Legislature(1999 - 2000)
04/28/1999 01:20 PM House JUD
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HJR 18 - CONST. AM: ADMINISTRATIVE HEARINGS CHAIRMAN KOTT announced the first order of business is House Joint Resolution 18, Proposing amendments to the Constitution of the State of Alaska relating to an office of administrative hearings. Number 0137 REPRESENTATIVE MURKOWSKI said the subcommittee met and made some changes to the resolution. She indicated that Subsection C was added on page 1, beginning on line 14, and reads as follows: The legislature may exempt any agency of the State from (a) of this section by law. REPRESENTATIVE MURKOWSKI further stated that this was added to address the concerns that were in the initial resolution where it appeared that the legislature, in fact, did not have the authority to decide who may or may not be in or out with regards to the full centralized office of administrative hearings. She said there had been some discussion over language that would have specifically exempted boards and commissions. She feels, as do those on the subcommittee, that this legislation is far from perfect, and that it needs review during the interim. REPRESENTATIVE ROKEBERG stated that he is satisfied with the stipulation, regarding an agency and the ability to include or exclude, to include the boards and the commissions. He believes this will help the success of this resolution. REPRESENTATIVE CROFT asked, "What change does this make in our power to do anything in this area?" REPRESENTATIVE MURKOWSKI stated that she understood that the testimony indicates that the public needs to basically provide the direction to the legislature that "you shall create an office of administrative hearing that is your centralized office." She said if this is not put before the people then this legislature would not do it. REPRESENTATIVE CROFT commented that it does not change the legal authority in this area. REPRESENTATIVE MURKOWSKI replied that she does not believe it changes the legal authority in this area. Number 0430 REPRESENTATIVE JAMES stated that she was happy to see the inclusion of Subsection C because she feels, without it, the issue is dead. She said, "I think this is probably one of the best things that we could do. It couldn't have been done by statute, but we couldn't pass it by statute. We might have a little problem getting a constitutional amendment passed. I'd be happy to talk to anybody about this issue. From a practical standpoint, I know that what happens with us when we have a system, and you get used to the system, we don't want change, and we think that what we're doing works perfectly fine. We can find all kinds of excuses, from the fact that no one else would know how to do this. No one else would have the expertise. All of those kinds of excuses are not valid excuses. It's to say that, 'I'm the only one that smart, and no one else is smart, so no one else can do this besides me.' So, I think ... in the regulation process, where the regulations are written by the agency, they are enforced by the agency, and, if you want to appeal any of those actions, you appeal to the same agency. That is not democracy. So, I think this is a really good plan to have innocent, third-party decision-makers in the appeal process." Number 0584 REPRESENTATIVE ROKEBERG stated that he would also prefer to have this done by statute. He said, "But that would require that the administration would cooperate (indisc.)." REPRESENTATIVE CROFT said no and stated, "We have a veto-proof majority. We can do it anytime we want." REPRESENTATIVE ROKEBERG indicated that it is his preference that the administration and legislature work jointly on this. He thinks it is an excellent model for reducing costs and providing better service to the people of Alaska. He made a motion to adopt the proposed committee substitute [Version I, Cook, 4/27/99]. There being no objection, it was so ordered. REPRESENTATIVE ROKEBERG made a motion to move Version I, with individual recommendations and zero fiscal notes, out of the committee. CHAIRMAN KOTT objected, noting that they did not have the votes. He asked Representative Rokeberg to withdraw his motion. Number 0666 REPRESENTATIVE ROKEBERG withdrew his motion. CHAIRMAN KOTT asked Representative Murkowski to comment on her concerns regarding the resolution. Number 0685 REPRESENTATIVE MURKOWSKI stated that it is her understanding that the attempt the sponsor made, in terms of getting the resolution through statutorily, was rather tortuous, and ended up with a product that was not feasible. She noted that there was some concern expressed that it cannot be done statutorily because there was some opposition from those within the department and the administration. Her indication is that the administration recognize the benefits and merits of pursuing this and are willing to work with the sponsor and subcommittee to make it happen. She said, "Because it is such a major step, though, in terms of how we handle our administrative hearings, it wasn't something that my subcommittee is able to do at this point in time. I don't think, though, that that same resistance, if you will, or perceived resistance is there now. I think that there is a recognition that perhaps the system does not work as it should. ... I think that it deserves more scrutiny and more work." REPRESENTATIVE JAMES stated that she appreciates what Representative Murkowski said. She believes that if the administration cooperated, there is no reason that this could not be done by statute. She indicated that she is encouraged by the tone reported from the administration by Representative Murkowski. She thinks that maybe having a constitutional amendment has made them look a little harder, or maybe they have been persuaded in some other way. Number 0876 CHAIRMAN KOTT noted that from his discussion with the administration it was suggested that they were more than willing to sit down and craft some legislation that would attempt to satisfy the intent of the resolution. He is concerned about "entrenching our Constitution." He stated that a statute would have to be passed to make this work, and he does not think putting the cart before the horse is the way to go. It is his intent to hold the resolution in the committee and work on the resolution during the interim. He commented that it is not the intent to let the resolution sit in committee without subsequent legislation going forward. REPRESENTATIVE JAMES stated that she would be willing to offer her expertise on this issue. CHAIRMAN KOTT indicated that he does not want anyone in the administration to think that the resolution is "D.O.A" [dead on arrival] to this committee. He stated that he would like to have one shot to work on the resolution in order to give it a legitimate chance to pass. REPRESENTATIVE CROFT said, "I was here when the statutory version by the same sponsor as this resolution came before us. And, I mean, it was this committee, in its prior form, saw enough problems with it that we didn't think it should go forward. It has serious flaws that the sponsor never rectified, never corrected. I've before had the experience of driving down the road and rolling down the window and telling somebody they've got a flat tire and having them be pissed off at me. I mean, the administration just pointed out the problems that were in the bill, and that's their job. It is not the administration that killed this bill, the Judiciary Committee killed this bill because it had-last year's bill-[be]cause it had serious flaws that were never corrected, and this year I think the Judiciary Committee has appropriate concerns about this all-or-nothing approach. ... There's never been a governor's veto of a statute, it's never gotten that far [be]cause it's never been put in any kind of form that approached reasonable. It is an extremely time-consuming process to do this right, to try and do it in a blanket approach. You end up with huge, unintended consequences; some of which are obvious, some which take a long time to figure out. ... We may end up, after doing this all session, or all interim, with the conclusion that there isn't any significant savings to be had [be]cause the numbers of places that we do this are so small that you're accumulating small. ... Putting in our constitution, a directive to do what we have the power to do now, but allowing us to not do it if we decide not to, is simply, in my mind, ridiculous." Number 1271 CHAIRMAN KOTT stated that maybe no savings will be found. REPRESENTATIVE MURKOWSKI said she was glad that the committee is willing to undertake this throughout the interim and look at just those issues. She stated that the items Representative Croft mentioned are exactly accurate. It is her opinion that there are very serious and substantial flaws with the resolution. She hopes the committee considers the concept during the interim, not whether or not there is a joint resolution coming forward. She appreciates that Representative Ogan has kept the issue in the forefront. CHAIRMAN KOTT added that he also applauds Representative Ogan's attempt. He believes it is a great concept that needs to be furthered. REPRESENTATIVE JAMES agrees that this is the way to go. She feels, without cooperation and help from the administration, that changes cannot be made. She would also like to fit dispute resolution into the process in order to have it as the first opportunity, and, if that does not resolve anything, then have it go on to a hearing officer. She stated that her goal is to create a better relationship between the agencies and the public, and what the public does. CHAIRMAN KOTT stated that it would be taken into consideration. Number 1481 REPRESENTATIVE ROKEBERG stated that he does not entirely agree with the diagnoses of the "death" of this resolution last year. He believes from discussions with the sponsor that it was as much the administration's reluctance to further work on the issue as much as anything else. REPRESENTATIVE CROFT said, "The administration has no seat on this committee. I mean, the committee decided from the (indisc.), and I asked the sponsor then and I'll ask him again this, 'What questions hasn't the administration, ... or whoever, answered on behalf?' Last year when I asked him that, it was, 'None, but we just don't think they like it.' Of course they didn't like it. We didn't like it. It didn't work, but that's not their fault. I guess he wanted them to rewrite the bill, ... They didn't do that, but they did say, I mean, clearly on the record, where the problems areas were, and what to do with it. ... I will ask again, 'What questions haven't been answered?' I think they have been, and I think it's just, it's a very difficult, time-consuming area to do right, and it has not been done right to date." Number 1562 CHAIRMAN KOTT said if the resolution had ended up in the House Judiciary Standing Committee they could have moved it out if the votes were there. He is not sure about the details, but it is obvious to him that there must have been a problem or some concerns by some of the committee members. REPRESENTATIVE JAMES stated that the best way to provide a working piece of legislation is for "us to sit on the committee, and have the administration out there, and we have this interchange." She indicated that this did not happen last year, and that this year the administration was not interested in having anything move forward. She feels that if there is a change of heart now, she is excited. CHAIRMAN KOTT indicated that the bill would be held over for further consideration.
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