISS-TOMKINS asked for an estimate of how many POFDs are
filed annually and how many would be excluded under Amendment 2.
MS. HEBDON answered that she estimates about 600 members of
boards and commissions would be exempt but pointed out that for
communities of less than 15,000 population, municipal filers are
neither required to file with APOC nor file electronically. She
added that many of the filings are in hard copy and filed with
city clerks. She said she could provide a breakdown of board,
commission, and municipal filers by requirement to file.
CHAIR KREISS-TOMKINS asked how many POFDs are filed with APOC
annually.
MS. HEBDON answered there are about 1,300-1,350 electronic
filers, which includes all categories of filers.
3:31:16 PM
REPRESENTATIVE KNOPP offered that the APOC website indicated
that 1,268 POFDs were filed; there were 360 board and commission
filings.
MS. HEBDON verified that the "360" number refers to state boards
and commissions, not municipal boards and commissions.
3:32:15 PM
REPRESENTATIVE BIRCH, in response to Representative LeDoux,
cited the language regarding representational and volunteer
lobbyists, on page 2 of Version D, starting on line 29, which
read as follows:
The commission may not accept an application for
registration or renew a registration until the fee is
paid. This subsection does not apply to a volunteer
lobbyist under AS 24.45.161 or a representational
lobbyist under regulations of the commission.
REPRESENTATIVE BIRCH asked, "Who's keeping track of volunteer
and representational lobbyists?"
3:33:47 PM
REPRESENTATIVE KITO clarified that Amendment 2 would address the
POFD filers, and the bill language that Representative Birch
cited speaks to which lobbyists must register as lobbyists. He
added that the representational and volunteer lobbyists must
follow certain rules before they are considered lobbyists, and
one goal of HB 91 is to support APOC so that it can put more
resources into APOC's functions regarding lobbyists.
3:34:57 PM
REPRESENTATIVE WOOL referred to the phrase beginning on page 1,
line 2, of Amendment 2, which read, "exempting certain members
of state boards or commissions, municipal school or utility
boards, and city, borough, or unified municipal planning and
zoning commissions". He asked for clarification that the
exemption would be for certain state boards, because the work
involved with filing with APOC is a deterrent from serving;
however, some should not be exempt because of the scope of their
policy decisions.
REPRESENTATIVE KNOPP offered that "exempting certain members" is
stated because not all members of boards and commissions are
required to file.
REPRESENTATIVE WOOL asked for verification that Ms. Hebdon
indicated that some members of boards and commissions should
continue to be required to file.
MS. HEBDON responded yes, that is what she meant.
3:37:09 PM
CHAIR KREISS-TOMKINS asked for examples of boards and
commissions having significant policy-making powers that merit
their inclusion in the POFD filing requirements.
MS. HEBDON responded that two examples are the University of
Alaska Board of Regents (UABoR) and the Regulatory Commission of
Alaska (RCA).
REPRESENTATIVE KNOPP opined that AGDC should be required to file
but does not. He asked Ms. Hebdon for an explanation for how it
was determined which boards and commissions should file and
which were exempt.
MS. HEBDON offered that there is long history behind the
statutory filing requirements for the various state boards and
commissions, and there are about 40 statutes addressing POFDs.
3:39:08 PM
The committee took an at-ease from 3:39 p.m. to 3:46 p.m.
3:46:10 PM
REPRESENTATIVE KNOPP moved to adopt Conceptual Amendment 1 to
Amendment 2, to delete "certain members of state boards" on page
1, line 2, [as numbered on] Amendment 2.
CHAIR KREISS-TOMKINS objected for discussion.
3:47:24 PM
MS. KOENEMAN, regarding Conceptual Amendment 1 to Amendment 2,
suggested there could be a conforming change made to remove
"state board or commission" throughout Amendment 2. For
example, she cited page 2, line 3, [as numbered on] Amendment 2.
3:48:30 PM
The committee took an at-ease from 3:48 p.m. to 3:53 p.m.
3:52:49 PM
CHAIR KREISS-TOMKINS stated that the scope of Amendment 2 was
substantial and indicated HB 91 would be held over.
REPRESENTATIVE BIRCH asked for information on the number of
volunteer and representational lobbyists.
3:55:02 PM
REPRESENTATIVE KNOPP withdrew his motion of adopt Conceptual
Amendment 1 to Amendment 2.
REPRESENTATIVE KNOPP withdrew his motion to adopt Amendment 2.
3:55:47 PM
REPRESENTATIVE LEDOUX asked for an explanation of the difference
between a volunteer lobbyist and a representational lobbyist.
MS. HEBDON answered that a representational lobbyist is someone
who: engages in lobbying for an entity; receives no
compensation or fees other than reimbursement of travel and
personal living expenses; and is required to register with APOC
but not file reports. She added that a volunteer lobbyist
receives no compensation, receives no reimbursement for personal
expenses, and is not required to register or report.
CHAIR KREISS-TOMKINS indicated HB 91 would be held over.
AMENDMENTS
The following amendment to the proposed committee substitute
(CS) for HB 91, Version 30-LS0067\D, Bullard, 2/21/17 was
adopted during the hearing. [Shorter amendments are provided in
the main text only.]
Amendment 2 [30-LS0067\D.1, Bullard, 2/23/17] (withdrawn):
Page 1, line 2, following "Commission;":
Insert "exempting certain members of state boards
or commissions, municipal school or utility boards,
and city, borough, or unified municipal planning and
zoning commissions from filing financial and business
interest statements with the Alaska Public Offices
Commission;"
Page 3, following line 24:
Insert new bill sections to read:
"* Sec. 7. AS 39.50.020(a) is amended to read:
(a) A public official other than the governor or
the lieutenant governor shall file a statement giving
income sources and business interests, under oath and
on penalty of perjury, within 30 days after taking
office as a public official. Candidates for state
elective office other than a candidate who is subject
to AS 24.60 shall file the statement with the director
of elections at the time of filing a declaration of
candidacy or a nominating petition or becoming a
candidate by any other means. Candidates for elective
municipal office shall file the statement at the time
of filing a nominating petition, declaration of
candidacy, or other required filing for the elective
municipal office. Refusal or failure to file within
the time prescribed shall require that the candidate's
filing fees, if any, and filing for office be refused
or that a previously accepted filing fee be returned,
and the candidate's name removed from the filing
records. A statement shall also be filed by public
officials not [NO] later than March 15 in each
following year. On or before the 90th day after
leaving office, a former public official shall file a
final statement covering any period during the
official's service in that office for which the public
official has not already filed a statement. A public
official [PERSONS] who is a chair or member [ARE
MEMBERS] of a state board or commission, municipal
school or utility board, or city, borough, or
municipal planning and zoning commission is [BOARDS OR
COMMISSIONS NOT NAMED IN AS 39.50.200(b) ARE] not
required to file a statement [FINANCIAL STATEMENTS].
* Sec. 8. AS 39.50.030(d) is amended to read:
(d) In addition to the requirements of (b) of
this section, each statement filed under this chapter
by a public official in the executive branch of state
government [OTHER THAN THE CHAIR OR A MEMBER OF A
STATE COMMISSION OR BOARD] must include a disclosure
of the formation or maintenance of a close economic
association involving a substantial financial matter
as required by this subsection. The disclosure must be
sufficiently detailed so that a reader can ascertain
the nature of the association. A public official shall
disclose a close economic association with
(1) a legislator;
(2) a public official who is not an elected
or appointed municipal officer;
(3) a lobbyist; or
(4) a public officer if the person required
to make the disclosure is the governor or the
lieutenant governor.
* Sec. 9. AS 39.50.060(b) is amended to read:
(b) Any person failing or refusing to comply
with the requirements of this chapter, in addition to
the penalties prescribed, shall forfeit nomination to
office and may not be seated or installed in office if
the person has not complied. Nominated, hired, or
appointed officials or [,] commissioners [, CHAIRS, OR
MEMBERS OF COMMISSIONS OR BOARDS SPECIFIED IN
AS 39.50.200(b)] may not be confirmed by the
legislature if compliance has not been made. In the
case of elected officials, the lieutenant governor, or
other certifying authority, may not certify a person's
nomination for office or the person's election to
office if compliance was not made within the time
required. The nomination to office or election to
office shall be certified to the highest vote getter
for that nomination for that office or election to
that office who has complied within the times required
and who shall be declared nominated or elected. For
purposes of this subsection, a person is considered to
have complied within the time required if the person
complies within 30 days after the due date established
by this chapter.
* Sec. 10. AS 39.50.070 is amended to read:
Sec. 39.50.070. Failure to report by certain
public officials. A public official in the executive
branch of state government, other than the governor or
lieutenant governor [OR A CHAIR OR MEMBER OF A STATE
BOARD OR COMMISSION], who refuses or fails to file a
report of financial interests required under this
chapter when due may not hold office, and the person's
name may not be submitted to the legislature for
confirmation, until the person complies. The person
may not be confirmed, hired, or appointed, and the
person forfeits and may not be paid any salary, per
diem, or travel expenses, until the person complies.
If, after installation in office or beginning
employment in the position, the person refuses or
fails to file the required statement when due, the
person is guilty of a misdemeanor and upon conviction
is punishable by a fine of not less than $100 nor more
than $1,000 and shall be removed from office if
compliance is not made within 30 days after the due
date of the report."
Renumber the following bill sections accordingly.
Page 4, following line 13:
Insert a new bill section to read:
"* Sec. 13. AS 39.50.080 is repealed."
Renumber the following bill section accordingly.
[End of amendment - HB 91 was held over.]
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB001 Sponsor Statement 2.15.17.pdf |
HSTA 2/23/2017 3:00:00 PM |
HB 1 |
| HB001 ver A 2.15.17.pdf |
HSTA 2/23/2017 3:00:00 PM |
HB 1 |
| HB001 Sectional Analysis 2.15.17.pdf |
HSTA 2/23/2017 3:00:00 PM |
HB 1 |
| HB001 Supporting Document-Voting Information and Statistics 2.17.17.pdf |
HSTA 2/23/2017 3:00:00 PM |
HB 1 |
| HB001 Supporting Document-PEW Report 2.15.17.pdf |
HSTA 2/23/2017 3:00:00 PM |
HB 1 |
| HB001 Fiscal Note 2.21.17.pdf |
HSTA 2/23/2017 3:00:00 PM |
HB 1 |
| HB091 Proposed Committee Substitute ver D 2.21.17.pdf |
HSTA 2/23/2017 3:00:00 PM |
HB 91 |
| HB091 Draft Proposed Amendment ver D.1 2.23.17.pdf |
HSTA 2/23/2017 3:00:00 PM |
HB 91 |
| HB091 Draft Conceptual Amendment 2.23.17.pdf |
HSTA 2/23/2017 3:00:00 PM |
HB 91 |