Legislature(2019 - 2020)BELTZ 105 (TSBldg)
03/21/2019 01:30 PM Senate LABOR & COMMERCE
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| Confirmation Hearing(s): | |
| SB65 | |
| SB66 | |
| SB69 | |
| Confirmation Hearing(s) | |
| SJR8 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| *+ | SB 69 | TELECONFERENCED | |
| *+ | SJR 8 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | SB 65 | TELECONFERENCED | |
| += | SB 66 | TELECONFERENCED | |
SB 66-LABOR STANDARDS/SAFETY; WORKER COMP.
1:41:35 PM
CHAIR REINBOLD announced that the next order of business would
be SENATE BILL NO. 66, "An Act relating to the division of labor
standards and safety; relating to the division of workers'
compensation; establishing the division of workers' safety and
compensation; and providing for an effective date."
1:42:35 PM
GREY MITCHELL, Director, Division of Workers' Compensation,
Central Office, Department of Labor and Workforce Development
(DOLWD), Juneau, briefly reviewed SB 66. As stated during the
previous hearing, SB 66 would combine the Division of Labor
Standards and Safety (DLSS) with the Division of Workers'
Compensation. The department does not intend to change any of
the programs, but to create opportunities for efficiencies and
remove silos between the two divisions. The department hopes to
capture some immediate savings by flattening the management
structure in the Occupational Safety and Health component and
taking advantage of a vacancy in an administrative position in
Fairbanks. The department would combine the administrative
functions in the two divisions. One provision in the fiscal note
is related to reclassification of the director's position to a
deputy director, who would work in tandem with the director of
the Division of Workers' Compensation in the newly formed
Division of Worker Safety and Compensation. The administrative
officer II position that is currently in DLSS would be
reclassified to an administrative officer I position. This
position would be part of the team for the combined division to
more effectively manage the administrative operations. It would
help create a safety net and career pathway within the division.
Currently, when one position becomes vacant, it means the
department must train a new person. This would help ensure that
someone is trained and ready to step in at the same time it
would create efficiencies and better overall management.
1:44:16 PM
SENATOR BISHOP reviewed the zero-fiscal note for the Department
of Labor and Workforce, Workers' Compensation. The appropriation
and allocation are both Workers' Compensation and the OMB
component is 344. He read the fiscal note commentary: This
merger will not result in an immediate cost savings within
Workers' Compensation. Potential future year cost savings will
have to be determined as position responsibilities and lease
space needs are evaluated moving forward.
SENATOR BISHOP said the second fiscal note for the Department of
Labor & Workforce Development shows the potential savings. The
appropriation is Labor Standards and Safety, the allocation is
Occupational Safety and Health, and the OMB component is 970. He
said there would be a general fund reduction of $71,400 and
designated general fund savings of $211,600 for a total savings
of $283,000. He read the following fiscal note analysis:
This legislation merges the Division of Labor
Standards and Safety and the Division of Workers'
Compensation into the Division of Workers' Safety and
Compensation. The new division would administer the
same programs as are currently administered by the two
separate divisions. The department's regulations need
to be updated to reflect the division name change.
This merger would result in immediate administrative
efficiencies resulting in position reductions and
personal services savings. The estimated cost savings
is based on the reclassification of the Labor
Standards and Safety Director (range 27) to a Deputy
Director (range 25) position, the elimination of the
Occupational Safety and Health Chief (range 23)
position with those duties assumed by the Deputy
Director, the elimination of a vacant office assistant
II (range 10) position, and the reclassification of a
vacant Administrative Officer II (range 19) position
to an Administrative Officer I (range 17) position.
1:46:45 PM
CHAIR REINBOLD expressed appreciation for the fiscal note
analysis.
1:47:06 PM
SENATOR BISHOP removed his objection. He said that he has
workload concerns about the director position and he would offer
an amendment in the Senate Finance Committee. He said he has
previously held discussions with Mr. Mitchell. During his tenure
as commissioner of the Department of Labor and Workforce
Development (DOLWD), he considered collapsing the division. He
said he would err on the side of worker safety for working
people. He expressed concern that the director would suffer
burnout.
1:48:34 PM
SENATOR COSTELLO moved to report SB 66, work order 31-GS1049\A,
from committee with individual recommendations and attached
fiscal note(s). There being no objection, SB 66 was reported
from the Senate Labor and Commerce Standing Committee.