Legislature(2013 - 2014)HOUSE FINANCE 519

04/01/2014 08:30 AM House FINANCE


Download Mp3. <- Right click and save file as

* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 278 EDUCATION: FUNDING/TAX CREDITS/PROGRAMS TELECONFERENCED
Heard & Held
+= HB 21 FOUR-DAY SCHOOL WEEK TELECONFERENCED
Moved CSHB 21(FIN) Out of Committee
+= HB 127 OMBUDSMAN TELECONFERENCED
Moved CSHB 127(JUD) Out of Committee
HOUSE BILL NO. 127                                                                                                            
                                                                                                                                
     "An Act  clarifying that the Alaska  Bar Association is                                                                    
     an  agency  for  purposes   of  investigations  by  the                                                                    
     ombudsman;  relating to  compensation of  the ombudsman                                                                    
     and  to  employment of  staff  by  the ombudsman  under                                                                    
     personal  service  contracts;  providing  that  certain                                                                    
     records of communications between  the ombudsman and an                                                                    
     agency are  not public records; relating  to disclosure                                                                    
     by  an  agency  to   the  ombudsman  of  communications                                                                    
     subject  to attorney-client  and attorney  work-product                                                                    
     privileges; relating to informal  and formal reports of                                                                    
     opinions and  recommendations issued by  the ombudsman;                                                                    
     relating  to  the privilege  of  the  ombudsman not  to                                                                    
     testify  and  creating  a  privilege  under  which  the                                                                    
     ombudsman   is  not   required   to  disclose   certain                                                                    
     documents;  relating to  procedures for  procurement by                                                                    
     the ombudsman;  relating to the definition  of 'agency'                                                                    
     for  purposes  of  the   Ombudsman  Act  and  providing                                                                    
     jurisdiction  of the  ombudsman over  persons providing                                                                    
     certain  services   to  the  state  by   contract;  and                                                                    
     amending Rules 501 and 503, Alaska Rules of Evidence."                                                                     
                                                                                                                                
9:14:15 AM                                                                                                                    
                                                                                                                                
Co-Chair Stoltze noted his  successful effort in determining                                                                    
a lack  of objection to  the legislation from the  Office of                                                                    
Victims' Rights.                                                                                                                
                                                                                                                                
Co-Chair Austerman  informed the  committee that  the bill's                                                                    
sponsor  was  the  House  Rules  Committee  by  request.  He                                                                    
wondered who requested the legislation.                                                                                         
                                                                                                                                
Co-Chair Stoltze  replied that  the Office of  the Ombudsman                                                                    
requested the bill.                                                                                                             
                                                                                                                                
9:15:16 AM                                                                                                                    
                                                                                                                                
Representative  Costello  discussed  the  bill's  four  zero                                                                    
fiscal notes.                                                                                                                   
                                                                                                                                
Co-Chair  Stoltze  stated that  the  agency  existed in  the                                                                    
legislature's budget.                                                                                                           
                                                                                                                                
Vice-Chair Neuman  asked about  page 2, lines  9 and  10. He                                                                    
discussed  the  confidential  negotiations with  the  Alaska                                                                    
Gasline  Development Corporation  (AGDC).  He  asked if  the                                                                    
ombudsman's office  would have access to  the state agency's                                                                    
records of the confidential hearings.                                                                                           
                                                                                                                                
Co-Chair Stoltze replied that he did not know the answer.                                                                       
                                                                                                                                
Representative  Thompson echoed  the concerns  of Vice-Chair                                                                    
Neuman.  He  wondered  if the  agency's  authority  was  too                                                                    
broad.                                                                                                                          
                                                                                                                                
Co-Chair Stoltze  stated that he  would hold the  bill until                                                                    
the concerns of the members could be alleviated.                                                                                
                                                                                                                                
[Note: Further discussion  and action on CSHB  127 (JUD) can                                                                    
be found later in this meeting.]                                                                                                
                                                                                                                                
HOUSE BILL NO. 127                                                                                                            
                                                                                                                                
     "An Act  clarifying that the Alaska  Bar Association is                                                                    
     an  agency  for  purposes   of  investigations  by  the                                                                    
     ombudsman;  relating to  compensation of  the ombudsman                                                                    
     and  to  employment of  staff  by  the ombudsman  under                                                                    
     personal  service  contracts;  providing  that  certain                                                                    
     records of communications between  the ombudsman and an                                                                    
     agency are  not public records; relating  to disclosure                                                                    
     by  an  agency  to   the  ombudsman  of  communications                                                                    
     subject  to attorney-client  and attorney  work-product                                                                    
     privileges; relating to informal  and formal reports of                                                                    
     opinions and  recommendations issued by  the ombudsman;                                                                    
     relating  to  the privilege  of  the  ombudsman not  to                                                                    
     testify  and  creating  a  privilege  under  which  the                                                                    
     ombudsman   is  not   required   to  disclose   certain                                                                    
     documents;  relating to  procedures for  procurement by                                                                    
     the ombudsman;  relating to the definition  of 'agency'                                                                    
     for  purposes  of  the   Ombudsman  Act  and  providing                                                                    
     jurisdiction  of the  ombudsman over  persons providing                                                                    
     certain  services   to  the  state  by   contract;  and                                                                    
     amending Rules 501 and 503, Alaska Rules of Evidence."                                                                     
                                                                                                                                
10:00:56 AM                                                                                                                   
                                                                                                                                
Co-Chair Stoltze discussed HB  127. He acknowledged that the                                                                    
testifiers were online to speak about the bill.                                                                                 
                                                                                                                                
LINDA   LORD-JENKINS,   STATE  OMBUDSMAN,   ANCHORAGE   (via                                                                    
teleconference), stated that she was available.                                                                                 
                                                                                                                                
Vice-Chair Neuman  asked about page 2,  paragraph 4, section                                                                    
3 related to records for every state agency.                                                                                    
                                                                                                                                
Co-Chair  Stoltze  clarified  that the  bill  stated  "every                                                                    
agency" as opposed to "every state agency."                                                                                     
                                                                                                                                
Ms. Lord-Jenkins deferred the question to Ms. Leibowitz.                                                                        
                                                                                                                                
Co-Chair  Stoltze requested  an opinion  about the  policy's                                                                    
intent from Ms. Lord-Jenkins.                                                                                                   
                                                                                                                                
Ms. Lord-Jenkins  replied that  the policy intended  to have                                                                    
the statute  conform to other provisions  allowing access to                                                                    
information from  investigated agencies. She noted  that the                                                                    
"state agency proviso" would limit  the reach. She mentioned                                                                    
other limited records that were not accessible.                                                                                 
                                                                                                                                
10:03:53 AM                                                                                                                   
                                                                                                                                
Vice-Chair  Neuman asked  which agencies  were reviewed.  He                                                                    
wondered  the scope  of the  ombudsman's abilities  during a                                                                    
complaint.  He   mentioned  that  some   municipalities  had                                                                    
considered  property  taxes  related  to the  gas  line.  He                                                                    
wondered if a complaint from  a municipality would yield the                                                                    
ability for  the ombudsman to  review confidential  gas line                                                                    
materials.                                                                                                                      
                                                                                                                                
Ms. Lord-Jenkins  replied that  the ombudsman  had statutory                                                                    
authority  to review  each agency  of  the state  government                                                                    
regarding  the  gas  line issues  and  individual  community                                                                    
concerns. She admitted that her  office was more apt to view                                                                    
citizen complaints.  She stated that  individual communities                                                                    
would be better  rectified in a court of  law. The ombudsman                                                                    
could not force  an agency to pay a fine  or compensation to                                                                    
an aggrieved party.                                                                                                             
                                                                                                                                
10:06:31 AM                                                                                                                   
                                                                                                                                
Vice-Chair  Neuman asked  about the  ombudsman's ability  to                                                                    
review terms  by the Legislative Budget  and Audit division.                                                                    
He  wondered  if  a complaint  related  to  the  appropriate                                                                    
nature  of  building  contracts could  be  reviewed  by  the                                                                    
ombudsman.                                                                                                                      
                                                                                                                                
Ms.  Lord-Jenkins  interpreted  the  statute  to  allow  the                                                                    
investigation of legislative agencies  with the exemption of                                                                    
the  Office of  Victims'  Rights.  She mentioned  occasional                                                                    
complaints related  to legislative  agencies and  aides. She                                                                    
interpreted  that the  ombudsman  would have  access to  the                                                                    
mentioned contracts as would the Legislative Council.                                                                           
                                                                                                                                
Vice-Chair Neuman  referred to  section 6,  page 3  and "the                                                                    
procedure   shall   be  followed   by   the   office  in   a                                                                    
professional."  He  asked if  the  section  referred to  all                                                                    
state agencies.                                                                                                                 
                                                                                                                                
BETH   LEIBOWITZ,   OFFICE   OF   OMBUDSMAN,   JUNEAU   (via                                                                    
teleconference)   requested   question  clarification.   She                                                                    
stated  that   section  6  addressed  procurement   for  the                                                                    
ombudsman office.                                                                                                               
                                                                                                                                
Vice-Chair Neuman  understood. He asked about  the authority                                                                    
related to the terms "otherwise erroneous."                                                                                     
                                                                                                                                
10:10:22 AM                                                                                                                   
                                                                                                                                
Ms.  Leibowitz  replied  that "otherwise  erroneous"  was  a                                                                    
catch-all category  that was rarely used.  She mentioned the                                                                    
other  appropriate  terms  related  to  complaints  such  as                                                                    
"arbitrary, oppressive, unfair, and contrary to law."                                                                           
                                                                                                                                
Co-Chair Stoltze did  not disagree with the  bill. He opined                                                                    
that  the legislation  included good  policy provisions.  He                                                                    
noted that  the fiscal notes  were discussed earlier  in the                                                                    
meeting.                                                                                                                        
                                                                                                                                
10:11:36 AM                                                                                                                   
                                                                                                                                
Vice-Chair  Neuman MOVED  to REPORT  CSHB 127  (JUD) out  of                                                                    
committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal notes. There  being NO OBJECTION, it was                                                                    
so ordered.                                                                                                                     
                                                                                                                                
CSHB  127 (JUD)  was REPORTED  out of  committee with  a "do                                                                    
pass"  recommendation and  with  two new  zero fiscal  notes                                                                    
from the  Department of Administration, one  new zero fiscal                                                                    
note from the Legislature and  one new zero fiscal note from                                                                    
the Department of Corrections.                                                                                                  
                                                                                                                                

Document Name Date/Time Subjects
HB 278 CS WORKDRAFT FIN 28-GH2716-G.pdf HFIN 4/1/2014 8:30:00 AM
HB 278
HB 278 Summary of Changes HB 278 - CS(FIN).pdf HFIN 4/1/2014 8:30:00 AM
HB 278