Legislature(1997 - 1998)

03/05/1997 05:20 PM House RLS

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
                 HOUSE RULES STANDING COMMITTEE                                
                         March 5, 1997                                         
                           5:20 p.m.                                           
                                                                               
                                                                               
 MEMBERS PRESENT                                                               
                                                                               
 Representative Pete Kott, Chairman                                            
 Representative Gail Phillips                                                  
 Representative Brian Porter                                                   
 Representative Bill Williams                                                  
 Representative Kim Elton                                                      
 Representative Al Vezey                                                       
                                                                               
 MEMBERS ABSENT                                                                
                                                                               
 Representative Irene Nicholia                                                 
                                                                               
 COMMITTEE CALENDAR                                                            
                                                                               
 Approval of Professional Services Contract with Ron Sommerville               
                                                                               
 PREVIOUS ACTION                                                               
                                                                               
 No previous action to record.                                                 
                                                                               
 WITNESS REGISTER                                                              
                                                                               
 PAMELA VARNI, Executive Director                                              
 Legislative Affairs Agency                                                    
 130 Seward Street, Suite 313                                                  
 Juneau, Alaska 99801-2197                                                     
 Telephone:  (907) 465-3800                                                    
 POSITION STATEMENT:  Answered questions regarding Mr. Sommerville.            
                                                                               
 TED POPELY, Legislative Assistant                                             
 House and Senate Majority                                                     
 Capitol Building, Room 208                                                    
 Juneau, Alaska 99811                                                          
 Telephone:  (907) 465-3720                                                    
 POSITION STATEMENT:  Answered questions regarding Mr. Sommerville.            
                                                                               
 ACTION NARRATIVE                                                              
 TAPE 97-8, SIDE A                                                             
 Number 001                                                                    
                                                                               
 CHAIRMAN PETE KOTT called the House Rules Standing Committee to               
 order at 5:20 p.m.  Members present at the call to order were                 
 Representatives Porter, Williams, Elton, Vezey, Phillips and Kott.            
                                                                               
 APPROVAL OF PROFESSIONAL SERVICES CONTRACT WITH RON SOMMERVILLE             
                                                                               
 Number 021                                                                    
                                                                               
 CHAIRMAN KOTT said before the committee is the contractual                    
 professional services contract between the House Rules Committee              
 and Ron Sommerville, approving, rejecting or amending the contract            
 in the amount of $25,000.  The contract commenced on February 1,              
 and terminates August 1.  The reason the House Rules Committee is             
 taking up the issue is because the money will come out of the                 
 session budget.                                                               
                                                                               
 Number 031                                                                    
                                                                               
 REPRESENTATIVE GAIL PHILLIPS made a motion to accept the contract             
 for Ron Sommerville in the amount of $25,000, excluding                       
 reimbursement for expenses, and that the contract be in effect                
 until August 1.                                                               
                                                                               
 Number 038                                                                    
                                                                               
 REPRESENTATIVE BRIAN PORTER objected for the purpose of discussion.           
                                                                               
 CHAIRMAN KOTT said there is a motion before the committee to accept           
 the contract and there was an objection.                                      
                                                                               
 Number 044                                                                    
                                                                               
 PAMELA VARNI, Executive Director, Legislative Affairs Agency, came            
 before the committee.  She stated the contract is a professional              
 services contract, which means the accounting section would be                
 paying Mr. Sommerville versus him being on staff.  It would save              
 the legislature money because he is not being paid for leave,                 
 health and other benefits that state employees receive.  Ms. Varni            
 explained Mr. Sommerville has been on contract before.  She noted             
 the agency does budget, under session expenses, for professional              
 service contracts.                                                            
                                                                               
 CHAIRMAN KOTT said it is his understanding that Mr. Sommerville               
 will report to the project director, Ted Popely.                              
                                                                               
 Number 060                                                                    
                                                                               
 MS. VARNI indicated that is correct.  She informed the committee              
 members Mr. Popely works for the House and Senate majority.  Most             
 of the time he is the project director for a lot of the                       
 professional service contracts that the legislature has.                      
                                                                               
 REPRESENTATIVE PHILLIPS indicated Mr. Popely could discuss how the            
 legislature has used Mr. Sommerville's services.                              
                                                                               
 Number 069                                                                    
                                                                               
 TED POPELY, Legislative Assistant, House and Senate Majority, came            
 before the committee.  He said he works closely with Mr.                      
 Sommerville.  He noted that in the past, he has been a contract               
 employee with the legislature.  Mr. Popely explained in the                   
 committee members' files there is a break down of some of the work            
 that Mr. Sommerville has done with the legislature.  He said most             
 of the issues he has been assigned involves state and federal                 
 issues, such as subsistence management, fisheries regulations,                
 Alaska National Interest Lands Conservation Act (ANILCA), RS2477              
 rights-of-way, etc.  Mr. Popely stated Mr. Sommerville has been an            
 integral factor in most of the work he has had to do.  Mr.                    
 Sommerville has assisted and consulted on issues and has performed            
 various tasks such as drafting testimony for individual legislators           
 to be given before congressional and state committees.  Mr.                   
 Sommerville has also corresponded with federal agencies and has               
 contacts with other assorted state and federal government                     
 officials.  He has preformed a substantial amount of research in              
 these areas and has an extensive working historical knowledge of              
 many issues as a result of his 20 plus years with the Alaska                  
 Department of Fish and Game where he served as a wildlife biologist           
 prior to his retirement.  Mr. Sommerville's services have been                
 valuable.                                                                     
                                                                               
 Number 138                                                                    
                                                                               
 REPRESENTATIVE KIM ELTON asked how many contracts has Mr.                     
 Sommerville had, how far back do they go and what is the total                
 amount.                                                                       
                                                                               
 MR. POPELY indicated Mr. Sommerville has been working since 1995.             
 He has had a contract that has been extended from 1995 until the              
 present.  His total for the last two calendar years has been about            
 $97,000.  This extension, the $25,000, would be on top of that.  He           
 noted it has been written in increments of $25,000 for six month              
 periods.  He has been billing at $40 an hour, and will be billing             
 at $50 under the current contract.  Mr. Sommerville performs a                
 substantial amount of work pro bono and limits himself to a certain           
 number of hours per day.                                                      
                                                                               
 Number 138                                                                    
                                                                               
 REPRESENTATIVE ELTON indicated he used to administer contracts with           
 the Executive Branch and under the Executive Branch rules, any                
 contract that was over $10,000 you had to solicit three bids.  If             
 it was over $25,000, you had to go to the full bid process.                   
 Representative Elton said the contract administrators would always            
 be looking over his shoulders to make sure they aren't                        
 inappropriately broken up.  He asked what the rules are for                   
 legislative appropriations, contracts and why there has been a                
 series of $25,000 contracts.  Representative Elton said he could              
 make a good argument, as the history indicates, that there is a               
 full expectation that he is going to be recontracted.  He                     
 questioned why this is being done in a series of contracts.                   
 Number 154                                                                    
                                                                               
 MS. VARNI explained under the legislature's procurement procedures,           
 we don't have to solicit for professional services if it is $25,000           
 or under.  Once it exceeds $25,000 or above, unless it's for legal            
 services.  Legal services does not fit into this solicitation                 
 procedure.  She explained the procurement procedures for the                  
 legislature are a lot stricter than the Executive Branch.  It is              
 like going out and hiring an attorney, you know who you want to               
 hire and who has the expertise in that field.  She said in a lot of           
 instances someone will start out with a $10,000 or $25,000 contract           
 and then realize they need additional work with someone that has              
 the expertise.  She said if that is the case, there is                        
 documentation that the person can provide the required service and            
 that is why they didn't go out to bid.  In Mr. Sommerville's case,            
 the contract isn't an amendment because he has taken on additional            
 responsibilities.  She referred to the statement of work and what             
 he is providing for the House and Senate and said it is currently             
 a lot different than what his original contract said.  Ms. Varni              
 explained Senate Rules approved Mr. Sommerville's contracts before.           
 A lot of his work was provided to both the House and Senate                   
 minority leaders so they could share in the information he was                
 providing.                                                                    
                                                                               
 Number 188                                                                    
                                                                               
 REPRESENTATIVE ELTON said he has asked Mr. Sommerville to provide             
 his biweekly reports and he has been very good about doing that.              
 He said his concern is that somebody could come in and say, "What             
 you're doing is you're artificially limiting this contract to the             
 exact amount beyond what you don't need to do this and you're doing           
 it in a series."  That leads to the perception of a problem that              
 this is being done in order to get beyond the contract provision.             
 He asked if the provisions are part of law or if they are                     
 legislative operating procedures.                                             
                                                                               
 MS. VARNI explained it isn't in statute.  She said it says in Title           
 36 that the legislature will adopt procurement procedures that are            
 consistent with the Executive Branch.  We have procurement                    
 procedures that have been adopted by the Legislative Council.  Mr.            
 Varni said there are a lot of contracts that are for $15,000,                 
 $20,000 or $25,000 and they don't go beyond that.  The ones that              
 are amended because of certain circumstances, there is                        
 documentation to substantiate why it is exceed the $25,000.                   
                                                                               
 Number 213                                                                    
                                                                               
 REPRESENTATIVE AL VEZEY said he isn't aware that any professional             
 service contracts are put out to bid, at least not in the state of            
 Alaska.                                                                       
                                                                               
 REPRESENTATIVE ELTON said the contracts he has been involved with             
 were if it was a professional service contract over $10,000, they             
 had to solicit from three people.  If it was over $25,000, you had            
 to go through the full request for proposals (RFP) process.                   
                                                                               
 REPRESENTATIVE VEZEY said the professional services contracts he is           
 familiar with in excess of $1 million are not bid.  He said you               
 qualify the professionals and then the fee is negotiated.  There              
 may be another category of professional services where they don't             
 feel it's really professional.                                                
                                                                               
 MS. VARNI said she believes Representative Vezey is talking about             
 engineering contracts, where that is true.                                    
                                                                               
 REPRESENTATIVE VEZEY said when you get the professionals and                  
 experts, the procurement code provides that the state, as an owner,           
 can choose the expert that best fits the needs.                               
                                                                               
 MS. VARNI said the Executive Branch may have that policy, but the             
 legislature does not.  When the contracts exceed $10,000, there is            
 a typed contract they enter into with someone.  Professional                  
 services above $25,000 would go out to bid.                                   
                                                                               
 Number 248                                                                    
                                                                               
 REPRESENTATIVE VEZEY said he would strongly suggest we look at                
 adjusting our procurement regulations.  There is a big difference             
 between contracting for services and contracting for professional             
 services.  He said there many many cases where prospective bidders            
 are not qualified to go out and service.                                      
                                                                               
 MS. VARNI said that is correct and she does have some suggested               
 changes for the legislative procurement procedures.  She noted they           
 are drafted, but she hasn't had a chance to meet with                         
 Representative Barnes to see whether she is in agreement with the             
 suggested changes.  She noted the changes would need eight votes              
 from the Legislative Council.                                                 
                                                                               
 Number 262                                                                    
                                                                               
 REPRESENTATIVE BRIAN PORTER said he thinks the statutory                      
 requirement would have a process that would be somewhat of an                 
 (indisc.) to the state's procurement code.  The state procurement             
 code allows for full source contracts and RFPs.  This is similar to           
 those processes.  He said he would remove his objection.                      
                                                                               
 Number 273                                                                    
                                                                               
 REPRESENTATIVE ELTON said he would like an understanding of what              
 the rules are.  He said, "If I were going to go back to Washington,           
 D.C., what kind of access would have to help for testimony or                 
 speech or if I were going to be visiting professional offices                 
 (indisc.) Mr. Sommerville or somebody that's under contract.  I               
 guess the Rules Committee is the agency."                                     
                                                                               
 Number 280                                                                    
                                                                               
 Representative Phillips said if Representative Elton or another               
 member were to go the Washington, D.C. and testify on behalf of the           
 House of Representatives, Mr. Sommerville helps prepare all of the            
 documentation.  If a member were to go in their own, he wouldn't              
 help.  It has to be done on behalf of the House of Representatives,           
 as a whole.                                                                   
                                                                               
 CHAIRMAN KOTT said there is a motion before the committee to accept           
 the contract between the House Rules Committee and Ron Sommerville.           
 He asked if there was an objection.                                           
                                                                               
 REPRESENTATIVE ELTON objected.                                                
                                                                               
 A roll call vote was taken.  Representatives Phillips, Porter,                
 Vezey, Williams and Kott voted in favor of the motion.                        
 Representative Elton voted against the motion.  Chairman Kott said            
 the contract was accepted by the House Rules Committee.                       
                                                                               
 ADJOURNMENT                                                                   
                                                                               
 CHAIRMAN KOTT adjourned the House Rules Committee meeting at 5:40             
 p.m.                                                                          
                                                                               

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