HOUSE COMMITTEE ON

BUSINESS, LABOR AND CONSUMER AFFAIRS

April 02, 2003 Hearing Room E

8:30 A.M. Tapes 75 - 78

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: HB 3063 – Public Hearing and Work Session

HB 3097 – Public Hearing

HB 2779 – Public Hearing

HB 2908 – Public Hearing and Work Session

HB 3130 – Public Hearing

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 75, A
003	Chair Close	Calls meeting to order at 8:33 a.m. Opens public hearing on HB 3063.
HB 3063 – PUBLIC HEARING
010	Megan Palau	Committee Administrator. Summarizes HB 3063.
015	Rep. Jerry Krummel	House District 26. Testifies in support of HB 3063.
035	Dan Ruediger	Sherwood. Submits and summarizes prepared testimony (EXHIBIT A).
110	Rep. Schaufler	Asks what provoked need for issue to be addressed.
122	Ruediger	Explains issue and necessity for remedy.
135	Rep. Krummel	Discusses proposed amendments.
172	Chair Close	Closes public hearing on HB 3063. Opens work session on HB 3063.
HB 3063 – WORK SESSION
180	Rep. Rosenbaum	MOTION: Moves to ADOPT HB 3063-1 amendments dated 3/25/03 (EXHIBIT B).
		VOTE: 7-0
	Chair Close	Hearing no objection, declares the motion CARRIED.
185	Rep. Rosenbaum	MOTION: Moves HB 3063 to the floor with a DO PASS AS AMENDED recommendation.
190	Rep. Gallegos	Asks about inserting emergency clause.
192	Chair Close	Expresses concern that legislative timeframe may be too short to address issue in committee.
200	Rep. Krummel	Suggests that amendments be made in Senate committee.
		VOTE: 7-0 AYE: In a roll call vote, all members present vote Aye.
	Chair Close	The motion CARRIES. REP. KRUMMEL will lead discussion on the floor.
215	Chair Close	Closes work session on HB 3063. Opens public hearing on HB 3097.
HB 3097 – PUBLIC HEARING
212	Chair Close	Closes public hearing on HB 3097. Opens public hearing on HB 2779.
HB 2779 – PUBLIC HEARING
220	Megan Palau	Committee Administrator. Summarizes HB 2779.
230	John Killin	Director of Government Affairs, Associated Builders and Contractors, Inc. Submits and summarizes prepared testimony in support of HB 2779 (EXHIBIT C).
275	Rick Thomas	Executive Director, Independent Electrical Contractors of Oregon. Testifies in support of HB 2779.
309	Dean Glover	Hunter-Davison. Testifies in support of HB 2779.
TAPE 76, A
011	Rep. Schaufler	Speaks in favor of apprenticeship programs. Asks for explanations of problems with apprenticeship programs that led to HB 2779.
026	Killin	Concurs that apprenticeship programs are successful. Describes issues that led to HB 2779.
039	Rep. Rosenbaum	Asks if HB 2779 would make it impossible for Oregon to have higher standards than federal standards.
048	Thomas	Explains apprenticeship programs in Oregon and state and federal standards.
057	Rep. Garrard	Asks how many apprenticeship programs meet federal standards, but are denied by state of Oregon.
060	Thomas	Explains standards for apprenticeship programs.
065	Garrard	Asks for clarification of standards for apprenticeship program.
070	Thomas	Offers clarification of standards for apprenticeships programs.
075	Killin	Offers additional clarification of standards.
085	Dan Gardner	Commissioner, Bureau of Labor and Industries. Submits and summarizes prepared testimony in opposition to HB 2779 (EXHIBIT D).
155	Chair Close	Asks about lawsuits regarding compliance with provisions for apprenticeship programs.
160	Gardner	Responds.
180	Rep. Garrard	Asks if there is union bias regarding apprenticeship programs.
181	Gardner	Answers that he does not know.
192	Rep. Gallegos	Asks about public expenditure for apprenticeship programs.
196	Gardner	Explains funding of apprenticeship programs.
212	Rep. Gallegos	Asks if there is public expenditure with apprenticeship programs.
215	Gardner	Explains public expenditures and funding.
238	Rep. Gallegos	Asks for further information about expenditures.
256	Bob Shiprack	Executive Secretary, Oregon Building Trades Council. Testifies in opposition to HB 2779. Explains importance of apprenticeship programs.
300	Bob Kimes	Training Director, Plumbers and Steamfitters, Local 290. Testifies in opposition to HB 2779.
321	Dan Campbell	Training Director, Central Electric Training Center. Testifies in opposition to HB 2779.
356	Chair Close	Asks about situation of six month timeframe for developing apprenticeship program south of Eugene.
360	Shiprack	Notes that committee meets quarterly and process for approval took two meetings.
379	Jessica Harris	Associated General Contractors (AGC). Testifies in support of HB 2779.
TAPE 75, B
002	Dan Graham	Workforce Manager, AGC. Submits and summarizes prepared testimony in support of HB 2779 (EXHIBIT M).
033	Harlow Harris	Bricklayer. Testifies in support of HB 2779.
060	Graham	Explains apprenticeship programs at community colleges.
071	Rep. Schaufler	States that issue is about money. Asks if wages are equal in union and non-union apprenticeship programs.
084	Graham	Answers that non-union program wages are higher than union wages.
097	Terry Hatch	Oregon Pacific Cascade Chapter, National Electrical Contractors Association. Testifies in opposition to HB 2779.
121	Jerry Galarneau	Training Director, Sheet Metal Apprenticeship, Portland. Testifies in opposition to HB 2779.
144	Chris Davis	Oregon/Southwest Washington Cement Masons Apprenticeship. Testifies in opposition to HB 2779.
166	Chair Close	Closes public hearing on HB 2779. Opens public hearing on HB 2908.
HB 2908 – PUBLIC HEARING
170	Megan Palau	Committee Administrator. Summarizes HB 2908.
174	Rep. Billy Dalto	House District 21. Testifies in support of HB 2908.
195	John Powell	State Farm Insurance. Submits and summarizes prepared testimony in support of HB 2908 (EXHIBIT E).
280	Rep. Schaufler	States support for concept.
300	Chair Close	Closes public hearing on HB 2908. Opens work session on HB 2908.
HB 2908 – WORK SESSION
	Rep. Garrard	MOTION: Moves HB 2908 to the floor with a DO PASS recommendation.
		VOTE: 7-0 AYE: In a roll call vote, all members present vote Aye.
	Chair Close	The motion CARRIES. REP. ROSENBAUM will lead discussion on the floor.
320	Chair Close	Closes work session on HB 2908. Opens public hearing on HB 3130.
HB 3130 – PUBLIC HEARING
325	Megan Palau	Committee Administrator. Summarizes HB 3130.
342	Peter Graepel	OLCC Agent #193, Eugene. Submits and summarizes prepared testimony in support of HB 3130 (EXHIBIT F).
TAPE 76, B
001	Chair Close	Asks how long Mr. Graepel has been in liquor industry.
003	Graepel	Answers that he has been in industry since 1978.
005	Rep. Rosenbaum	Asks if HB 3130 would make liquor cheaper or more accessible to Oregonians.
008	Graepel	Explains how bill would be implemented.
023	Rep. Merkley	Asks if HB 3130 would allow hard liquor sales in grocery stores.
026	Graepel	Answers that bill is not specific.
030	Matt Lowe	Attorney, O’Donnell and Clark. Testifies in support of HB 3130.
081	Rep. Garrard	Asks if issue with HB 3130 is employer/employee relationship.
085	Lowe	Explains his opinion of HB 3130.
094	Rep. Garrard	Asks for further clarification of intention of HB 3130.
098	Lowe	Clarifies intention and impact of HB 3130.
108	Rep. Garrard	Asks if passage of HB 3130 would affect lawsuit of Mr. Lowe.
111	Lowe	Answers that it would negate lawsuit.
113	Rep. Schaufler	Asks how many agents are in Oregon and how many want to eliminate Oregon Liquor Control Commission (OLCC).
115	Graepel	Answers that there are 240 agents in Oregon and explains operations under OLCC.
140	Chair Close	Asks how many states have gone to privatization.
142	Graepel	Answers that there are 18 control states, more than half of which have private retail systems.
152	Chair Close	Asks what liquor privilege taxes would be.
154	Graepel	Explains taxes on liquor sales and distribution.
160	Rep. Merkley	Asks about effect of HB 3130 on agents purchasing liquor.
173	Graepel	Explains that there is work to be done to improve system.
178	Rep. Merkley	Asks what other changes should be made to HB 3130.
180	Graepel	Explains changes that should be made.
200	Karen Gregory	Interim Director, OLCC. Submits and summarizes prepared testimony in opposition to HB 3130 (EXHIBIT G).
245	Bill George	OLCC Agent. Testifies in opposition to HB 3130.
312	Judy Cushing	President, CEO, Oregon Partnership. Submits and summarizes prepared testimony in opposition to HB 3130 (EXHIBIT H).
392	Eric Winters	Oregon Free Spirits Coalition. Testifies in support of HB 3130.
TAPE 77, A
046	Richard Burke	Executive Director, Libertarian Party of Oregon. Testifies in support of HB 3130.
090	Chair Close	Asks how privatization would affect businesses.
092	Burke	Explains how it would affect various establishments differently. Argues that OLCC should be abolished.
122	Frank Siegler	Founder, Oregon Wine Market. Testifies in support of HB 3130.
165	Mark Karson	Liquor Store Owner. Submits and summarizes prepared testimony in support of HB 3130 (EXHIBIT I).
274	Thomas Matthews	Submits and summarizes prepared testimony in support of HB 3130 (EXHIBIT J).
339	Paul Romain	Oregon Beer and Wine Distributors Association. Testifies in opposition to HB 3130.
395	Mary Botkin	American Federation of State and Municipal Employees. Testifies in opposition to HB 3130.
TAPE 78, A
026	Jason Williams	Executive Director, Taxpayer Association of Oregon. Submits and summarizes prepared testimony in support of HB 3130 (EXHIBIT K).
Written testimony submitted by Michelle Deister, League of Oregon Cities, in opposition to HB 3130 (EXHIBIT L).
057	Chair Close	Closes public hearing on HB 3130. Adjourns meeting at 10:58 a.m.
Written testimony submitted by Gordon Fultz, Policy Manager, Association of Oregon Counties, in opposition to HB 3130 (EXHIBIT N).

EXHIBIT SUMMARY

A – HB 3063, written testimony, Dan Ruediger, 9 pp.

B – HB 3063, -1 amendment, staff, 1 p.

C – HB 2779, written testimony, John Killin, 4 pp.

D – HB 2779, written testimony, Dan Gardner, 6 pp.

E – HB 2908, written testimony and information, John Powell, 7 pp.

F – HB 3130, written testimony, Peter Graepel, 1 p.

G – HB 3130, written testimony, Karen Gregory, 5 pp.

H – HB 3130, written testimony, Judy Cushing, 3 pp.

I – HB 3130, written testimony, Mark Karson, 3 pp.

J – HB 3130, written testimony, Thomas Matthews, 2 pp.

K – HB 3130, written testimony, Jason Williams, 1 p.

L – HB 3130, written testimony, Michelle Deister, 1 p.

M – HB 2779, written testimony, Dan Graham, 2 pp.

N – HB 3130, written testimony and information, Gordon Fultz, 20 pp.