Legislature(2013 - 2014)BUTROVICH 205
02/27/2014 09:00 AM Senate STATE AFFAIRS
| Audio | Topic |
|---|---|
| Start | |
| SJR18 | |
| SB98 | |
| SB182 | |
| SB98 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | SB 98 | TELECONFERENCED | |
| *+ | SB 141 | TELECONFERENCED | |
| *+ | SJR 18 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| = | SB 182 | ||
SB 182-PUBLIC EMPLOYEE SALARY DIFFERENTIALS
9:43:13 AM
CHAIR DYSON stated that the committee with take up SB 182. He
noted that the Administration provided testimony at the previous
hearing. He set forth that his intention is to get through 35 or
40 minutes of public testimony and asked the union
representatives to come forward and testify.
9:44:14 AM
BEN GOLDRICH, Union Representative, Marine Engineers' Beneficial
Association (MEBA), Juneau, Alaska.
9:44:23 AM
RON BRESSETTE, Regional Representative, International
Organization of Masters, Mates & Pilots Union (MM&P), Juneau,
Alaska, said he represents the licensed deck officers onboard
the Alaska Marine Highway System (AMHS).
9:44:35 AM
RICK DEISING, Regional Director, Inlandboatmen's Union of the
Pacific-Alaska Region (IBU), Juneau, Alaska, said he is a 32
year retiree from AMHS.
MR. GOLDRICH set forth that the members of the three unions are
the Senators' constituents. He asserted that SB 182 will result
in roughly a 10 percent pay cut for MEBA members across the
board and penalizes MEBA members for being Alaskan citizens. He
said Cost of Living Differentials (COLD) has been part of the
AMHS wage for 30 years and enables members to live throughout
the state. He stated that COLD was intended as an incentive for
mariners to move to Alaska and it has been a success.
9:46:12 AM
He continued that the overwhelming majority of MEBA members live
in Alaska. He asserted that SB 182 targets only those members
living in the state. He pointed out to the committee that SB 182
puts MEBA members in a strange place in addressing COLD when
MEBA is actively in negotiations with the State. He remarked
that early on in negotiations the Administration voiced their
concern for COLD and MEBA has been negotiating in good faith
throughout in an effort to come to a mutually agreeable
conclusion. He asserted that SB 182 passage is asking MEBA to
negotiate out of a hole. He noted that the all of the union
bargaining units are concerned with SB 182 due to the current
vacancy rates that range from 7 to 20 percent. He set forth that
the intent is to bring young mariners into the state, live in
Alaska, and work their careers in AMHS. He asserted that
removing COLD from union member's wages is going to prevent the
unions from bringing young talent into Alaska in addition to
losing those with years of experience. He said at a time when
wage really is all there is now, a 10 percent pay cut is just a
killer and it is a big hit for AMHS moral.
9:48:35 AM
SENATOR GIESSEL noted that a chief engineer's wage is $40.62 per
hour in Alaska, plus $677.96 for non-watch pay. She asked what
non-watch pay is.
MR. GOLDRICH replied that non-watch pay is a payment that the
chief engineers receive in lieu of overtime. He detailed that a
chief engineer generally works a 12 hour day, but a day could be
18 hours long. Non-watch pay was intended to be based on 11
hours of overtime pay, but members work for beyond the 11 hours
every month.
SENATOR GIESSEL asked if the $677.96 is per pay period.
MR. GOLDRICH replied that the $677.96 is a flat amount that the
chief engineers receive per pay period regardless of how many
hours they work.
MR. BRESSETTE noted that Mr. Goldrich addressed concerns for all
three unions.
9:51:07 AM
MR. DEISING set forth that IBU represents the unlicensed AMHS
employees. He said SB 182 will harm all Alaskans that work in
the state. He detailed that IBU has 640 members in AMHS and 5
percent are from out of state. He asserted that a 10 percent pay
cut is going to harm the lifestyle of every IBU member, harm
Alaska communities, and will not entice new employees to work
for AMHS. He pointed out that IBU members are well trained,
first responders that wear multiple hats on ships.
SENATOR WIELECHOWSKI addressed the 40 year old contract language
which basically says the base rate is based on a Seattle rate,
but COLD is provided for employees that live in Alaska.
MR. BRESSETTE answered yes.
SENATOR WIELECHOWSKI continued that if COLD is taken away, every
Alaskan member will receive a pay cut, while the people who live
outside of Alaska keep their wage the same.
MR. BRESSETTE answered yes.
9:54:11 AM
SENATOR COGHILL noted that the contract with COLD was set in
1977. He asked what the 1977 differential is versus present day.
MR. GOLDRICH answered that the differential was set between
Seattle and Anchorage. He said currently the State contends that
the cost of living in Seattle and Anchorage is roughly the same.
He remarked that the State's cost of living assertion is
probably true if an individual lives in downtown Seattle where
housing prices are sky high. He asserted that it is vastly more
expensive to live in Alaska than the Lower 48. He pointed out
that MEBA members do not receive step-increases, but receive a
negotiated wage that Alaska members base their living on with
COLD.
9:56:00 AM
SENATOR COGHILL asked if it would be more advantageous to
negotiate a wage with COLD due to Alaska's dynamic geographical
issues.
MR. GOLDRICH answered that COLD is a better fit for AMHS and
noted that the State does not offer geographical differential in
negotiations. He said starting from 10 percent less with a
geographical differential would only benefit day-boat members.
SENATOR WIELECHOWSKI set forth that the three unions are in
negotiations with the Administration. He asked if there is
anything to stop the Administration from coming to the
bargaining table and renegotiate the SB 182 provision.
9:57:50 AM
MR. GOLDRICH replied absolutely not.
MR. DEISING added that COLD has been a topic with the
Administration. He asserted that union members are very
passionate about keeping the benefits they have and serving
Alaskans to the best of their ability.
MR. GOLDRICH addressed the Administration's concerns into
nonresidents receiving COLD and noted that over the past 12
years only 1 member has lost in arbitration. He said it is the
State's responsibility to take members to task who are
nonresidents. He asserted that only Alaskan members are
receiving COLD.
10:00:40 AM
SENATOR WIELECHOWSKI noted the unusual language in the agreement
that dates back a long time. He remarked that the Legislature
always talks about Alaska hire and encouraging people to live in
Alaska, COLD is actually a pretty clever way to do that.
MR. GOLDRICH responded that COLD works.
SENATOR GIESSEL stated that the Legislature encourages Alaska
hire. She referred to the information provided to her and noted
that there are substantial benefits to living in Alaska outside
of COLD. She pointed out that after 5 years of service, an AMHS-
Alaska resident annually receives 420 vacation hours with 180
sick-leave hours and an AMHS-nonresident receives 160 vacation
hours with 96 sick-leave hours. She asserted that AMHS employees
receive significant benefit as Alaska residents in addition to
COLD.
MR. BRESSETTE replied that in the MM&P contract, there is no
difference between Alaska residents and out of state residents
as far as vacation accumulation or sick leave accumulation. He
pointed out that everyone gets the same thing for sick-leave
accumulation and vacation hours is based on hire-date.
10:02:51 AM
SENATOR GIESSEL replied that she will follow up with the State
and noted that her information differs from what Mr. Bressette
had noted.
CHAIR DYSON addressed Senator Wielechowski and noted that parts
of the negotiation are prescribed due to the 1977 law. He noted
that the Administration has addressed a geographical
differential in recent negotiations.
MR. GOLDRICH answered that if the State is going to offer up
geographical differential pay, the unions are looking forward to
hearing their proposal in negotiations.
CHAIR DYSON stated that he may be mistaken and noted his
understanding that the Administration is aware of a potential
pay cut. He said he is hopeful that the Administration will
maintain pay and benefit levels that will keep union members
happy.
He announced that the committee is going to run out of time and
noted that two or three pages of testifiers have signed up. He
announced his plan to provide time for testifiers who are online
and in person. He asked that the testifiers not repeat what had
already been said unless it is very necessary.
10:05:13 AM
CHRIS OLSEN, Chief Engineer, Motor Vessel (MV) LeConte, Alaska
Marine Highway, Wasilla, Alaska, noted that MV LeConte is home
ported in Juneau and he is a member of MEBA. He stated that he
is testifying against SB 182. He asserted that SB 182 penalizes
him for being an Alaska resident. He said he has been an AMHS
crew member for 18 years and noted that he relocated to Alaska
in 1986. He said there is no comparison between the maritime
unions' COLD and the geographical difference for the other
regular state Alaska unions; the two are completely different
and unrelated to each other. He asserted that SB 182 is specific
to the maritime union's COLD payment. He asserted that the 1977
contract agreement rewards employees who choose to live in
Alaska and keeps wages within Alaska while supporting
communities. He noted that he does not agree with the study that
claims that the cost of living in Seattle is equal to Anchorage
and added that he pays for commuting to Juneau on a biweekly
basis.
10:08:29 AM
PATRICK PHILLIPS, Crew Member, Motor Vessel Fairweather, Alaska
Marine Highway System, Alaska Department of Transportation &
Public Facilities, Juneau, Alaska, said he moved to Alaska 20
years ago. He asserted that SB 182 punishes him and changes the
deal he originally agreed to. He asserted that the passage of SB
182 will be a hardship to him.
10:10:10 AM
JARED BARLOW, Ordinary Seaman, Motor Vessel Kennicott, Alaska
Marine Highway System, Alaska Department of Transportation &
Public Facilities, Klawock, Alaska, stated that he is an IBU
member. He said he is speaking against SB 182 and asserts that
the bill's passage will hurt him. He remarked that there is a
cost living difference between Alaska and Seattle.
10:13:21 AM
TERESA GILBERT, Chief Steward, Motor Vessel Kennicott, Alaska
Marine Highway System, Alaska Department of Transportation &
Public Facilities, Juneau, Alaska, stated that she is buying a
home in Juneau and sets her budget according to her wages. She
said a cut in pay will be detrimental to her finances. She noted
that she has worked 30 years for AMHS and intends to retire in
Juneau.
CHAIR DYSON replied that the committee wants Ms. Gilbert to stay
in Juneau. He asked if the union representatives had any closing
comments.
MR. GOLDRICH answered no.
CHAIR DYSON noted that he has about nine pages of testifiers and
explained that it is very difficult to get through the entire
list. He encouraged written testimony to be submitted and noted
that SB 182 will be heard in other committees in addition to
having to go through the House as well. He asked representatives
from the Administration to address the committee.
10:16:12 AM
NICKI NEAL, Director, Division of Personnel and Labor Relations,
Alaska Department of Administration, Juneau, Alaska.
10:16:28 AM
KATE SHEEHAN, Deputy Director, Labor Relations, Division of
Personnel and Labor Relations, Department of Administration,
Juneau, Alaska.
CHAIR DYSON asked to clarify that not having COLD will result in
AMHS employees taking up to an $18,000 decrease per year. He
remarked that Alaska residents will be discriminated against
because they would not get something even though they have a
higher cost of living and the accusation that there will be no
geographical differential that many other state employees
receive.
MS. SHEEHAN addressed the bargaining piece and stated that the
DOA's bill interruption is that there would no longer be COLD
negotiations. She pointed out that there have been discussions
on COLD and geographical differential. She noted that the 2008
McDowell Study used a national study to show that there is no
COLD between Seattle and Anchorage. She said the Administration
is in the process of having geographical differential
conversations with the three unions and referenced new
geographical differential rates implemented with other state
unions.
10:18:22 AM
CHAIR DYSON asked to clarify that the Administration's use of
the word "COLD" means the term of art that is in the statute. He
inquired that the bill's passage will allow the Administration
to make adjustments based on where people's jobs are, or where
people live as the standards used by the State for other
employees.
MS. SHEEHAN answered that geographical differential is more
difficult with the marine units because they can live wherever
they choose to live. She added that AMHS employees generally
work weekly on-off based schedules and can choose to live in a
place other than their change port. She pointed out that AMHS
has three day-boats in Metlakatla, Juneau, and Cordova; that is
clearer to address. She pointed out that the geographical
differential was for the different intrastate cost of living and
COLD was for interstate.
CHAIR DYSON pointed out that testimony implied that passing the
bill just means an $8,000 to $18,000 wage cut. He asked to
verify that it is the State's intent to negotiate an adjustment
to keep AMHS' compensations competitive.
MS. NEAL answered that there will be options gained through
collective bargaining and those have already been discussed with
the unions regarding changes to the geographic rates within
Alaska. She pointed out that there were discussions on
protection for current employees on wage reduction.
10:20:52 AM
SENATOR WIELECHOWSKI read the language from the current MM&P
Collective Bargaining Agreement with the State as follows:
Section 17.02, this is something you negotiated and
you agreed to, it says, "It is agreed that the cost of
living differential between Alaska and Seattle, which
is referred to in AS 23.40.210, shall be a mandatory
subject for collective bargaining, and shall not be
changed, modified, adjusted, re-determined, or altered
in any way by the state of Alaska unilaterally and no
change shall be made without the consent and agreement
of the union."
He asked Ms. Neal to verify that the section he read was the
section that the Administration negotiated.
MS. NEAL answered yes, at one point in time many years ago.
SENATOR WIELECHOWSKI asked if Section 17.02 is currently valid.
MS. NEAL answered yes.
SENATOR WIELECHOWSKI asserted that the Department is violating
Section 17.02.
MS. NEAL replied that she disagreed.
SENATOR WIELECHOWSKI asked for an explanation as to how the
Administration is not involved in an unfair labor practice.
MS. NEAL answered that the bill is irrespective of the
negotiations currently being held with the unions.
SENATOR WIELECHOWSKI responded that the bill says COLD shall be
changed without the consent and agreement of the union. He asked
if the Administration has the unions' consent and agreement to
change COLD. He pointed out that he heard unanimous testimony
that the Administration did not have consent and agreement from
the unions.
MS. SHEEHAN replied that the Administration is currently
bargaining with the unions on COLD and the process is
irrespective of the bill. She said the Administration is
bargaining the COLD and geographical differentials. She remarked
that the whole contract with the unions is open for negotiations
and the Administration is not violating the current contract and
is not involved in unfair labor practices.
10:22:55 AM
SENATOR COGHILL inquired if the Administration is presently
bound statutorily to COLD.
MS. SHEEHAN answered yes.
SENATOR COGHILL asked that the bill's passage would only apply
to prospective bargaining agreements.
MS. SHEEHAN answered yes.
SENATOR COGHILL asked if Senator Dyson invited the
Administration to you comment on the bill.
MS. SHEEHAN answered yes.
SENATOR COGHILL opined that he did not believe that the
Administration was acting in bad faith by commenting on a bill
that would change prospective bargaining. He stated that the
unfortunate part is the unions and the Administration is in the
middle of bargaining.
CHAIR DYSON added that he understands Senator Wielechowski's
point is not that these people discuss it, but indeed that it is
a part of negotiation in contrast to the law. He asked if anyone
in the committee room is a labor attorney.
SENATOR WIELECHOWSKI [raised his hand.]
CHAIR DYSON asserted that his previous statement was an
important question. He said he will hold SB 182 over. He asked
that someone from the Administration have a labor attorney at
the next meeting in order to address the issues raised by
Senator Wielechowski. He noted that he is sympathetic to the
bill, but added that he has the question about having SB 182
pass in the midst of negotiations. He apologized and asked that
individuals who did not get a chance to testify to submit
written testimony. He announced that SB 182 is set aside.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB 98.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Sponsor Statement.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 - TCC support.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Supporting Document Coons.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Supporting Document Kamai.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Supporting Document Letter Robert Claus.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Supporting Document McCarthy Letter.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Supporting Document Wasserman.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Supporting Document Letters.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Informational Meeting Summary 9 26 2013.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Information Hearing Supporting Documents 2.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 DPS Draft Revised VPSO Regs.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Hiring Regs 13 AAC 96 080.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Supporting Document ADN Article.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Supporting Document ADN Editor Letter.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 98 Supporting Document Alaska Dispatch.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 98 |
| SB 141 Sponsor Statement.pdf |
SSTA 2/27/2014 9:00:00 AM |
SB 141 |
| SB141- Legislation - National Guard License Registration.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/4/2014 9:00:00 AM |
SB 141 |
| SB 141 - Supporting - AK National Guard Benefits Summary.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/4/2014 9:00:00 AM |
SB 141 |
| SB 141 - Supporting - Legislative Research Report.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/4/2014 9:00:00 AM |
SB 141 |
| SB 182 - Sponsor Statement.pdf |
SSTA 2/25/2014 9:00:00 AM SSTA 2/27/2014 9:00:00 AM SSTA 3/4/2014 9:00:00 AM |
SB 182 |
| SB 182 - Legislation.pdf |
SSTA 2/25/2014 9:00:00 AM SSTA 2/27/2014 9:00:00 AM SSTA 3/4/2014 9:00:00 AM |
SB 182 |
| SB 182 - Section Analysis.pdf |
SSTA 2/25/2014 9:00:00 AM SSTA 2/27/2014 9:00:00 AM SSTA 3/4/2014 9:00:00 AM |
SB 182 |
| SB182-DOT-AMHS-MVO-2-25-14.pdf |
SSTA 2/25/2014 9:00:00 AM SSTA 2/27/2014 9:00:00 AM SSTA 3/4/2014 9:00:00 AM |
SB 182 |
| Alaska GDS 2008 Final.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/4/2014 9:00:00 AM |
SB 182 |
| SB 182 - Support Documents - Talking Points.pdf |
SSTA 2/25/2014 9:00:00 AM SSTA 2/27/2014 9:00:00 AM SSTA 3/4/2014 9:00:00 AM |
SB 182 |
| SB 182 - Support Document - 2011 CBA.pdf |
SSTA 2/25/2014 9:00:00 AM SSTA 2/27/2014 9:00:00 AM SSTA 3/4/2014 9:00:00 AM |
SB 182 |
| SJR 18 - Legislation.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/11/2014 9:00:00 AM |
SJR 18 |
| SJR 18 - Sponsor Statement.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/11/2014 9:00:00 AM |
SJR 18 |
| SJR 18 - Supporting Documents - Details of the Case for Convention of the States.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/11/2014 9:00:00 AM |
SJR 18 |
| SJR 18 - Supporting Documents - List of States with Current COS Movement Resolutions.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/11/2014 9:00:00 AM |
SJR 18 |
| SJR 18 - Supporting Documents - State Application and Convention Process Step by Step.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/11/2014 9:00:00 AM |
SJR 18 |
| SJR 18 - Supporting Documents - Timeline of State Article V Applications.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/11/2014 9:00:00 AM |
SJR 18 |
| SJR 18 - Supporting Documents - What Types of Amendements Possible Under Proposed Topic.pdf |
SSTA 2/27/2014 9:00:00 AM SSTA 3/11/2014 9:00:00 AM |
SJR 18 |