Legislature(1997 - 1998)
03/21/1997 09:03 AM Senate FIN
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
SENATOR WARD spoke in support of proposed changes
regarding the make-up of the task force. SENATOR
DONLEY MOVED Amendment #1. SENATOR TORGERSON objected
for the purpose of discussion. SENATOR DONLEY WITHDREW
Amendment #1 and MOVED Amendment #2. There was no
objection and Amendment #2 was ADOPTED. SENATOR DONLEY
MOVED CSSB 68(FIN) from committee with individual
recommendations. Without objection, CSSB 68(FIN) was
REPORTED OUT with updated fiscal notes from Legislative
Affairs Agency (17.9), Office of Management and Budget
(indeterminate) and Office of the Governor
(indeterminate).
SENATE BILL NO. 68
"An Act relating to the Task Force on Privatization; and
providing for an effective date."
COCHAIR SHARP announced that SB 68 would be taken up next.
He noted there were two proposed amendments and asked for
comment from the bill sponsor.
SENATOR JERRY WARD, Sponsor, testified that he had worked
with SENATOR DONLEY and felt the concept of the legislation
was improved. The concept originally was taken from the
Alaska State Chamber of Commerce. He believed amendments
made in the State Affairs Committee as well the currently
proposed amendments would improve the legislation, and he
was in concurrence. His intent with the legislation was not
to hurt public service by taking a hatchet approach to
privatization, but to look at it in a businesslike and
professional manner.
SENATOR DONLEY MOVED Amendment #1 which placed a fiscal note
on the bill for one staff person in FY 98 and a half-
position in FY 99. He believed the task force would have a
major undertaking and there was no provision for how it
would be staffed. He believed the legislative budget had
been dramatically reduced over the last several years to the
extent that existing staff levels could not handle the
workload of the task force.
SENATOR TORGERSON objected for the purpose of discussion.
He called attention to another fiscal note from Legislative
Affairs Agency (LAA) for $28,000 and asked if Amendment #1
would replace that fiscal note. SENATOR DONLEY responded
that it would be in addition to the LAA fiscal note.
SENATOR TORGERSON summarized that the cost would now be
$120,000 and suggested the staff position be privatized.
SENATOR WARD agreed and stated his original intent was to
use existing staff as much as possible. He also agreed with
SENATOR DONLEY that it was a major undertaking because there
are many parts of government, and none of the other states
he researched had tried to do it with existing staff.
SENATOR PARNELL stated he would not support Amendment #1
because he believed the sponsor was clear in prior testimony
that it would not require additional staff. Also, based on
his experience with the Long-Range Financial Planning
Commission, OMB would bring whatever resources to bear that
needed to be brought, and the legislature could do the same,
although they could not match OMB's resources. Also, the
chair would typically have full and exclusive use of the
staff person. He reiterated that he opposed the amendment.
SENATOR DONLEY asked if a full-time position had been funded
for the commission. SENATOR PARNELL confirmed and cited
that experience as reason for opposition to Amendment #1.
SENATOR DONLEY continued discussion about staff workload.
SENATOR TORGERSON stated his position that full-time staff
would not be needed, but felt a fiscal adjustment would be
needed if the next amendment was adopted, and he would be
supportive of that.
SENATOR DONLEY WITHDREW his motion to adopt Amendment #1 and
stated his hope that leadership would devote sufficient
resources to the task force. He didn't believe Legislative
Finance had the capability to coordinate the task force and
if someone was not designated, it wouldn't get done right.
SENATOR DONLEY MOVED Amendment #2. COCHAIR SHARP objected
for the purpose of an explanation. SENATOR DONLEY stated
there was extensive discussion at the last meeting about the
make up of the task force and previous experience with the
Long Range Fiscal Planning Commission led them to feel
under-represented at the table. Just having one majority
member from both the House and Senate would continue the
same problem. Amendment #2 would add an additional majority
member from both the House and Senate and an additional
person that the governor could appoint. Two of the three
positions the governor would be appointing would be from
workers and one of those would be white collar and one would
be blue collar. That would be defined as somebody who was
active in trades, representing trade type work. He ran the
language by several groups of people and no one could come
up with anything better so far, so it seemed to be
acceptable to most people out there. The amendment
increased the task force to thirteen. COCHAIR SHARP removed
his objection.
SENATOR PARNELL stated his earlier concern that they were
guaranteeing a place at the table for people with financial
interests in the outcome. They weren't guaranteeing any
private sector seats, but labor and legislative membership
was guaranteed. His understanding was that by increasing
the number of labor representatives the governor would be
appointing, it would free up the president and speaker from
having that pressure exerted on them and they could appoint
some public members with interest on the other side. He
reiterated his main concern that there was no guarantee for
private sector involvement even though the task force was to
look at privatization.
COCHAIR SHARP asked if there was additional discussion or
objection to adopting Amendment #2. There being none,
Amendment #2 was ADOPTED. COCHAIR SHARP asked that the LAA
fiscal note be updated according to the amendment.
SENATOR DONLEY MOVED CSSB 68(FIN) from committee with
individual recommendations. Without objection, CSSB 68(FIN)
was REPORTED OUT with updated fiscal notes from Legislative
Affairs Agency (17.9), Office of Management and Budget
(indeterminate) and Office of the Governor (indeterminate).
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