Legislature(2021 - 2022)BUTROVICH 205
03/03/2022 03:30 PM Senate STATE AFFAIRS
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Audio | Topic |
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Start | |
SB145 | |
SB136 | |
SR3 | |
HB157 | |
SB115 | |
SB161 | |
Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
+= | SB 136 | TELECONFERENCED | |
+= | SB 152 | TELECONFERENCED | |
+= | SB 167 | TELECONFERENCED | |
+= | HB 123 | TELECONFERENCED | |
+ | TELECONFERENCED | ||
*+ | SR 3 | TELECONFERENCED | |
+= | SJR 20 | TELECONFERENCED | |
+= | SB 92 | TELECONFERENCED | |
+= | SB 145 | TELECONFERENCED | |
+= | HB 157 | TELECONFERENCED | |
+= | SB 115 | TELECONFERENCED | |
+= | SB 161 | TELECONFERENCED | |
HB 157-APOC; REPORT REFERENDA/RECALL CONTRIBUTOR 3:58:57 PM CHAIR SHOWER announced the consideration of CS FOR HOUSE BILL NO. 157(FIN) "An Act requiring the disclosure of the identity of certain persons, groups, and nongroup entities that expend money in support of or in opposition to an application filed for a state referendum or recall election; relating to the location of offices for the Alaska Public Offices Commission and the locations at which certain statements and reports filed with the commission are made available; relating to the duties of the Alaska Public Offices Commission; clarifying the limits on making, accepting, and reporting certain cash campaign contributions; relating to campaign finance reporting by certain groups; increasing the time the Alaska Public Offices Commission has to respond to a request for an advisory opinion; repealing a reporting requirement for certain contributions; relating to contribution limits and recall campaigns; and providing for an effective date." 4:00:00 PM REPRESENTATIVE SARA RASMUSSEN, Alaska State Legislature, Anchorage, Alaska, sponsor of HB 157 stated that this legislation will require certain campaign finance activity to be reported earlier. The law currently allows groups to launch campaigns to change major policies or remove elected officials from office without releasing financial information until late in the process. HB 157 would require disclosure of contributions and expenditures made to influence a referendum or recall effort to earlier in the statutory process as well as reporting certain campaign finance activity prior to collection of signatures. She said Alaskans want an honest transparent process and deserve to know who is behind any effort to affect the state's political and economic future. HB 157 closes a loophole that could be exploited by dark money and special interests. 4:01:16 PM CRYSTAL KOENEMAN, Staff, Representative Sara Rasmussen, Alaska State Legislature, Anchorage, Alaska, presented the sectional analysis for HB 157. Section 1: AS 15.13.010(b) Applicability related to State Election Campaigns. Adds language to the applicability section that state the chapter applies to contributions, expenditures, and communications that are made to influence the nomination or election of a candidate. And for the purpose of influencing a ballot proposition or question or for supporting or opposing and initiative proposal, recall, or referendum. Section 2: AS 15.13.020(j) Alaska Public Offices Commission. Removes the requirement for an APOC office to be located in each Senate District. Section 3: AS 15.13.030 Duties of the commission. Removes the word "ALL" from the phrase "examine, investigate, and compare [all] reports, statements, and actions required by this chapter." 4:02:43 PM Sections 4-8: AS 15.13.040(b), 15.13.072(b), and 15.13.074(e). Clarifies that contributions and expenditures are in a calendar year instead of left open ended. Section 5: AS 15.13.050(a) Registration before expenditure. Adds language regarding referendums or recalls to the statute that requires persons to register with APOC prior to making an expenditure. Section 6: AS 15.13.065(c) Contributions. Adds language related to referendum and recall applications to what is included in the definition of proposition. Section 9: AS 15.13.110(e) Filing of Reports. Rewrites the language related to those receiving or making expenditures to support or oppose referendums. This language is identical to the language contained in AS 15.13.040(k) for ballot proposition reporting requirements and AS 15.13.110(g) for ballot initiative reporting requirements. 4:04:02 PM Section 10: AS 15.13.110 Filing of Reports. Adds a new subsection (k) for those receiving or making expenditures to support or oppose a recall. This language is similar to Section [9] of this bill and AS 15.13.040(k) for ballot proposition reporting requirements and AS 15.13.110(g) for ballot initiative reporting requirements. (This is the conforming language to align the recall/referendum reporting requirement with the ballot props and initiatives. Section 12 14 are modify definitions to include the new language for recall and referendums.) Sections 12-14: AS 15.13.400(4), and (7) Definitions. Modifies the definition of "contributions" to include groups and referendum and recall applications, modifies the definition of "expenditures" to include referendum and recall applications, and modifies the definition of "group" to include referendum and recall applications. 4:05:03 PM Sections 15-16: AS 24.45.091 Publication of reports. Provides for publication of reports and archives of statements and reports to be posted on their website as well as have copies available at the central office. Section 17: Repeals AS 15.13.040(k). Provides that recall applications are subject to group contribution limitations whereas referendum applications are not. Section 18: Uncodified law. States that this Act applies only to referendums or recalls that are filed on or after the effective date of this Act. Section 19: Provides for a January 1, 2022 effective date. MS. KOENEMAN suggested the committee offer a friendly amendment to update the effective date to January 1, 2023. 4:06:20 PM SENATOR HOLLAND asked if any group opposed the bill. REPRESENTATIVE RASMUSSEN answered no, but there was debate on the House floor about creating a bar that is too challenging for individual Alaskans to participate in the recall process. 4:07:20 PM SENATOR KAWASAKI referenced the [March 12, 2021] memorandum from Legislative Legal Services that cites the Ninth Circuit discussion of First Amendment rights. He asked for more information about First Amendment rights related to fund raising. He noted that the last sentence on page 5 somewhat countermands the rest of the memo. REPRESENTATIVE RASMUSSEN read the last sentence on page 5 of the memo. Accordingly, while it is not certain at what point an Alaska court might determine that speech relating to a recall or referendum application, for a measure that may or may not appear on the ballot, can constitutionally be required to be disclosed, this bill's expansion of disclosure requirements in the recall and referendum context will likely survive a First Amendment challenge. She offered her takeaway HB 157 protects First Amendment rights. SENATOR KAWASAKI directed attention to the last paragraph on page 4 of the memo that expresses uncertainty about "how a court would evaluate this bill's expansion of disclosure requirements relating to funds made in support or in opposition to a recall or referendum application." He highlighted that this language expresses uncertainty and the next paragraph seems fairly certain. He questioned the reason for the statement on page 5 and asked if there were other issues she could cite that affirm that paragraph. REPRESENTATIVE RASMUSSEN deferred the question to her staff. 4:09:57 PM MS. KOENEMAN said the uncertainty in the final paragraph may reflect the hypotheticals she went through with legislative counsel Alpheus Bullard that looked at whether anything in the bill would preclude somebody from moving forward with this process if they had to disclose that financial information ahead of time. Nevertheless, Mr. Bullard ultimately concluded that there should not be any First Amendment concerns. CHAIR SHOWER asked Heather Hebdon if she had any comments. 4:11:21 PM HEATHER HEBDON, Executive Director, Alaska Public Offices Commission, Anchorage, Alaska, stated that she had no comment about the constitutional concern. SENATOR HOLLAND asked if Section 2 would result in APOC office closures. REPRESENTATIVE RASMUSSEN answered that current statute requires an APOC office to be located in each Senate district. She offered her understanding that the statute has not been followed for some time and Section 2 removes the requirement. CHAIR SHOWER said the suggested friendly amendment to change the effective date will be offered in the next hearing. He commented on the reporting requirements and opined that transparency is important in all aspects of government. He noted that he had not seen any opposition to the bill but had seen support where he wouldn't expect. He expressed appreciation for the intent of the bill. 4:13:30 PM SENATOR REINBOLD commented that this may not be the vehicle, but she would like to see more transparency where lobbyists are concerned. CHAIR SHOWER suggested she work with the sponsor. He asked for the reason to clarify that contributions and expenditures are in a calendar year. MS. KOENEMAN replied the statute does not delineate whether it is a calendar year or fiscal year. This makes it clear that the intent is to track contributions and expenditures in a calendar year. CHAIR SHOWER asked if this provision would create an opportunity to delay reporting when there's an election in November and the calendar year doesn't end until December 31. MS. KOENEMAN deferred the question to Ms. Hebdon. 4:16:26 PM CHAIR SHOWER restated the question. 4:17:02 PM MS. HEBDON said she didn't see that this would change current practice. APOC's current guidance is that the reportable date is when the contribution was received. CHAIR SHOWER said he wanted it a matter of record that this is how it works now and the bill doesn't change that. 4:17:43 PM SENATOR KAWASAKI asked for confirmation that Section 2 would not prevent APOC from establishing offices outside the central office. MS. HEBDON replied that was her reading; it does not preclude APOC from opening additional offices or require it to close any offices. It simply establishes a central office. SENATOR KAWASAKI recalled a discussion several decades ago about closing APOC entirely. He asked how the current APOC budget compares to what it was 20 years ago. MS. HEBDON said she didn't have the numbers in front of her but she believes that the budget grew substantially over about 20 years and has declined dramatically over the past six years. MS. KOENEMAN added that a 10-year-lookback at personnel in the APOC office shows there were 13 PCNs [position control numbers] in 2015, 4 of which were dedicated to campaign finance, and 8 PCNs in 2021, 2 of which are dedicated to campaign finance. CHAIR SHOWER asked her to review the fiscal note. 4:20:47 PM MS. KOENEMAN stated that APOC's fiscal note requests $111,700 for one PCN full-time employee, range 14-16 flex for a paralegal I/II and associated costs. She said she believes the added personnel would likely benefit the commission given the change in reporting and increased the workload on APOC staff. CHAIR SHOWER opined that $111,000 is a bargain given that people want to know where the money that flows into the state is coming from and how it's spent. 4:22:07 PM CHAIR SHOWER opened public testimony on HB 157; finding none, he closed public testimony. CHAIR SHOWER held HB 157 in committee.
Document Name | Date/Time | Subjects |
---|---|---|
support 6 letters.pdf |
SSTA 3/3/2022 3:30:00 PM |
SB 156 |
SB 167opposition letter.pdf |
SSTA 3/3/2022 3:30:00 PM |
SB 167 |