SENATE JUDICIARY COMMITTEE January 29, 1997 1:38 p.m. MEMBERS PRESENT Senator Robin Taylor, Chair Senator Drue Pearce, Vice-chair Senator Mike Miller Senator Sean Parnell Senator Johnny Ellis MEMBERS ABSENT None COMMITTEE CALENDAR SENATE CONCURRENT RESOLUTION NO. 1 Proposing amendments to the Uniform Rules of the Alaska State Legislature relating to certain committee meetings held outside of the state capital and to recess of the legislature during the period the meetings are held; and providing for an effective date. MOVED SCR 1 OUT OF COMMITTEE EXECUTIVE ORDER 99 - TRANSFERRING CERTAIN FUNCTIONS FROM DPS TO DOA HEARD WITH NO STATED OBJECTIONS PREVIOUS SENATE COMMITTEE ACTION SCR 1 - No previous Senate committee action. EO 99 - No previous Senate committee action. WITNESS REGISTER Commissioner Ron Otte Department of Public Safety P.O. Box 111200 Juneau, AK 99811-1200 POSITION STATEMENT: Discussed and supported EO 99 Commissioner Mark Boyer Department of Administration P.O. Box 110200 Juneau, AK 99811-0200 POSITION STATEMENT: Discussed and supported EO 99 Senator Jim Duncan Alaska State Capitol Juneau, AK 99801-1182 POSITION STATEMENT: Sponsor of SCR 1 Pamela Varni Executive Director Legislative Affairs Agency 130 Seward St., Suite 313 Juneau, AK 99801-2197 POSITION STATEMENT: Commented on SCR 1 Mayor Dennis Egan City and Borough of Juneau 155 So. Seward St. Juneau, AK 99801 POSITION STATEMENT: Supports SCR 1 ACTION NARRATIVE TAPE 97-3, SIDE A Number 000 VICE CHAIR PEARCE called the Senate Judiciary Committee to order at 2:00 p.m. and announced the presence of Senators Miller and Ellis. The first order of business before the committee was Executive Order 99 (EO 99). COMMISSIONER RON OTTE , Department of Public Safety (DPS), stated EO99 moves the Division of Motor Vehicles (DMV) from DPS to the Department of Administration (DOA). Each year, DMV employees: respond to more than 3 million contacts with the public, either over-the-counter or by mail; document about $3 billion worth of vehicles in Alaska; and collect revenues amounting to about $36 million - $6.5 million on behalf of local communities in the form of property taxes, and $29 million which is deposited in the general fund. DMV's annual operational expenses are about $8 million. Over the last 13 years, DMV has acquired 54 additional administrative requirements from a variety of agencies, and another 12 are pending. For example, the receipt of federal highway funds by DOT/PF, in the amount of $56 million, are contingent upon DMV's ability to carry out four new pending administrative requirements: commercial drivers licensing, emission inspection enforcement, heavy vehicle user tax, and odometer readings. Because of the high volume of transactions that occur at DMV, the public has become frustrated because simple business transactions are not completed in a timely manner. The public is also frustrated that technological advances commonplace to many businesses are not available at DMV. COMMISSIONER OTTE pointed out DMV has been forced to compete with other public and life safety functions within DPS, and has not fared well against those kinds of interests during the last 12 to 15 years. DPS' limited number of management staff spends most of its time on public and life safety issues, and its limited number of data processing staff spends its time trying to maintain the criminal history records system and other processes that support law enforcement and the criminal justice community. COMMISSIONER OTTE recently discussed with Juneau staff how to keep the automated fingerprint system functioning to provide the kind of support needed to identify and apprehend serious offenders, while Commissioner Boyer spoke with the DMV director in Anchorage about business applications and solutions to streamline procedures at DMV offices around the state. Commissioners Otte and Boyer agree a business solution is necessary. Commissioner Boyer and his staff have the interest and resources to help DMV identify the problems and find solutions. Number 129 COMMISSIONER BOYER , Department of Administration, emphasized his enthusiasm for a DMV transfer to DOA. Discussions regarding DMV have focussed on the need to improve customer service so that it is fast, accurate, cheap, and easy. The core business fundamentals of DPS are different than those of DOA. DOA has a centralized administrative body and the tools available to enable other departments to conduct their business better. Those tools include its ability to leverage finances in the market, to provide a faster turnaround time in the personnel system, to use the procurement system more efficiently, and to provide information services technology. The purpose of DOA's core services and resources is to enable people to provide improved services and products. COMMISSIONER BOYER discussed his meeting in Anchorage with DMV officials and interested parties. A pilot project under consideration, to be located in Anchorage and Fairbanks, would move a large number of the transactions involved in issuing vehicle titles and registrations for new vehicles out of the DMV offices. The project would provide services similar to a home purchase closing so that all vehicle transactions would be completed at one time, including bank financing. The pilot project is scheduled to begin in the next three to four weeks. DOA was able to bring an expedited resolution to the discussions in Anchorage because it has staff with the expertise to focus on the technology, personnel, and procurement elements of the project. A number of similar projects are being considered that will not cost additional money from program receipts or the general fund. If DOA's current financial resources remain in place, it can provide a turnaround that will leave the public feeling satisfied with DMV services. Number 229 CHAIRMAN TAYLOR referred to AS 28.20.270 (Suspension for nonpayment of judgments) and noted DPS made the decision sometime last year to no longer enforce that law. The law provides an effective collection tool used in subrogation claims within the insurance industry; consequently, failure to enforce that law diminishes one's collection options. AS 28.20.270 has been in effect since 1959 and is simple to enforce: when DMV receives a certified copy of a judgment, the offender's drivers license is revoked until the judgment is satisfied. Chairman Taylor requested assurance that as the transfer of DMV to DOA occurs, enforcement of that statute resumes. Number 252 COMMISSIONER OTTE concurred with Chairman Taylor's concern 100 percent. He informed the Senate Finance Committee during the previous year's budget deliberations that 14 DPS positions, several from DMV, would need to be cut under the proposed budget. Four DMV employees administered the program referred to by Chairman Taylor. He feared if necessary changes are not made soon, the huge volume and increase in work across the board will continue to degrade the services that need to be provided. Several things are occurring that may allow DMV to resume enforcement of AS 28.20.270, such as increased electronic efficiencies to help available personnel. COMMISSIONER BOYER commented an electronic fix is one part of the solution. Procedural changes are also needed to eliminate redundancies and reduce time requirements. Number 284 CHAIRMAN TAYLOR stated many legislators assumed the establishment of the two year vehicle registration requirement during the previous session would reduce the workload of DMV employees. COMMISSIONER OTTE replied DMV anticipates a 10 percent reduction in its workload as a result of biannual vehicle registration. COMMISSIONER BOYER added the way state business has been conducted over a good number of years has not changed, yet the population and demands have increased. Everything the Legislature has taken the initiative to do has enabled DMV to stay above water but the entire delivery system needs to be redesigned to get another incremental improvement. There was no further testimony on EO 99. It was noted that the Senate Judiciary Committee had no objections to register. Number 314 SCR 1 LEGSL. COMMITTEE MEETINGS OUTSIDE JUNEAU  SENATOR DUNCAN , sponsor of SCR 1, explained the measure requires the Legislature to take a ten day recess between the 60th and 70th day of the session, so that various standing committees can hold hearings and take action on select pieces of legislation in other areas of the state thereby increasing public access and input. SCR 1 requires notification of committee hearings to be published by the 50th day of the session. The 50th legislative day was chosen because the major issues of the session should be identified by that time. Senator Duncan believes the Legislature recognizes its responsibility to do everything possible to involve the public in the legislative process. Although the Legislature has provided a good audio teleconferencing system and is expanding to a two-way video conferencing system, and Gavel to Gavel is available, SCR 1 takes one more step. SCR 1 allows legislators to visit communities and make contact with residents outside of their districts and helps to open up the legislative process at a minimal cost. The Legislative Affairs Agency (LAA) has prepared a fiscal note with a cost of $98,000 but the cost will vary depending on the number of committees traveling, the number of communities visited, and which major issues are selected for hearing. Number 360 PAMELA VARNI , Executive Director of the LAA, addressed the fiscal note. In determining the costs associated with committee travel, several assumptions were made, and costs were minimized by coordinating meetings and advertising costs. The fiscal note accounts for staff travel, however the number of staff traveling will actually be decided by the presiding officers. Advertising costs will vary depending on how many advertisements can be consolidated. The fiscal note does not allow for the collection of per diem on a claim system; the decision to do so could be made by the presiding officers. SENATOR PARNELL asked Ms. Varni to specify which staff would be traveling. MS. VARNI replied the estimate was calculated based on the travel costs of one staff person per committee. LAA assumed if no staff is traveling, the Legislative Information Office, if its schedule permits, could assist committees. Number 387 SENATOR PARNELL questioned whether teleconference costs would remain the same if committee hearings were held elsewhere. MS. VARNI responded the costs would remain the same. Number 393 MAYOR DENNIS EGAN , City and Borough of Juneau (CBJ), stated the community of Juneau takes its role and responsibility as Alaska's capital city very seriously. Mayor Egan and the Juneau Assembly are very open to ideas and initiatives that are advanced to enhance public satisfaction with Juneau as Alaska's capital city. By definition, a "capital" is, among other key functions, a place where a legislature meets, however that does not preclude committees of a legislature from holding hearings in all regions of the state. To the extent that SCR 1 further enables bringing the legislative process to various regions of this vast state, he supports the amendment to the Uniform Rules. Moreover, SCR 1 fits well with the recent set of initiatives that the CBJ has undertaken to improve access to the government process. CBJ actively supports statewide Gavel to Gavel television coverage of the legislative session, enhanced audio and video teleconferencing of legislative and executive branch meetings, and access to government through the internet and other telecommunications improvements. These initiatives augment the excellent job that the 21 statewide Legislative Information Offices are doing in providing essential information and assistance to the general public. Furthermore, passage of SCR 1 would also be building on these initiatives by giving legislators, regardless of their home district location, a greater opportunity to learn about the unique circumstances and challenges of Alaska's many communities and regions. For all of these reasons, he and the CBJ Assembly support the passage of SCR 1. Number 419 CHAIRMAN TAYLOR asked whether SCR 1 conflicts with any of the legislative time constraints set out in the Alaska Constitution, such as the 45 day limit to address Boundary Commission matters. SENATOR DUNCAN affirmed the Legislature has 45 days to address Boundary Commission matters and 60 days to deal with Executive Orders, so those matters would not be available for committee consideration during the recess. SENATOR PEARCE clarified the Boundary Commission report must be received within 45 days of the first day of the legislative session. Number 432 CHAIRMAN TAYLOR questioned how a recess between the 60th and 70th day of the session would be impacted by legislative action affecting those matters. SENATOR DUNCAN noted the recess could begin on the 61st day to accommodate those constitutional deadlines. CHAIRMAN TAYLOR indicated passage of SCR 1 would create a Uniform Rule mandating a recess. SENATOR DUNCAN stated Section 2 requires the Legislature to consider the question of concurrence in a recess in excess of three days; it does not mandate the recess. Number 449 SENATOR PARNELL asked why SCR 1 contains a ten-day time limit for a recess. SENATOR DUNCAN replied ten days seemed like a reasonable amount of time for committees to travel to two or three communities throughout the state and hold hearings. SENATOR PARNELL asked Senator Duncan whether he envisioned a standing committee, such as the Judiciary Committee, meeting in two or three different locations. SENATOR DUNCAN said that would be up to the committee chair; however, if tort reform was the issue, the committee might want to travel to Anchorage, Fairbanks, Kodiak and Nome to hold hearings. The Administration set up a public process that gave people the opportunity to testify directly to a committee on that major piece of legislation. He envisioned using this process for critical pieces of legislation that attract broad public attention in order to provide greater public participation. SENATOR PARNELL commented that each Senator sits on several standing committees; therefore, it might be a nightmare to attend several committee hearings in different locations within ten days. SENATOR DUNCAN replied that ten days is not a magic number; his intent is to try to open up the process to more people. Number 475 CHAIRMAN TAYLOR added some might find the concept of SCR 1 bizarre; however, the Senate Judiciary Committee did hold hearings on the tort reform legislation in Sitka, Anchorage, Fairbanks, and Kotzebue. Had the committee been able to do so during the session itself, more attention may have been focussed on those hearings. SENATOR DUNCAN commented that the Senate Judiciary Committee held the hearings during the interim, therefore could not take formal action on legislation. SCR 1 would allow people to see committees revise and take action on legislation. SENATOR MILLER moved SCR 1 out of committee with individual recommendations. There being no objection, the motion carried. CHAIRMAN TAYLOR adjourned the meeting at 3:38 p.m.