HOUSE COMMITTEE ON

BUSINESS, LABOR AND CONSUMER AFFAIRS

January 22, 2003 Hearing Room E

8:30 A.M. Tapes 5 - 6

MEMBERS PRESENT: Rep. Betsy Close, Chair

Rep. Derrick Kitts, Vice-Chair

Rep. Diane Rosenbaum, Vice-Chair

Rep. Mary Gallegos

Rep. Bill Garrard

Rep. Jeff Merkley

Rep. Mike Schaufler

STAFF PRESENT: Megan Palau, Committee Administrator

Mike Reiley, Committee Assistant

MEASURE/ISSUES HEARD: Informational Meeting – Labor Overview

Invited Testimony

Dan Gardner, Commissioner, Bureau of Labor and Industries

Oregon State Building and Construction Trades Council

National Electrical Contractors Association

Plumbing and Mechanical Contractors Association

Sheet Metal and Air Conditioning Contractors Nat. Assoc.

Oregon AFL-CIO

These minutes are in compliance with Senate and House Rules. Only text enclosed in quotation marks reports a speaker’s exact words. For complete contents, please refer to the tapes.

TAPE/#	Speaker	Comments
TAPE 5, A
004	Chair Close	Calls meeting to order at 8:34 p.m. Opens informational meeting.
INFORMATIONAL MEETING
015	Dan Gardner	Commissioner, Bureau of Labor and Industries (BOLI). Submits and summarizes prepared testimony offering overview of goals for BOLI (EXHIBIT A).
135	Chair Close	Asks about new fields of apprenticeships.
140	Gardner	Explains plans for apprenticeships.
148	Rep. Garrard	Expresses support for Mr. Gardner and BOLI apprenticeship programs.
161	Rep. Merkley	Asks if BOLI intends to re-establish offices in other areas of Oregon.
169	Gardner	Explains BOLI presence in Oregon.
188	Rep. Kitts	Asks if apprenticeship programs would be state sponsored or independent.
195	Gardner	Explains apprenticeship programs and legislative history of programs.
213	Chair Close	Asks for clarification of certified payrolls issues.
217	Gardner	Clarifies issues regarding certified payrolls.
229	Chair Close	Asks if there have been problems with certified payroll time frames.
234	Gardner	Responds that there have been some issues with payroll timeliness.
246	Rep. Rosenbaum	Asks about implementation of Oregon Family Leave Law.
260	Gardner	Responds that there have been complaints, largely confusion with federal and state laws.
287	Rep. Rosenbaum	Asks about expanding technical assistance unit.
295	Gardner	Responds that there have been plans to expand.
344	Bob Shiprack	Executive Secretary, Oregon State Building and Construction Trades Council. Discusses economic situation regarding the construction industry.
482	Chair Close	Asks about power plants proposed in Clatskanie.
485	Shiprack	Explains proposals for plants to be built.
TAPE 6, A
036	Rep. Kitts	Expresses support for Mr. Shiprack and his organization. Asks how to streamline permit process.
046	Shiprack	Explains process for permit process and how it could be streamlined.
063	Rep. Kitts	Asks about ethanol plant in Clatskanie and using Oregon grain.
068	Shiprack	Describes possibilities of using Oregon grain.
082	Rep. Garrard	States that there is new power plant being built in Klamath County.
084	Shiprack	States that he is aware of the project.
086	Rep. Rosenbaum	Asks about trends in building industry employment.
090	Shiprack	Explains that trend is downward. Discusses impact of accounting scandals on building industry.
103	Rep. Rosenbaum	Asks if people are leaving Oregon to find work.
106	Shiprack	Explains how employment trends have changed nationwide.
114	Rep. Schaufler	Expresses support for Mr. Shiprack and his organization.
127	Tim Gothier	Executive Manager, Oregon Columbia Chapter, National Electrical Contractors Association (NECA). Gives background and explains goals of NECA.
201	Chair Close	Asks if NECA is working on consensus voting.
202	Gothier	Responds that they are not currently working on it, but may potentially. Continues overview of NECA.
223	Chair Close	Asks about Washington contractor permitting process.
227	Gothier	Explains process for contractor permitting.
250	Rep. Rosenbaum	Asks if NECA would support moving NECA into BOLI.
256	Gothier	Responds that NECA would support it.
260	Rep. Gallegos	Asks about reinvestment in pension plans.
265	Gothier	Explains pension plans.
281	Ron Murray	United Association of Plumbers and Steamfitters Local 290. Gives background of Local 290. Explains apprenticeship program, high tech industries, uniform plumbing codes.
425	Chair Close	Asks about benefits of research and development.
441	Murray	Explains research and development program.
TAPE 5, B
012	Rep. Gallegos	Asks if there are plans to expand apprenticeship program.
024	Murray	Responds that there is a great deal of investment in apprenticeship programs.
054	Rep. Rosenbaum	Asks about basic skills in schools.
059	Murray	Explains standards for basic skills for apprenticeship programs.
081	Rep. Rosenbaum	Asks is there is high school diploma or GED requirement for apprenticeship programs.
083	Murray	Explains laws and standards regarding apprenticeship programs.
09	Tim Nesbitt	American Federation of Labor-Congress of Industrial Organizations (AFL-CIO). Submits and summarizes prepared testimony (EXHIBIT B).
304	Chair Close	Asks how to address environmental considerations regarding business development.
313	Nesbitt	Explains intent to find balance between environmental considerations and economic impacts.
326	Chair Close	Suggests environment would be changed.
327	Nesbitt	Responds that he could not address issue without more specifics. Continues prepared testimony.
408	Rep. Merkley	Asks for clarification of figures regarding payroll tax.
410	Nesbitt	Clarifies and continues prepared testimony.
TAPE 6, B
012	Rep. Kitts	Asks for clarification about figures regarding unemployment.
014	Nesbitt	Clarifies and concludes prepared testimony.
110	Steve Rose	Business Manager, International Brotherhood of Electrical Workers, Local 280. Gives history and overview of Local 280. Discusses unemployment levels, living wage jobs, enterprise zones.
225	Rep. Merkley	Asks about impact of shortened school year on companies’ decisions to locate in Oregon.
235	Rose	Explains impact of shortened school year.
266	Rep. Schaufler	Explains investments and returns regarding businesses in Oregon.
283	Rep. Garrard	States significance of competitive process in recruiting business to Oregon.
303	Rep. Rosenbaum	Asks about unemployment benefits extension.
312	Nesbitt	Explains how to restore unemployment benefits.
337	Rep. Rosenbaum	Expresses hope that committee would be able to provide assistance.
342	Rep. Kitts	Asks for formula used to determine family wage jobs.
351	Nesbitt	Explains formula.
369	Rep. Merkley	Asks how publicity about Oregon’s education difficulties is affecting economy.
375	Nesbitt	Responds that it is tarnishing Oregon’s business image.
393	Chair Close	Comments that education demands accountability.
400	Rep. Merkley	Notes that companies have been reluctant to do business in Oregon due to short school year.
411	Chair Close	Adjourns meeting at 10:28 am.
Written information submitted, Background Information on Oregon’s New Minimum Wage Law, Art Ayre (EXHIBIT C).

EXHIBIT SUMMARY

A – Informational, prepared testimony, Dan Gardner, 14 pp

B – Informational, prepared testimony, Tim Nesbitt, 216 pp

C – Informational, prepared testimony, Art Ayre, 2 pp