ALASKA STATE LEGISLATURE                                                                                  
             HOUSE STATE AFFAIRS STANDING COMMITTEE                                                                           
                       February 13, 2007                                                                                        
                           8:03 a.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Bob Lynn, Chair                                                                                                  
Representative Bob Roses, Vice Chair                                                                                            
Representative John Coghill                                                                                                     
Representative Kyle Johansen                                                                                                    
Representative Craig Johnson                                                                                                    
Representative Andrea Doll                                                                                                      
Representative Max Gruenberg                                                                                                    
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 6                                                                                                                
"An Act  relating to  campaign contributions  by groups  that are                                                               
not political parties; and providing for an effective date."                                                                    
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
HOUSE BILL NO. 88                                                                                                               
"An Act  relating to  televisions, monitors,  portable computers,                                                               
and  similar devices  in  motor vehicles;  and  providing for  an                                                               
effective date."                                                                                                                
                                                                                                                                
     - HEARD AND HELD                                                                                                           
                                                                                                                                
HOUSE BILL NO. 109                                                                                                              
"An  Act  relating to  the  requirement  for candidates,  groups,                                                               
legislators,  public  officials,  and  other  persons  to  submit                                                               
reports electronically  to the Alaska Public  Offices Commission;                                                               
relating  to disclosures  by legislators,  public members  of the                                                               
Select  Committee on  Legislative Ethics,  legislative directors,                                                               
public  officials,  and  certain  candidates  for  public  office                                                               
concerning  services performed  for  compensation and  concerning                                                               
certain  income, gifts,  and other  financial matters;  requiring                                                               
legislators,   public  members   of  the   Select  Committee   on                                                               
Legislative Ethics, legislative  directors, public officials, and                                                               
municipal  officers to  make certain  financial disclosures  when                                                               
they leave  office; relating to insignificant  ownership interest                                                               
in a  business and to  gifts from  lobbyists for purposes  of the                                                               
Alaska  Executive   Branch  Ethics   Act;  relating   to  certain                                                               
restrictions  on  employment  after  leaving  state  service  for                                                               
purposes  of   the  Alaska  Executive  Branch   Ethics  Act;  and                                                               
providing for an effective date.                                                                                                
                                                                                                                                
     - BILL HEARING POSTPONED PENDING SUBCOMMITTEE REPORT                                                                       
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB   6                                                                                                                  
SHORT TITLE: CAMPAIGN CONTRIBUTIONS                                                                                             
SPONSOR(s): REPRESENTATIVE(s) HARRIS, RAMRAS, HAWKER, CHENAULT,                                                                 
SAMUELS, FAIRCLOUGH, NEUMAN, OLSON, DAHLSTROM, SEATON, JOHNSON                                                                  
                                                                                                                                
01/16/07       (H)       PREFILE RELEASED 1/5/07                                                                                
01/16/07       (H)       READ THE FIRST TIME - REFERRALS                                                                        
01/16/07       (H)       STA, JUD                                                                                               
02/03/07       (H)       STA AT 10:00 AM SPEAKER'S CHAMBER                                                                      
02/03/07       (H)       LEGISLATIVE DISCLOSURES/OUTSIDE INCOME                                                                 
02/13/07       (H)       STA AT 8:00 AM CAPITOL 106                                                                             
                                                                                                                                
BILL: HB  88                                                                                                                  
SHORT TITLE: TVS AND MONITORS IN MOTOR VEHICLES                                                                                 
SPONSOR(s): REPRESENTATIVE(s) GATTO, GRUENBERG                                                                                  
                                                                                                                                
01/16/07       (H)       PREFILE RELEASED 1/12/07                                                                               
01/16/07       (H)       READ THE FIRST TIME - REFERRALS                                                                        
01/16/07       (H)       STA, JUD, FIN                                                                                          
01/29/07       (H)       BILL REPRINTED 1/29/07                                                                                 
02/08/07       (H)       STA AT 8:00 AM CAPITOL 106                                                                             
02/08/07       (H)       Scheduled But Not Heard                                                                                
02/13/07       (H)       STA AT 8:00 AM CAPITOL 106                                                                             
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
TOM WRIGHT, Staff                                                                                                               
House Majority Office                                                                                                           
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Offered a comment during the hearing on HB                                                                 
6.                                                                                                                              
                                                                                                                                
REPRESENTATIVE MARK NEUMAN                                                                                                      
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Explained how  HB 5 was incorporated into HB                                                               
6 and answered questions during the hearing on HB 6.                                                                            
                                                                                                                                
BROOKE MILES, Executive Director                                                                                                
Alaska Public Offices Commission (APOC)                                                                                         
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Answered questions  during the hearing on HB                                                               
6.                                                                                                                              
                                                                                                                                
DON ETHERIDGE                                                                                                                   
American  Federation   of  Labor   and  Congress   of  Industrial                                                               
Organizations (AFL-CIO)                                                                                                         
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified on  behalf of the AFL-CIO to state                                                               
concerns and respond to questions during the hearing on HB 6.                                                                   
                                                                                                                                
DAVID WISER                                                                                                                     
Boston, Massachusetts                                                                                                           
POSITION STATEMENT:   Testified on  behalf of himself  in support                                                               
of HB 88.                                                                                                                       
                                                                                                                                
RODNEY DIAL, Lieutenant                                                                                                         
Deputy Commander                                                                                                                
A Detachment                                                                                                                    
Division of Alaska State Troopers                                                                                               
Department of Public Safety                                                                                                     
Ketchikan, Alaska                                                                                                               
POSITION STATEMENT:   Testified  on behalf  of the  department in                                                               
support of HB 88.                                                                                                               
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
CHAIR BOB LYNN called the  House State Affairs Standing Committee                                                             
meeting to order at 8:03:13  AM.  Representatives Roses, Coghill,                                                             
Johnson,  Doll, and  Lynn  were  present at  the  call to  order.                                                               
Representatives  Johansen and  Gruenberg arrived  as the  meeting                                                               
was in progress.                                                                                                                
                                                                                                                                
HB   6-CAMPAIGN CONTRIBUTIONS                                                                                                 
                                                                                                                                
[Contains discussion of HB 5.]                                                                                                  
                                                                                                                                
8:03:58 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE LYNN  announced that  the first order  of business                                                               
was HOUSE BILL NO. 6,  "An Act relating to campaign contributions                                                               
by groups  that are not  political parties; and providing  for an                                                               
effective date."                                                                                                                
                                                                                                                                
8:04:04 AM                                                                                                                    
                                                                                                                                
TOM   WRIGHT,  Staff,   House  Majority   Office,  Alaska   State                                                               
Legislature, mentioned  that there  is a committee  substitute in                                                               
the committee  packet and  part of  [HB 5],  a bill  sponsored by                                                               
Representative Mark Neuman, has been incorporated into it.                                                                      
                                                                                                                                
8:04:57 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE COGHILL  moved to  adopt the  committee substitute                                                               
(CS)  for HB  6, Version  LS-0055\K,  Bullard, 2/1/07,  as   work                                                               
draft.                                                                                                                          
                                                                                                                                
CHAIR LYNN objected for discussion purposes.                                                                                    
                                                                                                                                
8:05:32 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MARK  NEUMAN, Alaska  State Legislature,  as prime                                                               
sponsor of HB 5, confirmed that  HB 5 was incorporated into HB 6.                                                               
He stated  his goal was to  close some gaps in  existing statute.                                                               
He continued as follows:                                                                                                        
                                                                                                                                
     In  May  2003,  during  the  Twenty-Third  Legislature,                                                                    
     Senate  Bill 119  was  passed, and  part  of that  bill                                                                    
     allowed for the exempt status  to be raised from $2,500                                                                    
     to $5,000.   And it may  not seem like a  lot, but it's                                                                    
     still three  times our highest permanent  fund dividend                                                                    
     check.                                                                                                                     
                                                                                                                                
REPRESENTATIVE  NEUMAN  explained  that  candidates  running  for                                                               
political office  can file  exempt status.   In that  status, any                                                               
funds they  collect and spend  that are  less than $5,000  do not                                                               
have  to be  reported  to the  Alaska  Public Offices  Commission                                                               
(APOC).                                                                                                                         
                                                                                                                                
8:07:08 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ROSES  asked, "Are there any  provisions currently                                                               
... that would prevent an  outside entity from running a campaign                                                               
against their component?"                                                                                                       
                                                                                                                                
REPRESENTATIVE  NEUMAN  answered  no.     He  said  currently  an                                                               
organization could run several  candidates against one particular                                                               
candidate   for  office.     He   indicated  that   the  proposed                                                               
legislation  would   deal  with  that   issue  by  making   it  a                                                               
requirement to disclose  to the public the identity  of those who                                                               
support a  candidate and where  the money  is being spent.   That                                                               
would apply  only to the  those running for  governor, lieutenant                                                               
governor, or  the legislature.   Representative  Neuman explained                                                               
that he  would prefer not to  impose the will of  the legislature                                                               
or state government on the local level.                                                                                         
                                                                                                                                
8:08:52 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  NEUMAN reiterated  that the  bill will  allow for                                                               
open disclosure on all campaign  contributions.  In response to a                                                               
question  from  Chair  Lynn,  he   said  currently  there  is  no                                                               
requirement  to report  how the  money  is spent.   He  mentioned                                                               
[subsection](g), which he indicated would be repealed.                                                                          
                                                                                                                                
8:10:52 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  COGHILL made  some  observations  in the  statute                                                               
book related to [subsection (g)].                                                                                               
                                                                                                                                
REPRESENTATIVE  NEUMAN,  in response  to  a  question from  Chair                                                               
Lynn,  said if  a candidate,  for example,  was to  raise $5,001,                                                               
then he/she would have to file the standard paperwork.                                                                          
                                                                                                                                
8:13:12 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ROSES commented  that  the only  negative he  can                                                               
foresee  in the  bill is  an unintended,  minor consequence,  and                                                               
that would be  the additional paperwork that will  be required of                                                               
APOC.                                                                                                                           
                                                                                                                                
8:13:47 AM                                                                                                                    
                                                                                                                                
MR. WRIGHT surmised  that APOC would rather  see full disclosure,                                                               
because it makes the job easier in  the long run.  He said he and                                                               
Ms. Miles,  the executive director of  APOC, discussed exemptions                                                               
for  municipal candidates.   He  indicated that  under the  bill,                                                               
municipal  candidates, constitutional  convention delegates,  and                                                               
judges up  for judicial retention  are exempt if they  "raise and                                                               
spend less than $5,000."  He  clarified how the statute read with                                                               
and without the proposed legislation.                                                                                           
                                                                                                                                
REPRESENTATIVE  NEUMAN  noted  that with  the  implementation  of                                                               
mandatory  electronic  recording,  the  burden on  APOC  will  be                                                               
reduced.                                                                                                                        
                                                                                                                                
8:17:00 AM                                                                                                                    
                                                                                                                                
MR.  WRIGHT highlighted  the  new language  in  Version K,  which                                                               
appears in:   Section 1, page 1,  lines 4, 6-9, and  15, and page                                                               
2, lines 1 and 6-17; Section 2,  page 2, lines 24 and 25; Section                                                               
3, page 2,  line 31, and page  3, lines 1-3; Section  4, line 20,                                                               
and Section 5, line 10.                                                                                                         
                                                                                                                                
8:18:49 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ROSES asked  for  confirmation  that currently  a                                                               
union political  action groups (PAC), for  example, that collects                                                               
political  contributions with  an aggregate  less than  $100 does                                                               
not  have  to report  the  name  and  address  of each  of  those                                                               
individuals, and  Version K  would require  them to  report those                                                               
contributions regardless of the amount.                                                                                         
                                                                                                                                
MR. WRIGHT answered that's correct.                                                                                             
                                                                                                                                
REPRESENTATIVE  ROSES stated  concern that  there are  groups out                                                               
there that  want to get the  name and address of  every member of                                                               
the  union and  could do  so  if this  portion of  the bill  were                                                               
passed.  He said he likes  the disclosure aspect of the bill, but                                                               
he  suggested that  the personal  information  gathered could  be                                                               
kept on file for APOC's use, but not be made public.                                                                            
                                                                                                                                
CHAIR  LYNN proffered  that Representative  Roses' concern  would                                                               
apply to  other social  groups, such  as pro-life  and pro-choice                                                               
organizations.                                                                                                                  
                                                                                                                                
REPRESENTATIVE    JOHNSON   stated    his   understanding    that                                                               
contributions  [to  candidates] are  voluntary,  and  as long  as                                                               
everyone  knows the  consequence  of  his/her contribution,  then                                                               
full disclosure is  something for which the  legislature ought to                                                               
strive.                                                                                                                         
                                                                                                                                
8:21:37 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  COGHILL stated  that boycotts  of those  who have                                                               
supported  candidates  have  already occurred.    Notwithstanding                                                               
that, he  stated, "If the policy  call of APOC is  to say, 'These                                                               
are the  people who are  supporting candidates who  affect public                                                               
policy,' then I suggest  that either we do it for  all of them or                                                               
do it for none of them."                                                                                                        
                                                                                                                                
MR.  WRIGHT responded  that it  is the  speaker's intention  that                                                               
[the bill]  deal with full  disclosure for  anybody participating                                                               
in the political arena.                                                                                                         
                                                                                                                                
REPRESENTATIVE  ROSES expressed  support of  full disclosure  and                                                               
described all the ways he has  gone above and beyond present full                                                               
disclosure  requirements.   He said  Representative Neuman  works                                                               
outside of  the legislature  as a  furniture builder  and kitchen                                                               
remodeler.  There is  a bid process in that type  of work, and if                                                               
the  proposed legislation  passes,  every  one of  Representative                                                               
Neuman's competitors would know exactly  how much he made on each                                                               
job.    Representative Roses  said  he  wants to  ensure  citizen                                                               
legislators can  earn a  living outside of  the legislature.   He                                                               
opined that "what  we want to do" is prevent  a candidate getting                                                               
money  for something  he/she hasn't  done or  being paid  four or                                                               
five times  the amount that would  be the normal rate  for a job,                                                               
in order  to influence that  candidate.  He suggested  a firewall                                                               
be used  to protect  information given  to APOC.   Representative                                                               
Roses remarked  that it's easy to  ask for ethics, but  much more                                                               
difficult to  write legislation surrounding  it that is  fair and                                                               
equitable.                                                                                                                      
                                                                                                                                
REPRESENTATIVE JOHNSON stated his belief  that a large purpose of                                                               
the  ethics discussion  is  to [rebuild]  the  confidence of  the                                                               
public  regarding its  appointed  leaders.   He  said the  public                                                               
elected its  candidates and has a  right to full disclosure.   He                                                               
stated  his support  of full  disclosure of  every penny  used in                                                               
election and every person who donates money.                                                                                    
                                                                                                                                
8:27:24 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN stated  that another part of  trust is accountability,                                                               
and  he said  he  thinks  the public  wants  [legislators] to  be                                                               
accountable  to a  certain  set  of standards.    The debate,  he                                                               
indicated, will be whether or  not the proposed legislation "gets                                                               
us to that point."                                                                                                              
                                                                                                                                
8:27:43 AM                                                                                                                    
                                                                                                                                
MR. WRIGHT, in  response to a question  from Representative Doll,                                                               
said  bake sales  and raffle  ticket  sales are  exempt from  the                                                               
proposed legislation.                                                                                                           
                                                                                                                                
8:28:37 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE DOLL said she would  like Ms. Miles to address her                                                               
question.                                                                                                                       
                                                                                                                                
8:29:19 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRUENBERG asked the  committee to consider that if                                                               
this  level of  disclosure were  required on  the federal  level,                                                               
then everyone  who checked off the  box on the income  tax return                                                               
form,  opting to  give  a dollar  to  the presidential  campaign,                                                               
would have  to be reported.   He said he thinks  people in Alaska                                                               
prize their right to privacy  and purposely give below the amount                                                               
that  has to  be disclosed.    He stated,  "I think  we all  know                                                               
people  who have  suffered reprisals,  losses  of jobs,  business                                                               
opportunities,  because they  have  certain  political beliefs  -                                                               
because  they  have  supported   certain  candidates  or  opposed                                                               
certain issues, and they need to be protected, too."                                                                            
                                                                                                                                
MR. WRIGHT  responded to Representative Gruenberg  by echoing the                                                               
previous  remark  of  Representative  Johnson  that  the  act  of                                                               
contributing to someone's  campaign is voluntary.   He said there                                                               
is a need for transparency within Alaska's disclosure laws.                                                                     
                                                                                                                                
8:31:38 AM                                                                                                                    
                                                                                                                                
CHAIR  LYNN  asked,  "You're  talking  about  the  candidate  ...                                                               
[him/herself],  but what  about  the privacy  of  the person  who                                                               
makes the contribution?"                                                                                                        
                                                                                                                                
MR. WRIGHT reiterated that it's  up to the individual [whether or                                                               
not to contribute].                                                                                                             
                                                                                                                                
8:31:53 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE COGHILL indicated  that he thinks the  issue is in                                                               
regard to  groups that pool  money together to affect  either the                                                               
candidacy  of  an  individual  or  a  public  policy  call.    He                                                               
suggested the question is, "Who are these folks?"  He stated:                                                                   
                                                                                                                                
     You're  demanding full  disclosure  of everybody  else,                                                                    
     but these  folks, if I  understand correctly.   And so,                                                                    
     why  should  groups  who  affect   the  outcome  of  an                                                                    
     election  be exempt,  when ...  candidates ...  have to                                                                    
     disclose?                                                                                                                  
                                                                                                                                
REPRESENTATIVE COGHILL said he understands  the issue of privacy,                                                               
and  he related  that  he had  a reaction  to  being required  to                                                               
submit financial  and campaign  disclosures.   He stated  that he                                                               
thinks a group who is  banding together specifically to influence                                                               
the outcome  of an election  should "be  disclosed."  He  said he                                                               
knows  of a  candidate in  the Fairbanks  area who  received over                                                               
$30,000 in  campaign contributions, each  individual contribution                                                               
less than  $100.  He  said people  can surmise where  those funds                                                               
came  from, but  nobody  really  knows, which  he  stated is  the                                                               
problem.                                                                                                                        
                                                                                                                                
8:34:36 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHNSON said:                                                                                                    
                                                                                                                                
     The  groups  that  we're talking  about,  in  the  last                                                                    
     election contributed  to candidates, in two  issues, in                                                                    
     various forms, $3.4 million.  That's a lot of money.                                                                       
                                                                                                                                
REPRESENTATIVE  JOHNSON indicated  that  even  though that  money                                                               
came  from small  contributions, he  thinks the  citizens of  the                                                               
state have the right to know where that money originates.                                                                       
                                                                                                                                
CHAIR LYNN  recollected that during  a recent  ballot proposition                                                               
there had  been some controversy regarding  the identification of                                                               
either the proponents  or opponents.  Eventually,  he said, "they                                                               
opened that up."                                                                                                                
                                                                                                                                
8:36:03 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRUENBERG said  the  mention  of the  proposition                                                               
really  puts  the  issue  in perspective,  because  there  is  no                                                               
requirement  that  people who  are  for  or against  propositions                                                               
"disclose a  dime."  He said  who supported Proposition 2  is far                                                               
more important  to most  people in the  state than  who supported                                                               
his own campaign, for example.  He stated:                                                                                      
                                                                                                                                
     This  is   a  very,   very  patchwork-like   system  of                                                                    
     regulation; it's  not truly disclosure for  the public.                                                                    
     And the U.S. Supreme Court  has said, for example, that                                                                    
     people  can write  editorials, and  they don't  have to                                                                    
     disclose who writes the editorial.   That's on a day to                                                                    
     day basis.   And that's just the opinion  of one person                                                                    
     in newspapers.   ... Political parties have  a right to                                                                    
     close our primary  - a right of association  - the U.S.                                                                    
     Supreme Court  has said that.   And they don't  have to                                                                    
     disclose  who's doing  all  of that  -  that's a  whole                                                                    
     group of people.   ... What real  interest, compared to                                                                    
       that, does the public have in knowing who gives a                                                                        
     dollar to my campaign?                                                                                                     
                                                                                                                                
8:37:59 AM                                                                                                                    
                                                                                                                                
MR. WRIGHT said  he does not feel that the  bill sponsor is being                                                               
hypocritical, but rather  wants full disclosure for  any group or                                                               
entity.   He offered  his understanding  that APOC  addressed the                                                               
issue of  groups and  individuals involved  in propositions.   He                                                               
said, "If  that is  your wish  to have  those folks  disclose, we                                                               
would have no problem with that ...."                                                                                           
                                                                                                                                
8:38:47 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JOHNSON said  he  would  support full  disclosure                                                               
being required of [those involved with propositions].                                                                           
                                                                                                                                
REPRESENTATIVE  GRUENBERG clarified  that  he  is suggesting  the                                                               
opposite.  He explained:                                                                                                        
                                                                                                                                
     People  have a  right to  privacy.   ... If  you really                                                                    
     wanted disclosure,  the bill would  have had it  in it.                                                                    
     But I don't think this bill  has it in it, because it's                                                                    
     not true disclosure that's wanted  on all issues - it's                                                                    
     just  on some  issues:    who supports  a  dollar to  a                                                                    
     candidate.                                                                                                                 
                                                                                                                                
REPRESENTATIVE  JOHNSON   stated,  "And  I  would   support  your                                                               
amendment to  the bill, as  well."  Regarding a  previous comment                                                               
from  Representative Gruenberg,  he  said  voter registration  is                                                               
public information, available on the Internet.                                                                                  
                                                                                                                                
REPRESENTATIVE GRUENBERG pointed out  that the voter registration                                                               
on line  shows who has voted  and to which party  he/she may have                                                               
registered.  He  noted that there are people  who support parties                                                               
who are not registered to vote.                                                                                                 
                                                                                                                                
CHAIR LYNN said those who run  for office give up a certain right                                                               
to privacy.   He said he supposes an argument  could be made that                                                               
anyone who contributes to a candidate  or cause has given up some                                                               
right  to privacy.   He  concluded, "But  this is  a very  sticky                                                               
wicket ..., because we do want to have appropriate disclosure."                                                                 
                                                                                                                                
8:40:58 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE COGHILL  said the Select Committee  on Legislative                                                               
Ethics has focused on lobbyists  and the administrative executive                                                               
branch.   He said special interest  groups have a huge  impact on                                                               
public  policy and  the  individuals that  make  up those  groups                                                               
should  be known  to the  public.   He  said whether  or not  the                                                               
employer  should  be included  might  be  debatable; however,  he                                                               
concurred  with  making  the  individual   known  who  makes  the                                                               
contribution.                                                                                                                   
                                                                                                                                
8:42:00 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHNSON  stated his  intent to offer  an amendment                                                               
that  would ban  PACs from  contributing to  campaigns, which  he                                                               
said  would  take special  interest  out  of  the equation.    He                                                               
stated, "If this  committee decides to pass  that amendment, this                                                               
particular section becomes moot."                                                                                               
                                                                                                                                
CHAIR LYNN said he would like a better definition of a PAC.                                                                     
                                                                                                                                
REPRESENTATIVE JOHNSON said a  constituent visited another member                                                               
of  the legislature  to oppose  "banning of  PACs," because  that                                                               
person said  it would prevent  lobbying.   Representative Johnson                                                               
said,  "Well, what  we have  is:   lobbyists  can't contribute  -                                                               
we've made that  law; we have PACs that are  donating so they can                                                               
lobby; and  I ... absolutely  don't see the difference  between a                                                               
group  coming  in  and  lobbying that  can  contribute  to  their                                                               
campaign,  or an  individual lobbyist  coming in  and lobbying  a                                                               
legislator."                                                                                                                    
                                                                                                                                
8:44:15 AM                                                                                                                    
                                                                                                                                
MR. WRIGHT  returned to  his explanation of  the changes  made in                                                               
the bill.   Regarding Section 3, he said if  the legislature held                                                               
municipal  candidates to  the  same standard,  "we  would have  a                                                               
hellacious fiscal note."  He said  that, plus not wanting to tell                                                               
municipalities  how they  should  file, is  the  reason that  the                                                               
$5,000 exemption is  left in place for  municipal candidates, for                                                               
judges  seeking  retention,  and  for  constitutional  convention                                                               
delegates.                                                                                                                      
                                                                                                                                
MR. WRIGHT,  in response to  Representative Gruenberg,  said that                                                               
an example  of a nongroup entity,  to which reference is  made in                                                               
Section 4, would be the Alaska Conservation Foundation.                                                                         
                                                                                                                                
8:46:33 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  COGHILL noted  that  the  definition of  nongroup                                                               
entity is found in AS 15.13.400(13), which read as follows:                                                                     
                                                                                                                                
                                                                                                                                
          (13) "nongroup entity" means a person, other than                                                                     
     an individual,  that takes action the  major purpose of                                                                    
     which is to  influence the outcome of  an election, and                                                                    
     that                                                                                                                       
          (A) cannot participate in business activities;                                                                        
        (B) does not have shareholders who have a claim                                                                         
     on corporate earnings; and                                                                                                 
       (C) is independent from the influence of business                                                                        
     corporations.                                                                                                              
                                                                                                                                
8:47:17 AM                                                                                                                    
                                                                                                                                
BROOKE   MILES,  Executive   Director,   Alaska  Public   Offices                                                               
Commission  (APOC), in  response to  a request  from Chair  Lynn,                                                               
said  there is  very little  difference in  the way  the campaign                                                               
disclosure  law  applies to  PACs  and  nongroup entities.    She                                                               
explained  that  "nongroup  entity" was  created  after  campaign                                                               
finance reform,  when the Alaska  Supreme Court's  opinion stated                                                               
that the  law needed  to provide some  method by  which nonprofit                                                               
corporations could  have a  voice in elections.   She  noted that                                                               
there is  only one  nongroup entity  in Alaska,  and that  is the                                                               
Alaska Conservation Voters.  She  explained that the structure of                                                               
a  nonprofit organization  does not  permit it  to register  as a                                                               
PAC.   She said  Alaska law  treats the  nongroup entity  "in the                                                               
same manner,"  and has done so  now for many years.   She offered                                                               
her recollection that it was  sometime between 2000-2002 when the                                                               
state created  the nongroup  entity section  of law,  the purpose                                                               
being "to  hold it  at a  minimum to the  standards that  ... are                                                               
required  from  any  other  political   action  committee."    In                                                               
response  from questions  from Chair  Lynn,  she confirmed  that,                                                               
politically speaking, a  PAC and a nongroup entity  are about the                                                               
same; both their restrictions are the same.                                                                                     
                                                                                                                                
8:50:08 AM                                                                                                                    
                                                                                                                                
MR.  WRIGHT returned  to his  sectional analysis.   He  predicted                                                               
that  the  change   in  Section  5  may   be  controversial,  but                                                               
Representative  Harris believes  that PACs  should be  limited by                                                               
the same restrictions as an  individual, in terms of contribution                                                               
amounts.                                                                                                                        
                                                                                                                                
CHAIR  LYNN pointed  out  an initiative  just  passed [in  2006],                                                               
lowering the  amount that a  PAC could contribute to  a candidate                                                               
from  $2,000 to  $1,000.    He stated  his  understanding that  a                                                               
change in law made by an  initiative could not be altered for two                                                               
years.                                                                                                                          
                                                                                                                                
8:51:22 AM                                                                                                                    
                                                                                                                                
MR.  WRIGHT offered  his understanding  that the  legislature can                                                               
amend the  language of  law passed through  initiative to  a more                                                               
restrictive  standard  within the  two-year  time  frame, but  it                                                               
cannot make it less restrictive.                                                                                                
                                                                                                                                
8:52:00 AM                                                                                                                    
                                                                                                                                
MR.  WRIGHT,  in  response  to  a  question  from  Representative                                                               
Gruenberg,  reiterated  that  his previous  statement,  regarding                                                               
what  the  legislature  is  allowed   to  do,  is  based  on  his                                                               
understanding of discussions with  Legislative Legal and Research                                                               
Services.                                                                                                                       
                                                                                                                                
REPRESENTATIVE  COGHILL said  he would  like a  legal opinion  on                                                               
that issue.                                                                                                                     
                                                                                                                                
MR. WRIGHT  said there could  be arguments  on both sides  of the                                                               
matter.                                                                                                                         
                                                                                                                                
CHAIR LYNN  illustrated Mr. Wright's  comment, by noting  that he                                                               
has seen  two opposite  opinions put  forth by  Legislative Legal                                                               
and Research Services and the Office of the Attorney General.                                                                   
                                                                                                                                
8:53:38 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRUENBERG  said  this  is actually  an  issue  of                                                               
public policy.  If in doubt,  he said, "defer to the initiative."                                                               
He said  the initiative is  "one of  the last vestiges  of direct                                                               
democracy  in  society."    He  said  it  is  dangerous  for  the                                                               
legislature  to  create  precedence to  undercut  the  initiative                                                               
process.   He asked Mr.  Wright, "Why  is this so  important that                                                               
you should go up to the edge of the envelope ...?"                                                                              
                                                                                                                                
MR.  WRIGHT  replied  that  he thinks  he  has  already  provided                                                               
sufficient explanation.                                                                                                         
                                                                                                                                
REPRESENTATIVE  ROSES  said  he   doesn't  see  how  the  amended                                                               
language  [in Section  5] would  undercut the  law, because  that                                                               
would mean  making the language  less restrictive, and  Section 5                                                               
would make it more restrictive.                                                                                                 
                                                                                                                                
8:54:48 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRUENBERG reiterated  that the  issue at  hand is                                                               
the right  of privacy  and the  right of  association.   When the                                                               
voters in the initiative took  a balanced approach that allowed a                                                               
PAC to give  $1,000, he said, that was "a  considered view by the                                                               
electorate."                                                                                                                    
                                                                                                                                
8:55:16 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ROSES  contended that  the reason that  the people                                                               
voted for  the amount of  $1,000 is because  that is the  way the                                                               
language  was written  in the  initiative, and  it does  not mean                                                               
they wouldn't have preferred $500, for example.                                                                                 
                                                                                                                                
CHAIR LYNN  concurred with Representative  Coghill that  it would                                                               
behoove the committee to get a legal opinion on the subject.                                                                    
                                                                                                                                
8:56:05 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE COGHILL requested that  the actual ballot language                                                               
and "purpose intended" be included in the committee packet.                                                                     
                                                                                                                                
8:56:23 AM                                                                                                                    
                                                                                                                                
MR. WRIGHT said  he will provide the initiative  language for the                                                               
committee.                                                                                                                      
                                                                                                                                
8:57:18 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRUENBERG said he does  not think the issue can be                                                               
"disguised"  by whether  $500 is  more or  less restrictive;  the                                                               
real  issue is:   "What  power has  the legislature  to amend  an                                                               
initiative within two years?"  He  said this is an issue that the                                                               
legislature has repeatedly confronted.                                                                                          
                                                                                                                                
REPRESENTATIVE ROSES  explained that he  does not see that  it is                                                               
an issue to  lower an amount when the  language specifically used                                                               
the phrase "not more than" in context of the amount.                                                                            
                                                                                                                                
8:58:34 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRUENBERG responded,  "If that's  the case,  then                                                               
that  same logic  would  allow us  to eliminate  the  right of  a                                                               
political party to contribute entirely."                                                                                        
                                                                                                                                
8:59:08 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JOHNSON talked  about unintended  consequences by                                                               
offering  the example  of the  recent cruise  ship tax,  which he                                                               
said may inadvertently have legalized gambling in the state.                                                                    
                                                                                                                                
CHAIR  LYNN   offered  information  regarding  the   cruise  ship                                                               
initiative,  which he  said  illustrates  his previous  statement                                                               
that Legislative  Legal and Research  Services and the  Office of                                                               
the Attorney General  often hold opposite opinions.   In response                                                               
to Representative Johnson, he explained  that although the cruise                                                               
ship initiative is not on topic, it  is an issue with which he is                                                               
concerned.                                                                                                                      
                                                                                                                                
9:00:55 AM                                                                                                                    
                                                                                                                                
MR.  WRIGHT noted  that  [Section 6]  provides  for an  immediate                                                               
effective date.                                                                                                                 
                                                                                                                                
9:01:08 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN  directed attention  to the copy  of Ballot  Measure 1                                                               
[included in the committee packet].                                                                                             
                                                                                                                                
9:01:22 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHNSON referred to AS 15.13.070(c), which read:                                                                 
                                                                                                                                
                                                                                                                                
         (c) A group that is not a political party may                                                                          
     contribute not more than $1,000 per year                                                                                   
          (1) to a candidate, or to an individual who                                                                           
     conducts a write-in campaign as a candidate;                                                                               
       (2) to another group, to a nongroup entity, or to                                                                        
     a political party.                                                                                                         
                                                                                                                                
REPRESENTATIVE ROSES reiterated his  previous statement that $500                                                               
is not more than $1,000.                                                                                                        
                                                                                                                                
9:02:17 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE COGHILL  opined that the full  disclosure elements                                                               
of  the bill  are probably  more important.   He  stated, "If  it                                                               
comes down to  a vote and it  means the ... moving  or killing of                                                               
this bill, I  probably will stick with the $1,000,  as long as we                                                               
can get the full disclosure measures in it."                                                                                    
                                                                                                                                
9:02:50 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRUENBERG questioned  whether the  effective date                                                               
of  the bill  would  have  an impact  on  the upcoming  Anchorage                                                               
municipal race.                                                                                                                 
                                                                                                                                
MR. WRIGHT  said he  had not  considered the  Anchorage municipal                                                               
race.   He said the  choice of the  effective date was  to create                                                               
the same set of ground rules for everyone.                                                                                      
                                                                                                                                
9:04:38 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ROSES said  he thought Mr. Wright  had stated that                                                               
municipal elections were exempt.                                                                                                
                                                                                                                                
MR.  WRIGHT clarified  that the  exemption applies  to those  who                                                               
raise  $5,000 or  less; those  who raise  more than  $5,000 would                                                               
still be subject to reporting requirements.                                                                                     
                                                                                                                                
9:06:09 AM                                                                                                                    
                                                                                                                                
MS. MILES, reminded the committee  that the commission's position                                                               
on  legislation  is  neutral.   Many  elements  of  the  proposed                                                               
legislation are  strictly policy decisions  that must be  made by                                                               
legislators on  behalf of their  constituents.  In response  to a                                                               
question from  Chair Lynn, she  said she was concerned  about the                                                               
bill's proposal  to remove the  exemption process  from municipal                                                               
campaigns.    Currently,  she  noted,  APOC  is  responsible  for                                                               
administering the campaign disclosure  law for 31 municipalities.                                                               
She explained the process as follows:                                                                                           
                                                                                                                                
     When  a candidate  finds that  they will  not raise  or                                                                    
     spend more  than $5,000 - that  includes their personal                                                                    
     money  -  it  does  not  exempt  them  from  the  other                                                                    
     provisions  of  the  campaign   disclosure  law.    For                                                                    
     example,  it  does  not  mean that  they  can  use  any                                                                    
     contributions that  they receive for personal  use.  If                                                                    
     they  were doing  so,  and a  person  had knowledge  of                                                                    
     that, they could file a  complaint with the commission,                                                                    
     and the commission would review  the records, which are                                                                    
     required to  be kept by  the candidate.  They  are only                                                                    
     exempt from  reporting.   If they  spend part  of their                                                                    
     $5,000 on  an advertisement, it needs  to be identified                                                                    
     with  those famous  words, "Paid  for by  Jane Doe  for                                                                    
     school board,  Box 10, Juneau."   ... So, it's  only an                                                                    
     exemption from reporting.                                                                                                  
                                                                                                                                
     When Tom Wright agreed to  consider the idea of keeping                                                                    
     the  exemption   for  the  municipalities   -  although                                                                    
     removing it from  state candidates - I felt  that a lot                                                                    
     of that  burden -  the paper weight  burden -  had been                                                                    
     removed.  So, I'm not  seeing anything in particular in                                                                    
     any one of  the sections that's going to  cause a whole                                                                    
     lot more work for the commission and its staff.                                                                            
                                                                                                                                
REPRESENTATIVE GRUENBERG  asked Ms. Miles  if she is  saying that                                                               
people  running for  local  office would  be  exempt from  APOC's                                                               
regulation.                                                                                                                     
                                                                                                                                
MS. MILES responded that people  who run for municipal office and                                                               
choose to  file an exemption -  a sworn statement that  they will                                                               
not be  spending more than  $5,000 in  their campaigns -  will be                                                               
exempt from reporting, but they will still subject to the law.                                                                  
                                                                                                                                
9:10:22 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  COGHILL   asked  if,  under   existing  reporting                                                               
requirements, there  have been  any complaints  regarding privacy                                                               
by those who have had their names on public disclosures.                                                                        
                                                                                                                                
MS.  MILES said  APOC does  not  receive those  complaints.   She                                                               
stated, "It's  a choice to  participate in the  election process.                                                               
... Really, once  a person decides to do that,  and the state has                                                               
disclosure laws, there's no presumption of privacy."                                                                            
                                                                                                                                
9:11:12 AM                                                                                                                    
                                                                                                                                
MR.   WRIGHT  clarified   that  under   current  law,   municipal                                                               
candidates who  are going to raise  more than $5,000 must  file a                                                               
report to APOC.                                                                                                                 
                                                                                                                                
9:11:37 AM                                                                                                                    
                                                                                                                                
MS.  MILES,  in  response  to   a  question  from  Representative                                                               
Gruenberg, said  previously any contribution  under $100  did not                                                               
have to be reported.                                                                                                            
                                                                                                                                
REPRESENTATIVE  GRUENBERG asked  what  percentage  of people  who                                                               
give to political campaigns give less than $100.                                                                                
                                                                                                                                
MS. MILES  said she does not  have that information at  hand, but                                                               
can  get  back  to  Representative   Gruenberg  with  an  answer.                                                               
Notwithstanding   that,   she   noted  that   during   the   2002                                                               
gubernatorial election,  there had been approximately  $2 million                                                               
contributed in amounts of under $100.                                                                                           
                                                                                                                                
REPRESENTATIVE GRUENBERG said it  takes four contributions of $25                                                               
each  to  get to  the  $100  mark.   He  stated  that he  is  not                                                               
concerned  about   the  amount  of  the   contributions,  but  is                                                               
concerned about  the number  of contributors.   He  explained, "I                                                               
would  be interested  in knowing  the  number of  people who  are                                                               
going to be affected, who now  have a right to privacy, who won't                                                               
if this passes."                                                                                                                
                                                                                                                                
9:13:26 AM                                                                                                                    
                                                                                                                                
MS.  MILES   stated,  "Everybody's   reporting  100   percent  of                                                               
everything  under current  law."   In response  to a  remark from                                                               
Representative Gruenberg, she  clarified, "The initiative changed                                                               
it for  groups -  changed it back  to a  hundred-dollar aggregate                                                               
...."                                                                                                                           
                                                                                                                                
9:14:09 AM                                                                                                                    
                                                                                                                                
MS. MILES, in  response to a request from Mr.  Wright, said there                                                               
had been a proposal to  remove the "exempt fundraising section of                                                               
law,"   which  relates   to  low-cost,   high-volume  fundraising                                                               
activities, such  as selling hotdogs, t-shirts,  bake sale items,                                                               
and raffle tickets.   Anyone who spends more than  $50 at such an                                                               
event  "gets  pulled out  and  named  [separately] as  a  regular                                                               
contributor."                                                                                                                   
                                                                                                                                
9:16:31 AM                                                                                                                    
                                                                                                                                
MS. MILES, in response to  a question from Representative Johnson                                                               
and   a  remark   from  Representative   Gruenberg,  stated   her                                                               
understanding that  before the ballot  initiative, a  "group" was                                                               
required  to  disclose  each contributor  by  name  and  address,                                                               
regardless  of  the  amount  of   the  contribution.    For  each                                                               
contributor who gave more than  $250, the group was also required                                                               
to  disclose  the contributor's  occupation  and  employer.   Ms.                                                               
Miles noted  that the same  manner of reporting is  required from                                                               
legislators.   She said  when the  initiative passed,  it allowed                                                               
groups to  aggregate their first  $100.  For example,  the report                                                               
could show  that 10 people  gave a total  of $300.   However, the                                                               
ballot initiative  established another threshold for  a political                                                               
group,  under  which  the candidate  must  report  the  following                                                               
regarding any  group that gives  more than $100:   name, address,                                                               
date,  amount of  contribution,  occupation, and  employer.   She                                                               
indicated  that  that  reporting  threshold  is  lower  than  the                                                               
candidates'  requirement   to  report  occupation   and  employer                                                               
information at  the over $250  level.  She concluded,  "This bill                                                               
would  move groups  back to  how they  were reporting  before the                                                               
ballot initiative."                                                                                                             
                                                                                                                                
9:18:32 AM                                                                                                                    
                                                                                                                                
MS.  MILES,  in  response  to Chair  Lynn's  reiterated  question                                                               
regarding whether  or not  the legislature  is allowed  to change                                                               
the language  put into law  through initiative before  two years'                                                               
time, said she is not qualified to address that issue.                                                                          
                                                                                                                                
9:18:55 AM                                                                                                                    
                                                                                                                                
DON ETHERIDGE,  testifying on behalf  of the  American Federation                                                               
of  Labor and  Congress  of  Industrial Organizations  (AFL-CIO),                                                               
stated that that  entity's major concern is  regarding the bill's                                                               
requirement that  contributors' names  be listed.   He  said that                                                               
could have  hurtful consequences.   He explained that  there have                                                               
been  several  attempts in  the  past  to acquire  the  AFL-CIO's                                                               
"Locals" mailing lists,  but those lists are  protected; they are                                                               
not even given  out to candidates that the AFL-CIO  supports.  He                                                               
said, "If  the intent here is  to do away  with a lot of  ... our                                                               
organized PACs, this  will do it.   A lot of our  groups will not                                                               
keep their  PACs if they have  to put out their  membership list;                                                               
it's that sacred to us."                                                                                                        
                                                                                                                                
MR. ETHERIDGE stated  the other concern is in regard  to the $500                                                               
limit.   He said the ACL-CIO  feels that since it  contributes on                                                               
behalf of  a number of its  members, the amount should  remain at                                                               
the $1,000 limit.  He  said contributions are strictly voluntary.                                                               
He related that most of  the contributions received range between                                                               
$10-$25 a month; it isn't a lot of money.                                                                                       
                                                                                                                                
9:21:52 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN  asked Mr.  Etheridge if he  knows what  percentage of                                                               
AFL-CIO members contribute to the PAC.                                                                                          
                                                                                                                                
9:22:03 AM                                                                                                                    
                                                                                                                                
MR. ETHERIDGE  answered no.   He explained  that each PAC  - each                                                               
Local -  is a  separate organization  and keeps  that information                                                               
private,  between  the  employee  and  employer.    He  said  the                                                               
memberships  fluctuate from  Local to  Local.   In response  to a                                                               
request from  Chair Lynn  to hazard  a guess  as to  whether most                                                               
members contribute or don't contribute, he responded:                                                                           
                                                                                                                                
     It just depends  on the organization ....   Some of our                                                                    
     groups are  very active politically,  and some  of them                                                                    
     ... don't do  hardly anything.  Some of  our PACs, they                                                                    
     don't   hardly  make   enough   money   to  even   make                                                                    
     contributions;  a  lot  of them  stay  under  the  $100                                                                    
     contributions because that's all they  get.  And so, it                                                                    
     varies,  depending   on  which   Local  it   is  that's                                                                    
     collecting it.   I  know some of  our Locals  ... can't                                                                    
     even get  enough money  to get  it back  together; they                                                                    
     don't even  bother.  [There  are] a lot of  our members                                                                    
     that don't get active at all.   In fact, I'm ashamed at                                                                    
     how many of our members don't even vote.                                                                                   
                                                                                                                                
9:23:42 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ROSES asked,  "Are there any of  your Locals where                                                               
the contribution to PAC is mandatory,  and you have to exempt out                                                               
for it not to be taken out of your check?"                                                                                      
                                                                                                                                
MR. ETHERIDGE answered, "Not in our Locals that I'm aware of."                                                                  
                                                                                                                                
REPRESENTATIVE ROSES  said he knows  of some [Locals]  where that                                                               
is the case.                                                                                                                    
                                                                                                                                
9:24:09 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRUENBERG  asked, "How  important do  your members                                                               
feel their privacy is in this matter?"                                                                                          
                                                                                                                                
9:24:18 AM                                                                                                                    
                                                                                                                                
MR. ETHERIDGE replied  that he thinks that is  an important issue                                                               
to many of  the members, which is why many  contribute to the PAC                                                               
rather than directly to the candidate.                                                                                          
                                                                                                                                
REPRESENTATIVE  GRUENBERG   asked,  "How   do  they   feel  about                                                               
government intruding in their privacy in this manner?"                                                                          
                                                                                                                                
MR. ETHERIDGE answered, "Many of them don't like it at all."                                                                    
                                                                                                                                
9:24:45 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN indicated a foreseeable  problem in making it possible                                                               
for  proponents and  opponents  of issues  to  send out  targeted                                                               
mailings.                                                                                                                       
                                                                                                                                
9:25:27 AM                                                                                                                    
                                                                                                                                
MR.  ETHERIDGE  indicated  that contributing  to  candidates  can                                                               
result in receiving a deluge of mail.                                                                                           
                                                                                                                                
CHAIR  LYNN  restated  his concern  regarding  giving  access  to                                                               
private mailing lists.                                                                                                          
                                                                                                                                
9:26:29 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  COGHILL   said  he   agrees  that   anonymity  in                                                               
contributions is good.  However,  he said, "When you start acting                                                               
like  a  political party  -  ...  supporting candidates,  getting                                                               
money  to them,  and putting  money into  issues -  I think  that                                                               
anonymity, then, needs to dissipate,  because the public is being                                                               
affected."   He said that is  a policy that Alaskans  have chosen                                                               
[through  initiative].   He stated  that the  AFL-CIO has  a huge                                                               
impact  regarding who  runs,  how  much they  get,  and what  the                                                               
issues are.                                                                                                                     
                                                                                                                                
MR.  ETHERIDGE  relayed  that  overall,   the  AFL-CIO  does  not                                                               
contribute much  money, but what  it brings  to the table  is man                                                               
power.                                                                                                                          
                                                                                                                                
9:29:38 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE COGHILL  said he  can attest to  the effectiveness                                                               
of the AFL-CIO's manpower.                                                                                                      
                                                                                                                                
9:29:56 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRUENBERG said there are  a lot of groups that are                                                               
extremely powerful in the state,  for example, the National Rifle                                                               
Association, pro-life and  pro-choice organizations, many women's                                                               
caucuses, and various associations.   He asked, "And if everybody                                                               
who gives a  dime through a PAC has to  contribute, why shouldn't                                                               
everybody who's a member of the NRA have their name listed?"                                                                    
                                                                                                                                
9:30:57 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ROSES asked  what percentage  of Mr.  Etheridge's                                                               
members give less than $100 a year.                                                                                             
                                                                                                                                
MR. ETHERIDGE  said many members in  his Local give three  to six                                                               
dollars a month.                                                                                                                
                                                                                                                                
9:31:49 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  DOLL  said  she  wants to  see  more  people  get                                                               
involved in  the political process,  and she said she  knows that                                                               
confidentiality is  an important  issue.   She stated  her belief                                                               
that  supporting  the  bill's  proposed  disclosure  requirements                                                               
would be a  poor policy decision, thus she  stated her opposition                                                               
to [the bill].                                                                                                                  
                                                                                                                                
9:33:36 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN closed public testimony.                                                                                             
                                                                                                                                
9:33:56 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE COGHILL, in response to  Chair Lynn, said he would                                                               
prefer to  have a legal  opinion, related  to whether or  not the                                                               
committee  may lower  the contribution  rate requirement,  before                                                               
continuing on with the bill.                                                                                                    
                                                                                                                                
CHAIR LYNN concurred.                                                                                                           
                                                                                                                                
9:35:55 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JOHNSON mentioned  that  he has  an amendment  to                                                               
offer, but  it goes  to the  heart of the  legal opinion  not yet                                                               
obtained.   He echoed that  he also would  like to wait  for that                                                               
legal opinion.                                                                                                                  
                                                                                                                                
9:36:52 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN announced that HB 6 was heard and held.                                                                              
                                                                                                                                
^Subcommittee on Ethics:  Report                                                                                              
                                                                                                                                
9:38:06 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE COGHILL  reported that the  subcommittee addressed                                                               
Title 24  at its last  meeting as  a step in  recommending ethics                                                               
legislation.   He stated his  intention is that  the subcommittee                                                               
present  a "blander"  version of  a proposed  bill, but  leave in                                                               
some of  the more controversial  topics for the  consideration of                                                               
the entire committee.                                                                                                           
                                                                                                                                
REPRESENTATIVE COGHILL  said memorandum was sent  to bill drafter                                                               
Dan Wayne of Legislative Legal  and Research Services, asking for                                                               
a  committee  substitute  including the  subcommittee's  work  to                                                               
date.   He announced the  committee's upcoming meeting,  at which                                                               
he said  the subcommittee hopes  to address the  executive branch                                                               
ethics issues.                                                                                                                  
                                                                                                                                
9:40:21 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN said he wants to bring  HB 109 to the table as soon as                                                               
possible,  and he  thanked  the subcommittee  for  the work  it's                                                               
doing.                                                                                                                          
                                                                                                                                
9:41:18 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ROSES said  that  when  the subcommittee  decided                                                               
from the  start not  to include  anything in  the bill  without a                                                               
unanimous  decision, he  was skeptical  that  that could  happen.                                                               
However, he said he now supports that concept.                                                                                  
                                                                                                                                
9:42:40 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  COGHILL, in  response  to a  question from  Chair                                                               
Lynn, said  there were approximately  13 different bills  and "50                                                               
different  language set  differences" that  the subcommittee  has                                                               
been  considering.   He also  noted that  the committee  has been                                                               
reviewing Titles 11, 15, 24, and 39.                                                                                            
                                                                                                                                
REPRESENTATIVE GRUENBERG, on behalf  of the House Minority Party,                                                               
commended the subcommittee's "unanimity rule."                                                                                  
                                                                                                                                
HB  88-TVS AND MONITORS IN MOTOR VEHICLES                                                                                     
                                                                                                                                
9:44:01 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN  announced that the  last order of business  was HOUSE                                                               
BILL NO. 88, "An Act  relating to televisions, monitors, portable                                                               
computers, and  similar devices in motor  vehicles; and providing                                                               
for an effective date."                                                                                                         
                                                                                                                                
9:44:09 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRUENBERG  introduced  HB   88,  as  joint  prime                                                               
sponsor.   He  said it  was a  bill that  arose out  of a  tragic                                                               
accident  in which  a couple  died when  a car  crossed over  the                                                               
center  line and  hit their  car.   People  cannot watch  digital                                                               
video disks  (DVDs) and television  (TV) monitors  while driving,                                                               
and  such action  should be  prohibited.   The original  bill, he                                                               
said, would make it  a crime to have a vehicle  with a DVD screen                                                               
installed and  operating in view  of the  driver.  He  noted that                                                               
there is a proposed committee substitute that makes some changes                                                                
to the bill.                                                                                                                    
                                                                                                                                
9:47:04 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRUENBERG moved to adopt the committee substitute                                                                
(CS) for HB 88, Version 24-LS0312\C, Luckhaupt, 2/12/07, as a                                                                   
work draft.                                                                                                                     
                                                                                                                                
9:47:26 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN objected for discussion purposes.                                                                                    
                                                                                                                                
9:47:44 AM                                                                                                                    
                                                                                                                                
DAVID WISER, testifying on behalf of himself, told the committee                                                                
that it was his parents, Bob and Donna Wiser, that were killed                                                                  
in the aforementioned car crash.  He continued:                                                                                 
                                                                                                                                
     On October 12,  2002, my parents, Bob  and Donna Wiser,                                                                    
     were  killed in  a horrible  and fiery  car crash  when                                                                    
     they  were  hit head  on  traveling  southbound on  the                                                                    
     Seward  Highway.    Charges  of  second  degree  murder                                                                    
     against the  other driver were  levied when  the Alaska                                                                    
     State  Troopers  had determined  through  investigation                                                                    
     that he was, in fact,  driving a pick-up while watching                                                                    
     a movie.                                                                                                                   
                                                                                                                                
     In the  subsequent trial, the  driver was  acquitted of                                                                    
     all  charges.   This  was  a  trial that  had  garnered                                                                    
     national attention,  and it was  dubbed the  so called,                                                                    
     "murder  trial."   At the  end  of that  trial, he  was                                                                    
     acquitted.                                                                                                                 
                                                                                                                                
     You,  as legislators,  I believe,  are  working on  the                                                                    
     vanguard of  legislation, in  an area  that is  all but                                                                    
     contested, and, in my belief,  apolitical - that of our                                                                    
     collective safety  on the  roads of  the nation.   Full                                                                    
     motion video  is now  available in  my market  on hand-                                                                    
     held phones, with screens the  size of two thumbs, side                                                                    
     by side,  and video iPods are  everywhere, layering the                                                                    
     difficulty  that  you all  now  face  in structuring  a                                                                    
     bill.                                                                                                                      
                                                                                                                                
     I ask, "What societal  benefit can possibly be provided                                                                    
     by people watching full-motion video  in the front of a                                                                    
     vehicle - specifically the driver?"   None, really.  We                                                                    
     all have  to drive  the roads  of our  nation together,                                                                    
     and   there  doesn't   appear  to   be  any   corporate                                                                    
     opposition on  placing limits on the  ability of people                                                                    
     to do what I mentioned above.                                                                                              
                                                                                                                                
     The  driver of  the  other vehicle  began his  defense,                                                                    
     boldly   stating  through   his   attorney   -  and   I                                                                    
     paraphrase:  "Yes, I installed  the DVD in the front of                                                                    
     my truck.  Yes, I wired it  in such a way that it could                                                                    
     work  while under  motion.   And guess  what?   There's                                                                    
     nothing wrong  with that; there's  nothing specifically                                                                    
     illegal about  that.  Why did  I wire it that  way?  It                                                                    
     was easier."                                                                                                               
                                                                                                                                
     Basically, he thumbed his nose  at us - the family that                                                                    
     had  just  seen the  sad  death  of  our folks.    Your                                                                    
     ability as legislators to prevent  that type of affront                                                                    
     to future  families is what  is probably most  at issue                                                                    
     here.                                                                                                                      
                                                                                                                                
     The jury  found reasonable  doubt that he  was watching                                                                    
     the DVD and,  therefore, caused the crash,  and that is                                                                    
     the  burden of  the State  of Alaska  to overcome  in a                                                                    
     murder trial.   But I've said it before  that I believe                                                                    
     the  burden as  legislators  is  the reasonable  belief                                                                    
     that he  was, or more  importantly, that others  do and                                                                    
     are doing  so every  single day,  and in  reaching this                                                                    
     conclusion  about  him and  others,  you  all have  the                                                                    
     power to prevent  the type of upheaval  that our family                                                                    
     suffered  in  the wake  of  an  acquittal.   You  have,                                                                    
     essentially,  the  power  to set  an  example  for  the                                                                    
     nation.                                                                                                                    
                                                                                                                                
9:51:51 AM                                                                                                                    
                                                                                                                                
     It  is common  sense  that one  should  not be  driving                                                                    
     while  watching motion  video; but  when that  which is                                                                    
     common sense  not to do  becomes totally  common place,                                                                    
     marketed  by  manufacturers,   and  even  idealized  in                                                                    
     television  programs  like  MTV's "Pimp  My  Ride,"  it                                                                    
     really  does  fall  to  the  nation's  legislatures  to                                                                    
     influence  and, when  necessary, provide  the mechanism                                                                    
     by  which the  police, district  attorney, prosecutors,                                                                    
     and  juries  are  able   to  severely  punish  people's                                                                    
     actions,  especially   when  they  result   in  injury,                                                                    
     serious injury, and - in our case - a horrible death.                                                                      
                                                                                                                                
     My  parents were  on their  way to  the Kenai  Princess                                                                    
     Lodge  to  celebrate   their  retirements,  which  were                                                                    
     supposedly upcoming in two weeks.   They never made it.                                                                    
     They  were young,  26-year residents  of  the state  of                                                                    
     Alaska,  grandparents,  law-abiding   citizens,  and  I                                                                    
     estimate that over 450 voters attended their trial.                                                                        
                                                                                                                                
     We as a family ask that  you support a bill of whatever                                                                    
     structure, because it's  about protecting Alaskans just                                                                    
     like my parents.                                                                                                           
                                                                                                                                
9:53:04 AM                                                                                                                    
                                                                                                                                
CHAIR LYNN expressed  condolences on behalf of  the committee and                                                               
stated his  hope that  some legislation  could prevent  this from                                                               
happening in the future.                                                                                                        
                                                                                                                                
9:53:57 AM                                                                                                                    
                                                                                                                                
MR.   WISER  thanked   Chair  Lynn.     He   pointed  out   that,                                                               
unfortunately, legislation has not been  able to keep up with the                                                               
rapidity of technological development.                                                                                          
                                                                                                                                
9:54:20 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRUENBERG  suggested that the committee  hear from                                                               
a lieutenant from the Alaska State Troopers.                                                                                    
                                                                                                                                
9:55:17 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHANSEN  noted that the officer  about to testify                                                               
is one of his constituents.                                                                                                     
                                                                                                                                
9:55:32 AM                                                                                                                    
                                                                                                                                
RODNEY   DIAL,  Lieutenant,   Deputy  Commander,   A  Detachment,                                                               
Division of  Alaska State Troopers, Department  of Public Safety,                                                               
testified on  behalf of the department  in support of HB  88.  He                                                               
stated,   "This essentially  will allow us  to charge  a criminal                                                               
offense  for violation  of this,  where in  the past,  we've just                                                               
been able to charge essentially an infraction with a fine."                                                                     
                                                                                                                                
REPRESENTATIVE GRUENBERG  noted the  bill would make  it unlawful                                                               
to watch  a program or read  from a visual display  on a portable                                                               
cellular  telephone  or PDA,  and  he  asked Lieutenant  Dial  to                                                               
explain why that is important.                                                                                                  
                                                                                                                                
9:57:11 AM                                                                                                                    
                                                                                                                                
LIEUTENANT  DIAL  responded  that   full-motion  video  would  be                                                               
distracting [to someone driving a  vehicle], whether it is [shown                                                               
on a  device] permanently mounted  to the  vehicle or on  a hand-                                                               
held phone.  He said the  intent of expanding the language in the                                                               
bill is to communicate that  "watching a video while driving down                                                               
the road is not acceptable in any format."                                                                                      
                                                                                                                                
CHAIR LYNN  predicted that  there would  be some  difficulties in                                                               
enforcing  such a  law, because  it  would be  difficult for  the                                                               
Alaska State Troopers to glance  in another vehicle and tell that                                                               
the driver is watching a video.                                                                                                 
                                                                                                                                
9:58:15 AM                                                                                                                    
                                                                                                                                
LIEUTENANT  DIAL, in  response to  a request  from Representative                                                               
Gruenberg to  address the difficulty of  enforcement, offered the                                                               
following  list of  tactics that  would be  used to  address that                                                               
issue:   visual observations by police,  witnesses, passengers in                                                               
the vehicle;  interviews; forensic  examination of  the equipment                                                               
when feasible;  seizure of equipment;  and application  of search                                                               
warrants.                                                                                                                       
                                                                                                                                
9:58:42 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRUENBERG noted  that  there may  be an  upcoming                                                               
amendment addressing the issue  of "provisional driver's licenses                                                               
and the  use of wireless  phones."   He asked Lieutenant  Dial to                                                               
tell the committee what the benefit of that amendment would be.                                                                 
                                                                                                                                
9:59:07 AM                                                                                                                    
                                                                                                                                
LIEUTENANT DIAL replied that the  thought behind the amendment is                                                               
that  it  is  important  to  limit  the  distractions  of  young,                                                               
inexperienced   drivers   who   are  operating   vehicles   under                                                               
provisional  licensing,  so that  they  can  gain experience  and                                                               
drive safely.  One  way to do that, he said,  would be to prevent                                                               
those individuals  from operating a cellular  phone while driving                                                               
a vehicle.                                                                                                                      
                                                                                                                                
9:59:37 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  JOHNSON  noted  that  Global  Positioning  System                                                               
(GPS) units  are computers  with moving  video monitors  that are                                                               
installed in the  dashboard of a vehicle.  He  asked how they fit                                                               
in to this legislation.                                                                                                         
                                                                                                                                
LIEUTENANT  DIAL  responded  that  those  would  be  specifically                                                               
exempted under both the bill and existing statute.                                                                              
                                                                                                                                
REPRESENTATIVE  GRUENBERG noted  that the  exemption is  shown on                                                               
page 2, lines 13 and 14.                                                                                                        
                                                                                                                                
REPRESENTATIVE JOHNSON related that he  had rented a vehicle that                                                               
was equipped  with a "Magellan" and  a slot for a  DVD mounted in                                                               
the  car.    He  indicated   that  he  would  like  those  issues                                                               
investigated.                                                                                                                   
                                                                                                                                
10:00:49 AM                                                                                                                   
                                                                                                                                
CHAIR LYNN suggested  the committee may want  to investigate what                                                               
the policy of the rental car agencies in the state is.                                                                          
                                                                                                                                
10:01:06 AM                                                                                                                   
                                                                                                                                
LIEUTENANT  DIAL said  his research  indicates that  at least  38                                                               
states have  or are working  on passing similar legislation.   He                                                               
offered  his understanding  that  many  manufacturers of  systems                                                               
that  play DVDs  do not  allow  the DVD  to be  played while  the                                                               
vehicle is in motion.                                                                                                           
                                                                                                                                
10:01:35 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE GRUENBERG noted  that a number of  states are also                                                               
going in the direction of  the aforementioned amendment regarding                                                               
provisional drivers.                                                                                                            
                                                                                                                                
[HB 88 was heard and held.]                                                                                                     
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
State  Affairs  Standing  Committee   meeting  was  adjourned  at                                                               
10:02:12 AM.