02/07/1995 08:05 AM House STA

 HSTA - 02/07/95                                                               
 HB 13 - CAMPAIGN DISCLOSURE REPORTS                                         
                                                                               
 Number 156                                                                    
                                                                               
 CHAIR JAMES said the next bill on the agenda is HB 13.                        
                                                                               
 JEFF LOGAN, Legislative Assistant to Representative Joe Green, the            
 prime sponsor of HB 13, gave the sponsor statement.                           
                                                                               
 HB 13 makes it easier for the public to know who is                          
 contributing money to non-party candidates for statewide                      
 office.                                                                       
                                                                              
 Problem:  Currently, non-party candidates for legislative                    
 office who gain access to the general election ballot by going                
 through the petition or write-in process are not required to                  
 file campaign finance disclosure reports during the primary                   
 election cycle.  Alaska Public Office Commission Policy                       
 Decision 15.13-82-2 sets requirements for these candidates.                   
                                                                              
 The commission has ruled that non-party candidates, groups                   
 formed to influence the outcome of ballot issues not appearing                
 on the primary ballot, and political party subdivisions and                   
 multi-candidate PACs which do not make expenditures to benefit                
 a candidate on the primary ballot..."need not file either                     
 primary or general election reports so long as their only                     
 activity during those reporting periods is the receipt of                     
 contributions or the expenditures of funds for administrative                 
 purposes."                                                                    
                                                                              
 When a campaign-related expenditure is made, the reporting                   
 cycle is triggered.  Until that time, the public has no idea                  
 who is contributing money to non-party candidates.                            
                                                                              
 Solution:  HB 13 requires prospective non-party candidates for               
 legislative office to disclose to the public, during the                      
 primary election reporting cycle, who is making campaign                      
 contributions to them.                                                        
                                                                               
 MR.LOGAN pointed out that HB 13 will eliminate corruption.  Also              
 the bill has a zero fiscal note.                                              
                                                                               
                                                                               
 Number 278                                                                    
                                                                               
 KAREN BOORMAN, Executive Director, Alaska Public Offices                      
 Commission, testified by teleconference that their office has been            
 working with Mr. Logan on HB 13.  The commission supports this CS,            
 and Mr. Logan is correct in saying it would have a zero fiscal note           
 rather than the positive fiscal note that was attached to the                 
 original bill.  The bill would require that those state candidates            
 who become active during the primary election cycle by raising or             
 spending money file a series of reports, as in the primary election           
 cycle, even though they are running on the general election ballot.           
 The commission supports this, having noticed in the last two state            
 elections that this group of people has increased:  In the 1992               
 election there were 11 such candidates, and in 1994 there were 17             
 such candidates.  The change can be attributed to an apportionment            
 where the districts changed; also, the closed primary.                        
                                                                               
 REPRESENTATIVE CAREN ROBINSON asked why this has not been part of             
 the law in the past.                                                          
                                                                               
 Number 300                                                                    
                                                                               
 MS. BOORMAN answered there have not been that many candidates that            
 ran by nominating petition in this way.  It was the commission's              
 position that if they were not active in the primary election, they           
 did not have to report during that cycle. It is a new and                     
 increasing problem now, that these people are viable candidates,              
 actively raising and spending money.  Before, the commission was              
 trying to avoid unnecessary reports to those small campaigns and              
 groups whose activity was very limited.                                       
                                                                               
 CHAIR JAMES questioned Ms. Boorman about the rule that says that              
 before any candidate can collect or raise funds, they must file an            
 intent to run.                                                                
 MS. BOORMAN said that Chair James was correct, and filing an intent           
 would be an indication that disclosure would be necessary.  She               
 anticipated there would be approximately 20 in any given campaign             
 cycle.                                                                        
                                                                               
 Number 334                                                                    
                                                                               
 REPRESENTATIVE PORTER moved they pass CS for HB 13 Version G, dated           
 2/3/95.    Hearing no objection, the motion passed.   Chair James             
 affirmed that the CS for HB 13, Version G would be the working                
 document.                                                                     
                                                                               
 REPRESENTATIVE PORTER added that he would support the bill, but               
 there is another bill coming up that might render this piece of               
 legislation unnecessary.                                                      
                                                                               
 CHAIR JAMES said he was speaking of legislation that indicates that           
 the two highest vote getters out of the primary go on to the                  
 general election.   She would take deference to Representative                
 Porter's stand, because it eliminates the people who are without a            
 party from running.                                                           
                                                                               
 Number 360                                                                    
                                                                               
 REPRESENTATIVE WILLIS went through that process and said, for the             
 interest of fairness, this is a good piece of legislation.   He               
 thought, as an Independent, that he would have to file, but when he           
 went to file he was told that he didnt have to.  Again, in the                
 interest of fairness, he supported the bill.                                  
                                                                               
 Number 379                                                                    
                                                                               
 REPRESENTATIVE PORTER moved that the committee move CS HB 13,                 
 Version G, dated 2/3/95 from committee with individual                        
 recommendations and adopt a zero fiscal note.  There being no                 
 objection, CS for House Bill 13 passed out of committee.