HOUSE BILL NO. 112 "An Act amending the definition of `political party' except as the definition of the term applies to the regulation of contributions and expenditures in state and municipal election campaigns, an amendment that also has the effect of changing the definition of `political organization' as applied to the regulation of games of chance and contests of skill." REPRESENTATIVE AL VEZEY, SPONSOR, testified in support of HB 112. He maintained that HB 112 would bring order to the chaos in the electoral process. He observed that political parties must run a candidate for Governor and receive 3 percent of the vote cast in that general election, in order to retain their legal status. He observed that third parties are growing. He noted the last time a Governor was last elected with a majority vote was in 1970. He explained that the legislation would provide a mechanism for a political party to retain its status without running a candidate for Governor every four years. He observed that political parties have special status under the Alaska Public Offices Commission (APOC). Political parties are able to participate in charitable gaming activities. Political parties must file APOC reports. Representative Vezey observed that 10,000 represent approximately 3 percent of the registered voters. The legislation allows a party that has 10,000 registered voters to retain party status under Alaska statutes without running a candidate for governor. Representative Davies observed that the Republican and Democratic parties would not be affected. He stated that the Alaska Independent Party (AIP) has more than the required 10,000 registered voters. Co-Chair Therriault noted statistics for the following parties: *Democrats - 71,000; *Republicans - 104,000; *Alaska Independent Party - 16,000; and 2 *Green Party - 3,000. Representative Davies summarized that the AIP party would not have to run a candidate, while the Green Party would have to run a candidate for governor in the next general election. Representative Vezey estimated that there would be a concentrated registration drive if the legislation were passed. Representative Grussendorf asked if the Sponsor considered requiring the gubernatorial candidate to receive more than 45 percent of the vote. Representative Vezey clarified that his intent is to lessen the need for a runoff election and allow small parties to retain their status if they do not run a candidate. Representative Grussendorf pointed out that many smaller parties are trying to influence election issues through their candidates. Representative Vezey observed that smaller parties would not be precluded from running a candidate. JIM BALDWIN, ASSISTANT ATTORNEY GENERAL, DEPARTMENT OF LAW observed the need to document the interest that is being served by the legislation. He observed that the legislation is a limitation on the right of political association. He noted that the Court ruled in Vogler versus Miller, that the State must have a compelling governmental interest to place limitations on political recognition for purposes of admission to the primary election ballot. He suggested that the legislation cannot be defended on the premise that an election of a gubernatorial candidate by a majority vote is paramount. He observed that under the legislation the Green Party would not be a recognized party and the AIP would be a recognized party. Mr. Baldwin observed that most states require that a political party meet a percentage of those that voted in the last primary election. Once a party is recognized they are included on the ballot without petition. He observed that in order to meet the registration requirement individuals must disclose their party affiliation before the party can achieve recognized party status. Registered voters do not have to disclose their party affiliation. This requirement could be seen as a compulsory disclosure of political affiliation. He noted that these kinds of limitation are upheld only when there is nothing less intrusive to serve this interest. He acknowledged that an attorney of the Republican Party has challenged his interpretation. Co-Chair Therriault noted that voter registration would not be the only route to obtain recognition as a political 3 party. Representative Kelly observed that if the Green Party gets 3 percent of the vote in a general election for governor they would retain their status. Co-Chair Therriault emphasized that no rights are being taken away. Co-Chair Hanley noted that the Court ruled in Vogler versus Miller that the standard was too high. He asked if 3 percent is a defendable amount. Mr. Baldwin stated that the Court indicated that 3 percent would be acceptable. GAIL FENUMIAI, DIVISION OF ELECTION, OFFICE OF THE LIEUTENANT GOVERNOR noted that 213,404 votes were cast in the last general election. Three percent of those that voted is 6402. Co-Chair Hanley noted that the 10,000 requirement is higher than 3 percent. Mr. Baldwin noted that 10,000 is an arbitrary number. He emphasized that the Department would like to have some rationale to defend the number. Co-Chair Hanley spoke in support of setting the limit at 3 percent of the previous election. In response to a question by Representative Grussendorf, Ms. Fenumiai noted that there are 420,000 registered voters in the State of Alaska. Representative Grussendorf expressed concern that a fixed number would not grow with the population. Co-Chair Therriault noted that the Green Party had 3,088 registered voters. Representative Grussendorf suggested that the legislation grandfather in all the major recognized parties in the State. Co-Chair Therriault noted that 3,088 is less than 1 percent of the registered voters in the State. Representative Martin observed that the State of Alaska has a high percentage of voter's registration due to the Permanent Fund Dividend Program. He spoke in support of basing political party status on a percentage of those that voted, rather than on registered voters. Representative Davies cited statistics of other states requirements for the granting of political party. He demonstrated that other requirements by other states vary from one-twentieth of one percent to one percent of registered voters. 4 JACK COGHILL, CHAIRMAN, ALASKA INDEPENDENT PARTY, testified via the teleconference network in support of HB 112. He observed that the legislation provides two avenues to retain political party status. He stressed that there would be savings in the Division of Elections if small parties do not have to run a candidate. He noted that it is the goal of AIP to build political strength. He observed that AIP would not run a candidate, in the next gubernatorial election, if they did not have to do so to retain their status. Representative Davies noted that AIP could support the Republican candidate for Governor and still retain their status. He observed that, under the legislation, the Green Party would have to run a candidate to retain their status as a political party. Mr. Coghill noted that AIP wants to be able to build a foundation for a political structure, in order to challenge the political process in future years. In response to a question by Representative Davies, Mr. Coghill noted that he would support the substitution of one- percent of registered voters. In response to a question by Representative Grussendorf, Ms. Fenumiai explained that supports of the Liberation Party and the Constitutional Party are listed under the "other" category. Representative Grussendorf observed that these parties would not be likely to support AIP since they will be busy trying to gain recognition for their own party. SCOTT KOHLHASS, ALASKA LIBERTARIAN PARTY, FAIRBANKS testified via the teleconference network in support of HB 112. He noted that the legislation opens new avenues for obtaining political party status. He pointed out that Alaska is one of the more difficult states to obtain ballot access. He noted that in some other states sufficient ballot signatures result in full party status. He asked why small parties are required to petition for each office as a limited political party. In response to a question by Representative Davies, Mr. Kohlhass noted that he would support the substitution of one-percent of the registered voters. He maintained that requiring 10,000 registered voters, for a political party to retain its legal status without running a gubernatorial candidate, is "oppressive." Co-Chair Therriault noted that the Division of Elections would need computer modifications. Mr. Kohlhass observed that the Alaska Civil Liberties Union 5 has advocated that one-tenth of one percent of the vote be required to maintain ballot status. KEVIN MORFORD, MEMBER, GREEN PARTY testified via the teleconference network. He noted that he is an attorney. He emphasized that the legislation addresses important constitutional rights. (Tape Change, HFC 97-52, Side 2) Mr. Morford noted that there are two ways to get on the ballot. A candidate can run as a member of a recognized political party with ballot access or by nominating petition. The legislation will not change the manner in which political parties are able to initially qualify for ballot access. He observed that a party could register voters until they have ballot access. He noted that the Green Party is the only registered party that could not maintain its status without running a candidate for governor. He stressed the importance of maintaining a level playing field. Mr. Morford referred to the sponsor statement for HB 112. He noted that the sponsor statement concludes that the legislation would result in Alaska's governors being elected by a larger plurality of voters. He observed the intent of the bill is to cut down on the number of candidates for governor, and thereby achieve elections in which governors are more likely to be elected by a majority. He maintained that it is not legitimate to try to cut down on the number of candidates by limited ballot access. He suggested that multiple ballots could be utilized to achieve plurality. He maintained that the 10,000 requirement is not justified. He pointed out that 50 percent of Alaskan registered voters are not affiliated with a party. He noted that there were more votes cast for the Green Party than were registered members of the party. He stated that it does not make sense to require a higher number to be registered for a party than the amount it received in a general election. Mr. Morford suggested the adoption of uniform rules, an even playing field and that ballot access be based on reasonable numbers. He supported the use of 3 percent of the vote or a smaller number of registered voters. JIM SYKES, GREEN PARTY testified via the teleconference network. He acknowledged the need for other criteria to be considered. He questioned why other statewide races are not counted equally. He provided members with a memorandum presenting three options for amendment to HB 112 (attachment 1). He spoke in support of the amendments. He noted that AIP and the Green Party received more than 3 percent of the 6 vote in several previous statewide races. Option B, under the proposed amendments, would require that a political party run at least three legislative races and receive 3 percent of the vote. He agreed that it takes a lot of time and energy to run races. He maintained that a requirement for 10,000 registered voters is different from the way any other states operate. He spoke in support of a registration requirement of one percent of the registered voters. He observed that the Alaska Supreme Court has a record of striking down unreasonable ballot access requirements. He urged the Committee to replace the requirement for 10,000 with the suggestions contained in Attachment 1. He noted that there are ballot options that would allow voters to prioritize their choices to allow a majority to be obtained. He emphasized that the Green Party should receive the same treatment as other parties. Representative Vezey clarified that the 10,000 requirement was based on, what was at that time, 3 percent of the registered voters. He clarified that the legislation is not about ballot access. He maintained that the legislation is about the ability to maintain political party status without being on the ballot. He observed that political parties could have any number of gaming permits. He questioned if the Legislature wants to make it easy for inactive political parties to have access to gaming permits. Representative Martin agreed with comments by Representative Vezey. He suggested that political parties not be allowed to have pull-tab permits. Representative Davies provided members with Amendment 1 (copy on file). Representative Davies MOVED to adopt Amendment 1. Representative Martin OBJECTED. Representative Davies explained that Amendment 1 would allow a political party to run in three other statewide races as a means to validate its status as a party. Representative Vezey spoke against the amendment. A roll call vote was taken on the MOTION. IN FAVOR: Davies Grussendorf, Moses OPPOSED: Davis, Foster, Kelly, Martin, Therriault, Hanley Representatives Mulder and Kohring were absent for the vote. The MOTION FAILED (3-6). Co-Chair Hanley MOVED to adopt Amendment 2 (copy on file). He explained that Amendment 2 would provide that a political party have registered voters equal to 3 percent of the votes cast for governor at the proceeding general election. He observed that this is a lower standard than three percent of 7 the registered voters. The number would fluctuate based on the number of registered voters. Representative Davies MOVED to AMEND Amendment 2; delete "three-percent" and insert "one-percent." Co-Chair Therriault OBJECTED. Representative Davies spoke in support of the amendment. He noted that the amount would require that a party have 6,400 registered voters, before it could retain its legal status without running a gubernatorial candidate. He stressed that 6,400 would be greater than the Green Party currently has registered. He observed that one- percent would require that a party have 2,200 registered voters. He stated that this would be equal to the highest standard of any state in the nation. Co-Chair Hanley spoke against the amendment. He pointed out that one-percent of the registered voters is more than one- percent of the vote. He maintained that three-percent is a defensible number. He stressed that it is less restrictive. Representative Martin spoke against the amendment. Representative Davies emphasized that the Green Party has consistently received more votes than its share of registered voters. He maintained that Alaskans value their privacy. A roll call vote was taken on the MOTION to amend Amendment 2. IN FAVOR: Davies Grussendorf, Moses OPPOSED: Davis, Foster, Kelly, Martin, Therriault, Hanley Representatives Mulder and Kohring were absent for the vote. The MOTION FAILED (3-6). Co-Chair Hanley clarified that the amendment pertains to votes at the last gubernatorial election. There being NO OBJECTION, Amendment 2 was adopted. Representative Davies MOVED to adopt Amendment 3 (copy on file). Co-Chair Therriault OBJECTED. He explained that the amendment clarifies that, once a party reaches legal status, it retains legal status until it fails to have registered numbers equal to that percentage. Representative Vezey spoke against the amendment. Representative Davies MOVED to AMEND Amendment 3, delete "one-percent" and insert "three-percent" on lines 6 and 9. Co-Chair Hanley observed that the amendment is based on registered voters. He summarized that the amendment 8 eliminates the ability to qualify with the 3-percent of the votes cast for a gubernatorial candidate. He stressed that the amendment would be more limiting. He observed that, under the amendment, the Green Party would not be able to put up a candidate for governor. While Representative Davies considered Amendment 3, Ms. Fenumiai discussed the fiscal note by the Office of the Lieutenant Governor. She explained that the Division would need to modify their computer system to track additional parties. In response to a question by Co-Chair Therriault, Ms. Fenumiai explained that the code table would require updates. She observed that voter registration reports and voter cards would also have to be modified. She clarified that the Division could not retrace voter records. Representative Davies suggested that the amendment should be worded to allow the current provision or the provision contained in Amendment 3. He WITHDREW Amendment 3. Representative Foster MOVED to report CSHB 112 (FIN) out of Committee with individual recommendations and with the accompanying fiscal notes. Representative Davies OBJECTED. He maintained that the legislation would allow AIP to not run a candidate and require the Green Party to run a candidate. The Green Party would be required to registered 50 percent more voters in order to not run a candidate. He stated that the bill could be interpreted to have political intent. A roll call vote was taken on the MOTION. IN FAVOR: Davis, Foster, Kelly, Kohring, Martin, Therriault, Hanley OPPOSED: Davies, Grussendorf, Moses Representative Mulder was absent for the vote. HB 112 was reported out of Committee with a "do pass" recommendation and with a fiscal impact note by the Office of the Lieutenant Governor, dated 2/26/97; and with a zero fiscal note by the Department of Revenue, dated 2/26/97.