CS FOR HOUSE BILL NO. 157(FIN) "An Act requiring the disclosure of the identity of certain persons, groups, and nongroup entities that expend money in support of or in opposition to an application filed for a state referendum or recall election; relating to the location of offices for the Alaska Public Offices Commission and the locations at which certain statements and reports filed with the commission are made available; relating to the duties of the Alaska Public Offices Commission; clarifying the limits on making, accepting, and reporting certain cash campaign contributions; relating to campaign finance reporting by certain groups; increasing the time the Alaska Public Offices Commission has to respond to a request for an advisory opinion; repealing a reporting requirement for certain contributions; relating to contribution limits and recall campaigns; and providing for an effective date." 5:25:58 PM CRYSTAL KOENEMAN, STAFF, REPRESENTATIVE SARA RASMUSSEN, introduced the bill. Co-Chair Bishop OPENED and CLOSED public testimony. 5:27:56 PM AT EASE 5:32:32 PM RECONVENED 5:32:39 PM Senator Wielechowski MOVED to ADOPT proposed committee substitute for CS HB 157(FIN), Work Draft 32-LS0669\N (Bullard, 5/17/22). Co-Chair Bishop OBJECTED for discussion. 5:33:15 PM ERIN SHINE, STAFF, SENATOR CLICK BISHOP, highlighted the Explanation of Changes (copy on file): New Section 6 Page 4, lines 10-17 Amends AS 15.13.070(b) to change the limit an individual may contribute to a candidate, a write-in candidate, or to a non-group entity from $500 per year to $2,000 per campaign period. Changes the amount an individual may contribute to a group to $5,000 a year. New Section 7 Page 4, lines 18-24 Amends AS 15.13.070(c) to change the limit a group that is not a political party may contribute per year to a candidate or write-in candidate from $1,000 per year to $4,000 per campaign period. Changes the amount a group that is not a political party. New Section 8 Page 4, line 25 Page 5, line 1 Amends AS 15.13.070(f) to change the limit a nongroup entity may contribute to a candidate, write-in candidate, or another nongroup entity from $1,000 per year to $4,000 per campaign period. Changes the amount a nongroup entity may contribute to another group or political party to $5,000 per year. New Section 9 Page 5, line 2-8 Amends AS 15.13.070(g) to change the limit an individual may contribute to a joint campaign for governor and lieutenant governor from $1,000 per year to $4,000 per campaign period. Changes the limit a group may contribute to a joint campaign for governor and lieutenant governor from $2,000 per year to $8,000 per campaign period. Page 2 New Section 10 Page 5, lines 9-17 Amends AS 15.13.070 to include a new subsection (h) that states contribution limits provided under (b)(1), (c)(2), and (f) of this section do not apply to individuals, groups, or non-group entities contributing to a group or nongroup entity that makes solely independent expenditures. Amends AS 15.13.070 to include a new subsection (i) directing the Alaska Public Offices Commission to update contribution limits every ten years, beginning the first quarter of 2031, based on consumer inflation rates for Anchorage, Alaska. These increases are rounded to the nearest $50 increment. Provides an effective date of January 1, 2023 for sections not outlined in Section 33 5:33:29 PM AT EASE 5:33:34 PM RECONVENED Ms. Shine continued with the Explanation of Changes: New Section 12 Page 5, line 23 Page 6, line 4 Amends AS 15.13.072(e) stating that a candidates may not solicit or accept contributions from an individual who is not an Alaska resident if the amount would exceed the following contribution totals made to the candidate during the campaign: (1) $80,000 for office of governor or lieutenant governor; (2) $20,000 for office of state senator; (3) $12,000 for office of state representative or municipal or other office. New Section 16 Page 7, line 11-18 Amends AS 15.13.110(i) prohibiting the Alaska Public Offices Commission from changing the manner or format in which a candidate must file a report during the campaign period. New Section 26 Page 12, line 30 Page 13, line 2 Amends AS.15.13.400 to include a new paragraph (20) defining "campaign period" as the period beginning on the date a candidate becomes eligible to receive campaign contribution and ending on the date that candidate must file a final report. Section 31 Page 13, line 1 Page 14, line 6 Amends the uncodified applicability section to apply only to referendums or recalls that are filed on or after January 1, 2023. New Section 32 Page 14, lines 7-13 Adds an effective date of March 3, 2022 to AS 15.13.070 (b), (c), (f), (g), (h) as amended in Sections 6, 7, 8, 9, 10, and 26 (respectively). New Section 33 Page 14, lines 14-15 Provides an immediate effective date for Section 6-10, 12, 16, 26, and 32. Section 34 Page 14, line 16 5:37:55 PM Senator Wilson asked about Section 12 regarding out of state contributions. He recalled that there could not be a limitation on instate and out-of-state contributors, because it limited the freedom of speech. 5:40:10 PM AT EASE 5:40:31 PM RECONVENED Co-Chair Bishop WITHDREW his OBJECTION. There being NO OBJECTION, it was so ordered. Senator Wilson MOVED to ADOPT Amendment 1, 32-LS0669\N.1 (Bullard, 5/17/22). Senator Wielechowski OBJECTED for discussion. Senator Wilson stated that the amendment would prohibit initiative signature group, by not paying per signature. Senator Wielechowski stated that that the amendment would have a detrimental impact on the citizens right to gather signatures. He maintained his objection. A roll call vote was taken on the motion. IN FAVOR: Olson, Von Imhof, Wilson, OPPOSED: Hoffman, Wielechowski, Co-Chair Bishop VOIDED THE ROLL. A new roll call vote was taken on the motion. IN FAVOR: Von Imhof, Wilson, Stedman OPPOSED: Olson, Wielechowski, Hoffman, Bishop The MOTION FAILED (3/4). 5:43:17 PM AT EASE 5:43:47 PM RECONVENED Senator Wilson MOVED to ADOPT Amendment 2, 32-LS0669\N.2 (Bullard, 5/17/22). Co-Chair Bishop OBJECTED for discussion. Senator Wilson spoke to Amendment 2. He explained that the amendment would give free speech for political signs. Co-Chair Bishop asked if 660 feet was the current demarcation. Senator Wilson answered "yes." 5:45:42 PM Co-Chair Bishop asked how anyone in the valley would have a visible sign. Senator Wilson explained that the amendment would give an exemption for a temporary political sign within that demarcation. Co-Chair Bishop asked what the state's right-of-way easements were to the right or left of the road. Senator Wilson felt the amendment would fix the problem. Co-Chair Stedman interpreted that the amendment proposed allowing the political signs on personal property. Senator Wilson agreed. Senator Olson asked if the amendment allowed for the private property owner to decide what to do with their property. Senator Wilson replied in the affirmative. Senator Hoffman WITHDREW his OBJECTION. There being NO OBJECTION, it was so ordered. 5:47:51 PM AT EASE 5:48:23 PM RECONVENED Co-Chair Bishop discussed FN 2 from the Department of Administration. Senator Wielechowski MOVED to report SCS CS 157(FIN) out of Committee with individual recommendations and the accompanying fiscal note. Senator Wilson OBJECTED for discussion. He thought merging the two pieces of legislation caused concern because of Section 12. Senator Wilson WITHDREW his OBJECTION. There being NO OBJECTION, it was so ordered. SCS CS 157(FIN) was REPORTED out of committee with one do pass recommendation, one do not pass recommendation, and five no recommendation, and with one new fiscal note from the Department of Administration. 5:49:57 PM AT EASE 5:51:43 PM RECONVENED