05/03/1996 08:20 AM House FIN

  SENATE BILL 141                                                              
                                                                               
       "An Act  relating to legislative ethics;  and providing                 
       for an effective date."                                                 
                                                                               
  MARJIE  MACNEILLE,  MEMBER,  ETHICS   COMMITTEE,  ANCHORAGE,                 
  provided a sectional  analysis of the proposed  legislation.                 
  [Copy on file].   She noted that some  of the sections would                 
  make  "compliance"  with  the  ethics  law  easier  for  the                 
  legislators.  Section #9, dealing with conflict of interest,                 
  would be one  of those  sections.  Sections  #13, #19,  #21,                 
  make the ethics concern more easily applied.                                 
                                                                               
  Ms.  MacNeille thought  that  some  proposed  changes  could                 
  damage  the public  trust  in the  legislators if  they were                 
  enacted.  She  pointed out the  first concern in Section  5,                 
  Page  4, Subsection  (2), which  addresses the  uses  of the                 
  State's  resources  for personal  benefit.   She  added that                 
  Section  2(C)  addresses  telephone  and  facsimile  use;  a                 
  section in which there is no ethical constraint indicated.                   
                                                                               
                                                                               
  Ms. MacNeille referenced Section 5(A),  Page 5, which allows                 
                                                                               
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  the use of state property for personal purposes or political                 
  fund raising and campaigning.   A key portion of  the ethics                 
  effort  is that campaigning  be kept separate.   Section 10,                 
  Page  8,  Line 29,  suggests  that extensive  political work                 
  could be allowed as  part of a legislator staffers day.  She                 
  stressed that impression should not be allowed.                              
                                                                               
  Ms. MacNeille continued,  speaking to  Section 20, Page  12,                 
  Line  11.   The language  would  permit legislators  to take                 
  discounts  which  are  available while  traveling  on  State                 
  business.  She  disagreed with discounts taken  during State                 
  business  travel.   Co-Chair Hanley  asked the  consequences                 
  while  on  per diem,  taking a  discounted  room rate.   Ms.                 
  MacNeille  stated  that  the  amount   should  be  reported.                 
  Representative Kelly  and Ms. MacNeille  discussed discounts                 
  and whether they  should be  allowed.  Representative  Brown                 
  agreed  with Ms.  MacNeille  in deleting  Line 11,  Page 12,                 
  which references "state  business".  She  saw it as a  "loop                 
  hole" which  would significantly expand the  opportunity for                 
  people  to  receive benefits  because  of their  legislative                 
  status.                                                                      
                                                                               
  Representative Brown advised that there was a section in the                 
  legislation which defines what  legislators could accept for                 
  purposes of legislative concern.                                             
                                                                               
  SUSIE  BARNETT,  (TESTIFIED   VIA  TELECONFERENCE),   STAFF,                 
  LEGISLATIVE ETHICS  COMMITTEE, ANCHORAGE,  pointed out  that                 
  language was cited on Page 12, Line 14.                                      
                                                                               
  REPRESENTATIVE DAVID FINKELSTEIN added that there were "gift                 
  limits" and the  referenced language  would clarify that  an                 
  "in-kind"  gift  would  not be  a  way  to  get around  that                 
  concern.  Discounts  could be  taken up to  the gift  level,                 
  although, a legislator could not go beyond that amount.                      
                                                                               
  Representative Martin expressed concerns  with the discounts                 
  provided  through  use  of  the  Frequent  Mileage  Program.                 
  Representative Finkelstein replied that concern would not be                 
  affected by the ethics law.                                                  
                                                                               
  Ms.  MacNeille  continued overviewing  the remainder  of the                 
  bill.   She pointed  out that  Section 43  was  the area  of                 
  greatest  concern  to the  Ethics  Committee.   That section                 
  relates to  complaints, while  they are  confidential, until                 
  the committee  determines that  there is  probable cause  to                 
  believe that a violation has occurred.                                       
                                                                               
  Representative Kelly commented that  the "public perception"                 
  seemed to  dominate the theme of the Ethic Committee's work.                 
  He asked if that was  the intent within committee's purpose.                 
  Ms. MacNeille replied  that it is  important how the  public                 
                                                                               
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  sees the Legislature operating in order that the voters will                 
  have confidence in the integrity of the system.   It is part                 
  of the Ethics Committee's role.                                              
                                                                               
  (Tape Change, HFC 96-157, Side 2).                                           
                                                                               
  In response  to Representative  Kelly, Representative  Brown                 
  pointed out  that in statute,  in the  findings and  purpose                 
  section,  that  concern  is  addressed.     She  added  that                 
  information is significant.                                                  
                                                                               
                                                                               
  Representative  Brown referenced  Page 23, Lines  20-28, and                 
  asked how it would be addressed.  Would the Ethics Committee                 
  be able to impose reasonable  restrictions on the release of                 
  information that impose restrictions.  Ms. MacNeille thought                 
  that  the  restrictions  should  apply  to  everyone.    She                 
  suggested deletion  of everything following  Line 24 through                 
  Line 28, addressing that concern.                                            
                                                                               
  Co-Chair  Hanley  asked if  Ms.  MacNeille thought  that the                 
  person  subject  to the  complaint  should be  able  to file                 
  information.   Ms.  MacNeille responded,  that person  could                 
  waive  confidentiality.     Co-Chair  Hanley  thought  those                 
  restrictions  could  be  imposed  on   the  release  of  any                 
  information.    Ms.  MacNeille stated  that  could  occur to                 
  protect the privacy of the person.                                           
                                                                               
  Representative Kelly  added  that  "shepparding  the  public                 
  interest" was different than public disclosure  and conflict                 
  of  interest.     He  suggested  that  the   intent  of  the                 
  documentation was  to make legislators  "look better" rather                 
  than addressing conflict of interest.                                        
                                                                               
  SB 141 was HELD in Committee for further discussion.