HOUSE STATE AFFAIRS STANDING COMMITTEE February 2, 1993 8:00 a.m. MEMBERS PRESENT Representative Al Vezey, Chairman Representative Pete Kott, Vice Chairman Representative Harley Olberg Representative Gary Davis Representative Fran Ulmer Representative Bettye Davis Representative Jerry Sanders MEMBERS ABSENT None OTHER HOUSE MEMBERS PRESENT Representative Brian Porter Representative Jerry Mackie COMMITTEE CALENDAR *HB 43: "An Act relating to the crime of conspiracy." HELD IN COMMITTEE FOR FURTHER CONSIDERATION *HB 69: "An Act relating to registration of and information about sex offenders and amending Alaska Rules of Criminal Procedure 11(c) and 32(b)." HELD IN COMMITTEE FOR FURTHER CONSIDERATION *HB 81: "An Act relating to the longevity bonus program." HELD IN COMMITTEE FOR FURTHER CONSIDERATION HJR 9: Proposing an amendment to the Constitution of the State of Alaska prohibiting the imposition of state personal income taxation, state ad valorem taxation on real property, or state retail sales taxation without the approval of the voters of the state. MOVED OUT OF COMMITTEE WITH A DO PASS RECOMMENDATION HB 36: "An Act relating to retirement incentive programs for the public employees' retirement system, the teachers' retirement system, and certain persons under the judicial retirement system; and providing for an effective date." HELD IN COMMITTEE FOR FURTHER CONSIDERATION HB 42: An Act relating to retirement incentive programs for the public employees' retirement system, the teachers' retirement system, and certain persons under the judicial retirement system; and providing for an effective date. HELD IN COMMITTEE FOR FURTHER CONSIDERATION (* first public hearing) WITNESS REGISTER Representative Brian Porter State Capitol, Room 122 Juneau, AK 99811-1182 465-3930 Position Statement: Prime Sponsor of HB 43 Richard Burton, Commissioner Department of Public Safety P.O. Box 111200 Juneau, AK 99811-1200 465-4322 Position Statement: Supported HB 43 Doug Wooliver, Legislative Aide to Representative Ramona Barnes State Capitol, Room 208 Juneau, AK 99811-1182 465-3438 Position Statement: Gave an overview of HB 69 Mel Krogseng, Legislative Aide to Representative Ramona Barnes State Capitol, Room 208 Juneau, AK 99811-1182 465-3438 Position Statement: Explained CSHB 69 Cindy Smith, Director Network on Domestic Violence & Sexual Assault 419 6th Street, Suite 1116 Juneau, AK 99801 586-3650 Position Statement: Supported HB 69 Andy Klamser Council on Domestic Violence & Sexual Assault P.O. Box 111200 Juneau, AK 99811-1200 465-4356 Position Statement: Supported HB 69 Nancy Usera, Commissioner Department of Administration P.O. Box 110200 Juneau, AK 99811-0200 465-2200 Position Statement: Supported HB 81 Representative Jerry Mackie State Capitol Court Building, Room 602 Juneau, AK 99811-1182 465-4925 Position Statement: Prime Sponsor of HB 36 PREVIOUS ACTION BILL: HB 43 SHORT TITLE: CRIME OF CONSPIRACY BILL VERSION: SPONSOR(S): REPRESENTATIVE(S) PORTER,Phillips,Olberg TITLE: "An Act relating to the crime of conspiracy." JRN-DATE JRN-PG ACTION 01/11/93 35 (H) READ THE FIRST TIME/REFERRAL(S) 01/11/93 35 (H) STATE AFFAIRS, JUDICIARY, FINANCE 01/18/93 102 (H) COSPONSOR(S): OLBERG 02/02/93 (H) STA AT 08:00 AM CAPITOL 102 BILL: HB 69 SHORT TITLE: SEX OFFENDER REGISTRATION BILL VERSION: SPONSOR(S): REPRESENTATIVE(S) BARNES,Ulmer,Phillips, Nordlund,Porter,Olberg,James,B.Davis TITLE: "An Act relating to registration of and information about sex offenders and amending Alaska Rules of Criminal Procedure 11(c) and 32(b)." JRN-DATE JRN-PG ACTION 01/15/93 89 (H) READ THE FIRST TIME/REFERRAL(S) 01/15/93 90 (H) STATE AFFAIRS, JUDICIARY, FINANCE 01/27/93 169 (H) COSPONSOR(S): NORDLUND 01/29/93 183 (H) COSPONSOR(S): PORTER 02/01/93 202 (H) COSPONSOR(S): OLBERG, JAMES, B.DAVIS 02/02/93 (H) STA AT 08:00 AM CAPITOL 102 BILL: HB 81 SHORT TITLE: PHASE OUT LONGEVITY BONUS BILL VERSION: SPONSOR(S): RULES BY REQUEST OF THE GOVERNOR TITLE: "An Act relating to the longevity bonus program." JRN-DATE JRN-PG ACTION 01/22/93 130 (H) READ THE FIRST TIME/REFERRAL(S) 01/22/93 130 (H) STATE AFFAIRS, JUDICIARY, FINANCE 01/22/93 130 (H) -2 FNS (ADM) 1/22/93 01/22/93 130 (H) GOVERNOR'S TRANSMITTAL LETTER 02/02/93 (H) STA AT 08:00 AM CAPITOL 102 BILL: HJR 9 SHORT TITLE: VOTER APPROVAL FOR NEW TAXES BILL VERSION: SPONSOR(S): REPRESENTATIVE(S) MARTIN TITLE: Proposing an amendment to the Constitution of the State of Alaska prohibiting the imposition of state personal income taxation, state ad valorem taxation on real property, or state retail sales taxation without the approval of the voters of the state. JRN-DATE JRN-PG ACTION 01/04/93 23 (H) PREFILE RELEASED 01/11/93 23 (H) READ THE FIRST TIME/REFERRAL(S) 01/11/93 23 (H) STATE AFFAIRS, JUDICIARY, FINANCE 01/19/93 (H) STA AT 08:00 AM CAPITOL 102 01/21/93 (H) STA AT 08:00 AM CAPITOL 102 01/21/93 (H) MINUTE(STA) 01/23/93 (H) STA AT 08:00 AM CAPITOL 102 01/23/93 (H) MINUTE(STA) 01/26/93 (H) STA AT 08:00 AM CAPITOL 102 01/26/93 (H) MINUTE(STA) 01/30/93 (H) STA AT 08:00 AM CAPITOL 102 01/30/93 (H) MINUTE(STA) 01/30/93 (H) MINUTE(STA) BILL: HB 36 SHORT TITLE: RETIREMENT INCENTIVE PROGRAM BILL VERSION: SPONSOR(S): REPRESENTATIVE(S) MACKIE,Hudson,Ulmer,B.Davis, Brice TITLE: "An Act relating to retirement incentive programs for the public employees' retirement system, the teachers' retirement system, and certain persons under the judicial retirement system; and providing for an effective date." JRN-DATE JRN-PG ACTION 01/08/93 33 (H) PREFILE RELEASED 01/11/93 33 (H) READ THE FIRST TIME/REFERRAL(S) 01/11/93 33 (H) STATE AFFAIRS, LABOR & COMMERCE, FINANCE 01/28/93 (H) STA AT 08:00 AM CAPITOL 102 01/28/93 (H) MINUTE(STA) 01/28/93 (H) MINUTE(STA) 01/29/93 182 (H) COSPONSOR(S): HUDSON- FIRST COSPONSOR 01/29/93 182 (H) COSPONSOR(S): B.DAVIS, BRICE 01/30/93 (H) STA AT 08:00 AM CAPITOL 102 01/30/93 (H) MINUTE(STA) 01/30/93 (H) MINUTE(STA) BILL: HB 42 SHORT TITLE: RETIREMENT INCENTIVE PROGRAM BILL VERSION: SPONSOR(S): REPRESENTATIVE(S) HUDSON,Ulmer TITLE: "An Act relating to retirement incentive programs for the public employees' retirement system, the teachers' retirement system, and certain persons under the judicial retirement system; and providing for an effective date." JRN-DATE JRN-PG ACTION 01/11/93 35 (H) READ THE FIRST TIME/REFERRAL(S) 01/11/93 35 (H) STATE AFFAIRS, LABOR & COMMERCE, FINANCE 01/28/93 (H) STA AT 08:00 AM CAPITOL 102 01/28/93 (H) MINUTE(STA) 01/28/93 (H) MINUTE(STA) 01/30/93 (H) STA AT 08:00 AM CAPITOL 102 01/30/93 (H) MINUTE(STA) ACTION NARRATIVE TAPE 93-11, SIDE A Number 000 The seventh meeting of the House State Affairs Committee was called to order at 8:00 a.m. on Tuesday, February 2, 1993, by Chairman Vezey and he noted a quorum was present. HB 43: CRIME OF CONSPIRACY CHAIRMAN AL VEZEY read the title of HB 43, and invited Representative Brian Porter, the sponsor of HB 43, to testify. Number 030 REPRESENTATIVE BRIAN PORTER, PRIME SPONSOR of HB 43, as a former investigator stated the purpose of HB 43. He explained the crime of conspiracy would cover only serious crimes against persons and not such things as cheating on income tax. Felonies and unclassified felonies such as first degree murder, kidnapping, supplying narcotics to minors, and first degree crimes of assault, robbery, sexual assault, and arson were included. These crimes included serious injury or death to a person. Number 201 CHAIRMAN VEZEY asked for previous history regarding conspiracy legislation. REPRESENTATIVE PORTER explained the history of other legislation including some that did not pass and why the bills did not pass. Number 238 CHAIRMAN VEZEY asked about charge bargaining as referred to on page 3, section 3, of HB 43. REPRESENTATIVE PORTER discussed soliciting or attempting to commit a crime and defined soliciting. He said intent must be proved beyond a reasonable doubt and the person must take a step toward completion of the act. Number 298 REPRESENTATIVE FRAN ULMER shared concerns of people being framed. She said it did not say the defendant must act. She also discussed the issue of credibility. Number 328 REPRESENTATIVE PORTER stated with any crime a person could be framed but it must be proved the defendant was involved. Number 362 RICHARD BURTON, COMMISSIONER, DEPARTMENT OF PUBLIC SAFETY, spoke in support of HB 43. He explained the history of conspiracy bills, saying the topic was too broad in past legislation. He stated HB 43 narrowed it down and would be a tool to use to connect the person who started the crime. He stated Alaska had the highest rate of crime per capita. Number 432 REPRESENTATIVE BETTYE DAVIS asked questions regarding the fiscal note. Number 434 REPRESENTATIVE PORTER explained the fiscal notes from the Public Defender Agency and the Public Advocacy Agency. He described the jobs and cases given to each agency. Number 466 REPRESENTATIVE B. DAVIS said the fiscal note was inflated. Number 468 CHAIRMAN VEZEY restated the costs in the fiscal note were probably not a reflection of the change in law that would come from HB 43. Number 480 REPRESENTATIVE PORTER reiterated the agencies were showing within the fiscal note a cost that increased six, seven, or eight percent of their budget. Number 510 REPRESENTATIVE HARLEY OLBERG stated while on the finance subcommittee he was surprised at the budget costs for the Office of Public Advocacy. He also shared his frustration over the fiscal note being worthless. Number 527 REPRESENTATIVE ULMER discussed the function of the Office of Public Advocacy. She stated the fiscal note assumed there would be twenty-five conspiracy cases annually which would increase their work load. Number 546 REPRESENTATIVE PORTER said the agencies failed to recognize the cases which would be conspiracy were the same cases that would be defended and convicted from the original act performed. Therefore, the fiscal note should reflect no increase in cost, he added. HB 69: SEX OFFENDER REGISTRATION Number 553 CHAIRMAN VEZEY said the committee would need to review HB 43 more. He then read the title of HB 69 and asked Doug Wooliver if he would like to speak on behalf of the sponsor, Representative Barnes. Number 560 DOUG WOOLIVER, LEGISLATIVE AIDE TO REPRESENTATIVE BARNES, PRIME SPONSOR of HB 69, gave an overview of the value in registering sex offenders. He stated attempted sexual assault convictions would also be included. He said the registration length started after the unconditional discharge. He gave a list of the information that would be available to the public and explained why the information would be barred by the right to privacy. He shared statistics regarding recidivism. The information would better protect the public by allowing background checks to be easier, he said, and spoke of other states with similar statutes. TAPE 93-11, SIDE B Number 099 CHAIRMAN VEZEY asked a question relating to registration in section 4, page 2, paragraph C of HB 69. Number 118 MEL KROGSENG, LEGISLATIVE AIDE TO REPRESENTATIVE RAMONA BARNES, said there were areas of the North Slope where Public Safety offices were closer than a State Trooper's office. It would be extreme to require someone to travel 200 miles to register at a troopers' office when the Department of Public Safety office would be acceptable, he said. Number 149 REPRESENTATIVE PETE KOTT asked if HB 69 included registration of minors. Number 154 MR. WOOLIVER said it would include minors who were convicted as an adult, yet juveniles might petition the court to seal their records. REPRESENTATIVE B. DAVIS discussed the amendment difference between the committee substitute (CS) and the original one. CHAIRMAN VEZEY discussed the amendment. Number 203 MR. WOOLIVER explained the change in CSHB 69 and what the changes did. Number 253 REPRESENTATIVE B. DAVIS asked if the chair would like her to move CSHB 69. CHAIRMAN VEZEY stated the committee should review CSHB 69 until the next meeting. Number 260 REPRESENTATIVE KOTT asked if CSHB 69 would be retroactive and if all sex offenders would register. He also referenced the fiscal note showing no increased costs. Number 268 MR. WOOLIVER explained the fiscal note from Public Safety. Number 286 REPRESENTATIVE KOTT discussed the Expo Facto Law. Number 289 MR. WOOLIVER stated the Expo Facto Law was in effect when punishment changed. He added CSHB 69 was regulatory only and did not promulgate an increase in punishment. Number 330 REPRESENTATIVE OLBERG clarified CSHB 69 applied only to sex offenders. Number 335 MR. WOOLIVER responded in the affirmative. Number 343 CINDY SMITH, DIRECTOR, NETWORK ON DOMESTIC VIOLENCE & SEXUAL ASSAULT, spoke in support of CSHB 69. She shared statistics regarding sex crimes and said Alaska was the rape capital of the nation. She noted there was a higher suicide rate on those assaulted, sex offenders reoffend, and most offenders were not treated. When there was treatment, there was no follow-up. Most offenders had a prior history of assaults before being caught. They hide information and CSHB 69 would make past information obtainable, she added. Number 397 REPRESENTATIVE GARY DAVIS asked if there were statistics regarding rehabilitated sex offenders. Number 400 MS. SMITH was not aware of any such statistics in Alaska. Nationally the recidivism was twenty to forty percent with treatment, she added. Number 412 ANDY KLAMSER, COUNCIL ON DOMESTIC VIOLENCE AND SEXUAL ASSAULT, spoke in support of CSHB 69. He was a police officer for 15 years. For the past 9 years he investigated sex offenders. He discussed treatment for offenders. Many people came to Alaska to get away from their past, he said. He added CSHB 69 would be a reminder of how seriously Alaska took these crimes and their conduct. It might be a good deterrent but that was not the purpose of CSHB 69 since it was not an added punishment, he noted. Number 445 REPRESENTATIVE KOTT asked if there were any statistics to show if the registration program might deter sex offenders from repeating their crime. Number 451 MR. KLAMSER was not aware of any such statistics because it would be too hard to track. HB 81: PHASE OUT LONGEVITY BONUS Number 463 CHAIRMAN VEZEY stated the committee would hold CSHB 69 for further consideration. He then read the title of HB 81 and invited Commissioner Nancy Usera to testify. Number 475 NANCY USERA, COMMISSIONER, DEPARTMENT OF ADMINISTRATION, stated the longevity bonus was within her department. She explained the history of the longevity bonus, the intent of which was to have the bonus be an incentive to help keep seniors in Alaska. The cost of the program grew five million dollars per year. One thousand people have come annually into the program. The Governor's proposal was very simple, direct and doable, she said. MS. USERA explained the step down program as two hundred and fifty dollars per month to those who were grandfathered into the program. After three years of stepping down the amount to one hundred dollars the program would end. She said, "If not this, what? If not now, when?" This protected as many people as possible who have come to rely on this revenue, she added, and noted there was a negative fiscal note from the cost savings of the step down. Number 530 CHAIRMAN VEZEY asked about the negative fiscal note from the Division of Pioneer Benefits. Number 534 COMMISSIONER USERA explained the cost of cutting checks. She spoke of the variety of proposals that had been looked at and discussed in prior years. The Department of Community and Regional Affairs was using a model for legislators but the Department of Administration did not have access to this model, she said. Number 547 REPRESENTATIVE OLBERG asked about new longevity bonus recipients. Number 551 COMMISSIONER USERA explained the migration of seniors into the state that became grandfathered into the program. Number 562 REPRESENTATIVE G. DAVIS discussed the residency requirement. Number 570 COMMISSIONER USERA discussed cases regarding residency preference. There was a program phase out which would allow the issue of residency repeal for Longevity, Permanent Fund and Pioneer's Home. Number 587 REPRESENTATIVE ULMER asked for information regarding the number of people receiving the longevity bonus who would have qualified originally under the program. Number 590 COMMISSIONER USERA stated there were 401 people and people were added each year if they were here before statehood, had 25 years residency, and were 65 years old. Under today's program, 125,000 people ultimately qualified. From the 4,700 in 1973 that came into the program only 400 were left, and currently 23,000 people received the bonus, she advised. Number 611 REPRESENTATIVE ULMER asked why the step down way was better than the annuity option. Number 615 COMMISSIONER USERA explained the history of the annuity program and its support. The annuity plan called for a fifteen year phase out, she disclosed. TAPE 93-12 SIDE A Number 000 COMMISSIONER USERA continued to explain the fifteen year phase out. The cost was now eighty-eight million dollars more because that program was not adopted in 1986. Further discussion of the annuity program in comparison to the step down was given. People under the annuity plan who needed the program would not use it. They need money today, she said. HJR 9: VOTER APPROVAL FOR NEW TAXES Number 023 CHAIRMAN VEZEY thanked Commissioner Usera and said HB 81 would be held in committee for further consideration. He read the title of HJR 9 and asked the committee if they would like to take action to pass the resolution. Number 050 REPRESENTATIVE JERRY SANDERS made a MOTION to pass HJR 9 to the Judiciary Committee. Roll was taken and HJR 9 PASSED with four yeas and two neas. HB 36: RETIREMENT INCENTIVE PROGRAM Number 068 CHAIRMAN VEZEY asked for comments or questions from the committee regarding HB 36. Number 119 REPRESENTATIVE JERRY MACKIE, PRIME SPONSOR OF HB 36, said he would be happy to answer any questions. He requested the committee pass HB 36 and said the House Finance Committee would address any concerns relating to costs for the retirement incentive program. Number 148 CHAIRMAN VEZEY stated concerns with the impact on retirement funds and would have a list of questions to give to Representative Mackie. Number 158 REPRESENTATIVE ULMER said the Budget and Audit Committee and the full Finance Committee would review HB 36. She asked if the chair would like a motion to move the bill. Number 213 CHAIRMAN VEZEY stated he had questions to submit to Representative Mackie's office regarding the Department of Revenue, financial statement, audit actuaries and retirement fund. ADJOURNMENT CHAIRMAN VEZEY adjourned the meeting at 9:50 a.m., and HB 36 was held over for further consideration.