Legislature(2007 - 2008)BUTROVICH 205

02/08/2007 03:30 PM Senate JUDICIARY


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ SB 64 DISCLOSURES & ETHICS TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 69 NOTIFY CRIME VICTIM OF EXECUTIVE CLEMENCY TELECONFERENCED
Moved SCS CSHB 69(JUD) Out of Committee
+= SB 45 PEACE OFFICER CONVICTED OF MURDER TELECONFERENCED
Moved CSSB 45(JUD) Out of Committee
+= SB 69 CIVIL LEGAL SERVICES FUND TELECONFERENCED
Heard & Held
+= SB 5 FAILURE TO REPORT CRIMES TELECONFERENCED
Scheduled But Not Heard
                  SB  64- DISCLOSURES & ETHICS                                                                              
                                                                                                                                
CHAIR FRENCH announced the consideration of SB 64.                                                                              
                                                                                                                                
4:39:20 PM                                                                                                                    
DAVID   JONES,  Assistant   Attorney  General,   Civil  Division,                                                               
Opinions, Appeals and  Ethics, Department of Law,  stated that SB
64 proposes  improvements to Alaska's disclosure  laws and ethics                                                               
laws. Disclosure  improvements would apply to  the three branches                                                               
of government,  to candidates and  political groups, and  to some                                                               
municipal  officers. Improvements  to  the  "Ethics Act"  [Alaska                                                               
Executive  Branch  Ethics  Act]  would apply  only  to  executive                                                               
branch members.                                                                                                                 
                                                                                                                                
Disclosure  improvements  include  requirements  for:  electronic                                                               
filing  with  APOC  (Alaska   Public  Offices  Commission);  more                                                               
detailed  legislative  financial  disclosures;  disclosures  from                                                               
former  legislators and  certain  others. Sections  1,  4, and  7                                                               
require electronic filing;  Sections 2 and 6  require more detail                                                               
in  the  financial disclosures  that  are  filed with  APOC;  and                                                               
Sections  3  and  5  require certain  former  officials  to  file                                                               
financial disclosures within 90 days of leaving office.                                                                         
                                                                                                                                
The four improvements to the  Ethics Act appear in Sections 8-11.                                                               
Section 8  defines an insignificant business  interest; Section 9                                                               
bans most gifts from lobbyists;  Section 10 tightens the existing                                                               
restrictions  on  types  of work  that  former  executive  branch                                                               
members may  perform within two  years of leaving  state service;                                                               
and Section 11 extends the reach  of the existing ban on lobbying                                                               
to   apply  to   deputy   commissioners  and   others  who   held                                                               
policymaking  positions  in  the  governor's  office.  "That  ban                                                               
applies under existing law for one year," he said.                                                                              
                                                                                                                                
4:42:05 PM                                                                                                                    
MR. JONES explained the bill sections as follows:                                                                               
                                                                                                                                
Section  1  on page  2  requires  electronic filing  of  campaign                                                               
disclosure reports  that candidates, groups and  others file with                                                               
APOC.  In   extraordinary  circumstances  APOC  could   grant  an                                                               
exception in extraordinary circumstances.                                                                                       
                                                                                                                                
Section 2,  3, and 4  on pages 2 and  3 apply to  the legislative                                                               
branch.  Section   2  requires  more  detail   in  the  financial                                                               
disclosures  that  legislators,  public  members  of  the  Select                                                               
Committee on  Legislative Ethics, and legislative  directors file                                                               
with APOC. For all income  exceeding $1,000, the disclosures must                                                               
describe the amount  received, the number of hours  spent to earn                                                               
the  income,  and  details  regarding   the  services  that  were                                                               
provided.  He noted  that  Section  3 of  SB  20 approaches  that                                                               
subject somewhat differently.                                                                                                   
                                                                                                                                
Section  3 requires  former legislators,  public  members of  the                                                               
Select Committee  on Legislative  Ethics, and  former legislative                                                               
directors to file financial disclosures  with APOC within 90 days                                                               
of leaving  service. He noted that  Section 2 of SB  20 addresses                                                               
that subject somewhat differently.                                                                                              
                                                                                                                                
Section  4 requires  legislators,  public members  of the  Select                                                               
Committee  on Legislative  Ethics, and  legislative directors  to                                                               
electronically   file  financial   disclosures  with   APOC.  The                                                               
commission    could    grant    exceptions    in    extraordinary                                                               
circumstances.                                                                                                                  
                                                                                                                                
4:44:17 PM                                                                                                                    
SENATOR THERRIAULT  asked if a  FAX is regarded as  an electronic                                                               
submittal.                                                                                                                      
                                                                                                                                
MR.  JONES  replied  the  intent  is  for  Internet  submissions.                                                               
Currently  APOC  currently  enters  the data  before  it  can  be                                                               
incorporated onto the APOC website.                                                                                             
                                                                                                                                
CHAIR   FRENCH   asked   how  many   candidates   do   not   file                                                               
electronically, how  long it takes  APOC to enter that  data, and                                                               
how long it takes before the data is available online.                                                                          
                                                                                                                                
4:45:31 PM                                                                                                                    
TAMMY  KEMPTON,   Project  Coordinator,  Alaska   Public  Offices                                                               
Commission  (APOC),  said  about  half  of  the  candidates  file                                                               
electronically.   [Ms.  Kempton   subsequently   sent  a   letter                                                               
correcting  her statement.  About  15 percent  of the  candidates                                                               
file electronically.]  She did not  know how many hours  it takes                                                               
to enter  the information  into the database,  but this  year for                                                               
the first  time all  the seven-day reports  were online  prior to                                                               
the election.                                                                                                                   
                                                                                                                                
CHAIR  FRENCH asked  if APOC  hires temporary  staff at  election                                                               
time to do data entry.                                                                                                          
                                                                                                                                
MS.  KEMPTON said  yes  when  funds are  available  and APOC  did                                                               
receive extra money this last election cycle.                                                                                   
                                                                                                                                
CHAIR FRENCH said  he would like to get information  on the level                                                               
of  burden on  the commission  including  the hours  it takes  to                                                               
enter the data and the time  span between the filing deadline and                                                               
when the information is available online.                                                                                       
                                                                                                                                
MS. KEMPTON agreed to provide the information.                                                                                  
                                                                                                                                
SENATOR HUGGINS  asked if the  rationale is the workload  or that                                                               
candidates are exploiting the system.                                                                                           
                                                                                                                                
MR. JONES  said part of  the rationale is to  avoid gamesmanship,                                                               
but largely the idea is to  make the information available to the                                                               
public as  quickly as possible.  The information is  important in                                                               
helping the public make informed decisions when voting.                                                                         
                                                                                                                                
SENATOR HUGGINS expressed  the view that most  people don't check                                                               
that  information  very closely,  but  activists  might. He  then                                                               
asked what would constitute an extraordinary circumstance.                                                                      
                                                                                                                                
MR. JONES  said that is  intentionally vague because there  are a                                                               
spectrum of  circumstances that might  justify exceptions  to the                                                               
electronic filing requirement. Thus  it seems appropriate to give                                                               
APOC the  discretion to  decide when  extraordinary circumstances                                                               
exist. He clarified  that the intention is that  reasons such as,                                                               
"I don't  feel like it."  or "I prefer to  do it by  hand." would                                                               
not be acceptable.                                                                                                              
                                                                                                                                
SENATOR HUGGINS disclosed that he's  proud that his wife does his                                                               
filing and  he might be in  trouble if she weren't  available. "I                                                               
don't know whether that would be extraordinary or not," he said.                                                                
                                                                                                                                
CHAIR FRENCH asked  if it's correct that  handwritten reports are                                                               
available  at the  commission  office the  day  after the  filing                                                               
deadline so a person could  request that the information be faxed                                                               
or copied.                                                                                                                      
                                                                                                                                
MS. KEMPTON said  that is the current system.  When talking about                                                               
the public seeing these reports,  she said it's important to note                                                               
that  only  campaign  reports  are  currently  available  online.                                                               
Legislative   financial  disclosure   reports,  public   official                                                               
disclosure  reports, and  the lobbyist  and employer  of lobbyist                                                               
disclosure reports are not available online, she stated.                                                                        
                                                                                                                                
CHAIR FRENCH asked  if this bill changes  the distinction between                                                               
candidate reports and the other disclosures.                                                                                    
                                                                                                                                
MS.  KEMPTON said  SB 64  would  make electronic  filing for  all                                                               
those  reports  mandatory.  Currently  APOC has  the  ability  to                                                               
require  electronic  filing  from   lobbyists  and  employers  of                                                               
lobbyists. APOC is working on implementing that, she said.                                                                      
                                                                                                                                
CHAIR FRENCH  asked if  electronic filing  would be  required for                                                               
all the legislative disclosures that APOC receives.                                                                             
                                                                                                                                
MS. KEMPTON said yes.                                                                                                           
                                                                                                                                
4:54:01 PM                                                                                                                    
SENATOR  WIELECHOWSKI asked  if the  current requirement  is that                                                               
campaign  disclosure   information  must   be  received   on  the                                                               
specified day or postmarked on the specified day.                                                                               
                                                                                                                                
MS. KEMPTON said  when filing by mail the  current requirement is                                                               
that it is postmarked on the specified day.                                                                                     
                                                                                                                                
SENATOR  THERRIAULT noted  that some  reports come  in days  or a                                                               
week later if the mail system is used.                                                                                          
                                                                                                                                
MS. KEMPTON agreed.                                                                                                             
                                                                                                                                
SENATOR  THERRIAULT  disclosed  that   he  is  treasurer  of  his                                                               
campaigns and he does the reports by hand.                                                                                      
                                                                                                                                
CHAIR FRENCH disclosed  that he pays someone to  file his reports                                                               
and that person files electronically.                                                                                           
                                                                                                                                
SENATOR THERRIAULT asked about the sophistication of the system.                                                                
                                                                                                                                
MS. KEMPTON explained  that the system will  have drop-down menus                                                               
to select the desired report.  Currently candidates have two ways                                                               
of filing electronically. One is  ELFS (Electronic Filing System)                                                               
and the other is by means  of a spreadsheet. APOC supplies a list                                                               
of  field  names  to  set   up  the  spreadsheet  such  that  the                                                               
information can  be imported into  the APOC database. SB  64 will                                                               
provide a  third way,  which "hopefully will  be the  best ever,"                                                               
she said.                                                                                                                       
                                                                                                                                
SENATOR THERRIAULT asked  if he could start a report,  save it to                                                               
a different location, and then  return to complete the data entry                                                               
before submitting the report                                                                                                    
                                                                                                                                
MS. KEMPTON said absolutely.                                                                                                    
                                                                                                                                
SENATOR THERRIAULT asked if each candidate has a PIN number.                                                                    
                                                                                                                                
MS. KEMPTON said that is her understanding.                                                                                     
                                                                                                                                
SENATOR HUGGINS  commented that  this is a  worthy goal,  but the                                                               
terms are onerous  considering that 50 percent of  the people are                                                               
currently out of compliance with concept. [The committee                                                                        
subsequently   learned    that   85    percent   do    not   file                                                               
electronically.]                                                                                                                
                                                                                                                                
SENATOR WIELECHOWSKI commented that a significant upgrade is                                                                    
needed in the ELFS program. "The software is not intuitive, it                                                                  
is really inadequate," he said.                                                                                                 
                                                                                                                                
MS. KEMPTON said the new system is nothing like ELFS.                                                                           
                                                                                                                                
4:59:19 PM                                                                                                                    
CHAIR FRENCH announced he would hold SB 64 in committee.                                                                        

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