HOUSE COMMITTEE ON GENERAL GOVERNMENT

May 15, 2003 Hearing Room D

8:30 AM Tape 80 – 82

MEMBERS PRESENT: Rep. Jerry Krummel, Chair

Rep. Donna Nelson, Vice-Chair

Rep. Floyd Prozanski, Vice-Chair

Rep. Brad Avakian

Rep. Derrick Kitts

Rep. John Mabrey

MEMBER EXCUSED: Rep. Kelley Wirth

STAFF PRESENT: Patrick Brennan, Committee Administrator

Mara McGraw, Committee Assistant

MEASURES HEARD: Adoption of Committee Measures

SB 676 – Work Session

HJR 55 – Public Hearing and Work Session

HB 3635 – 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 80, A
005	Chair Krummel	Calls meeting to order at 8:47 AM. and opens work session for purpose of introduction of committee measures.
LC Draft 3572 – WORK SESSION
009	Patrick Brennan	Summarizes LC Draft 3572 (EXHIBIT A).
023	Bob Cantine	Association of Oregon Counties. Provides overview of bill and fiscal impact to state. Details County budget policy as it relates to State. Submits written testimony on behalf of Anthony Hyde (EXHIBIT B).
074	Rep. Prozanski	MOTION: Moves LC 3572 BE INTRODUCED as a committee bill.
078		VOTE: 6-0-1 EXCUSED: 1 - Wirth
079	Chair Kruse	Hearing no objection, declares the motion CARRIED.
082	Chair Krummel	Closes work session on LC Draft 3572 and opens work session on SB 676.
SB 676 – WORK SESSION
087	Brennan	Summarizes bill. Submits -1 amendments, dated 5/15/03 (EXHIBIT C).
093	Randy Hilderbrand	Senate Republicans. Submits written testimony in support of bill (EXHIBIT D). Speaks to utilization and consolidation of State motor pool. Testifies in support of -1 amendments.
165	Rep. Prozanski	Inquires on efficiency options.
172	Hildebrand	Suggests use of national expert to determine fleet contract.
177	Rep. Prozanski	Comments on Department of Administrative Services (DAS) review process in determination.
183	Hildebrand	References DAS report currently available.
188	Rep. Prozanski	Notes limited information in the summary of that report.
191	Hildebrand	Offers to present member with full report.
198	Rep. Kitts	Clarifies motor pool reorganization plan.
206	Hildebrand	Further details consolidation process. Notes current agency contracts under similar operation.
222	Rep. Kitts	Inquires on potential for further savings.
240	Hildebrand	Discusses bulk purchasing options. Clarifies savings via consolidation.
258	Rep. Nelson	Inquires on date of figures presented.
260	Hildebrand	Explains source and reporting of figures on motor pool (EXHIBIT D).
279	Rep. Nelson	Comments on vehicle purchase and cost.
297	Hildebrand	Comments on challenges in gathering figures from state agencies. Discusses discrepancy in figures.
323	Rep. Nelson	Suggests amendment language to address issue.
338	Hildebrand	Notes current language in bill and -1 amendments address issue.
369	Rep. Prozanski	Inquires on specific section of bill regarding specially equipped vehicles for DAS.
394	Hildebrand	Clarifies language and application of bill to specific departments and vehicles. Discusses tracking capabilities via DAS.
440	Rep. Prozanski	Comments on efficiency options.
448	Hildebrand	Concurs use of other agencies upon recommendation of experts at DAS or national consultant.
453	Rep. Kitts	Inquires on staffing issues to accommodate bill.
465	Hildebrand	Comments on personal options to implement bill.
496	Rep. Kitts	Inquires on fiscal impact.
498	Brennan	Points out bill in current form has no fiscal impact. Notes -1 amendments have not yet been analyzed by fiscal department.
TAPE 81, A
025	Chair Krummel	Inquires on Oregon Liquor Control Commission (OLCC) motor pool cost options.
035	Hildebrand	Notes additional costs not tracked at specific agencies. Speaks to cost per mile figures.
044	Rep. Prozanski	Inquires on cost per gallon of gas at time of reporting.
047	Hildebrand	Notes purchase of bilk fuel and discusses costs to State.
055	Rep. Prozanski	Notes additional fuel consumption under bill.
061	Hildebrand	Notes agencies disperse vehicles throughout state and relates to fuel costs.
070	Chair Krummel	Requests input on -1 amendments.
074	Cindy Becker	Assistant Director, Department of Administrative Services (DAS). Testifies in supports of concept of consolidation. Impresses need to implement efficiently. Notes additional staff not required. Supports implementing at individual agencies to track success.
120	Rep. Prozanski	Suggests amendment language to address implementation at select agencies.
132	Becker	Concurs with suggestion.
141	Rep. Prozanski	Inquires on fuel purchasing costs and policies.
149	Rod Lowhof	Fleet Manager, DAS. Discusses fuel purchasing policy and processes.
172	Rep. Prozanski	Inquires on requirements and standards in choice of refueling.
182	Lowhof	Notes fuel options are suggested but not mandated.
186	Rep. Nelson	Inquires on language regarding “fully loaded costs.”
189	Becker	Defines additional and indirect costs.
210	Lowhof	Notes fees and delivery charge added to fuel costs to obtain figure.
223	Rep. Kitts	Submits OLCC data sheet (EXHIBIT E). Inquires on fuel use for DAS and card lock. Requests figures on reimbursement.
245	Lowhof	Explains investigation of reimbursement transactions. Offers figures for retail, card lock and DAS fueling costs.
276	Rep. Nelson	Inquires on inventory possibilities.
281	Lowhof	Notes central inventory is possible.
290	Rep. Kitts	Inquires on items included in OLCC data figures.
296	Jon Stubenvoll	Communications Director, Oregon Liquor Control Commission. Details data.
301	Rep. Kitts	Compares lease option figures. Request information on compilation of figures.
326	Lisa Zavala	Oregon University System. Speaks to -1 amendments and compares to SB 726. Indicates cost will increase with implementation of bill. Sites cost increases for specific universities. Notes total biennium cost to University System.
393	Stubenvoll	Encourages committee to review Maximums report.
412	Rep. Nelson	Inquires on vehicle reports by University System.
419	Zavala	Notes possible vehicle ownership by other agents and donated to schools.
440	Chair Krummel	States intent regarding bill.
441	Rep. Krummel	MOTION: Moves to ADOPT SB 676-1 amendments dated 5/15/03.
TAPE 80, B
020	Prozanski	Comments on -1 amendments and explains vote.
039	Rep. Mabrey	Requests permission to change vote.
049	Chair Krummel	Allows Rep. Mabrey to change vote from AYE to NAY.
050		VOTE: 3-3-1 AYE: 3 - Kitts, Nelson, Krummel NAY: 3 - Avakian, Mabrey, Prozanski EXCUSED: 1 - Wirth
060	Chair Krummel	The motion FAILS.
061	Rep. Kitts	MOTION: Moves SB 676 be POSTPONED DEFINITELY to 5/20/03 .
096	Rep. Nelson	Discusses Rep. Prozanski’s comments regarding on -1 amendments.
109	Chair Krummel	Rules Nelson out of order.
112	Rep. Kitts	Speaks to the date.
115	Chair Krummel	Notes date stands as is.
125		VOTE: 4-2-1 AYE: 4 - Kitts, Mabrey, Prozanski, Krummel NAY: 2 - Avakian, Nelson EXCUSED: 1 - Wirth
130	Chair Kruse	The motion CARRIES.
131	Chair Krummel	Closes work session on SB 676 and opens public hearing on HJR 55.
HJR 55 – PUBLIC HEARING
140	Rep. John Mabrey	House District 59. Presents background of resolution. Details jeopardy to area training programs. Discusses grant potential as it relates to resolution. Comments on -1 amendments (EXHIBIT F) and additional amendment language.
272	Dr. Frank Toda	President, Columbia Gorge Community College. Discusses process to declare Columbia Community College as a first responder training center. Notes medical capabilities of area and impact of grant funds.
333	Rep. Prozanski	Clarifies intent of bill.
342	Rep. Mabrey	Requests delay to create official amendment.
359	Rep. Nelson	Notes potential for incorrect data in amendment.
371	Toda	Notes verification of data.
400	Chair Krummel	Closes public hearing on HRJ 55 and opens work session on HJR 55.
HJR 55 – WORK SESSION
414	Rep. Mabrey	MOTION: Moves to ADOPT HJR 55 -1 amendments dated 5/2/03.
415		VOTE: 6-0-1 EXCUSED: 1 - Wirth
416	Chair Krummel	Hearing no objection, declares the motion CARRIED.
424	Rep. Mabrey	MOTION: Moves to CONCEPTUALLY AMEND HJR 55 by deleting page 1, line 18 and line 19 and inserting “that Columbia Gorge Community College shall be designated as an Oregon First Responder Training Center".
458		VOTE: 6-0-1 AYE: In a roll call vote, all members present vote AYE. EXCUSED: 1 - Wirth
459	Chair Krummel	The motion CARRIES.
461	Rep. Mabrey	MOTION: Moves HJR 55 be sent to the floor with a BE ADOPTED AS AMENDED recommendation.
473		VOTE: 6-0-1 AYE: In a roll call vote, all members present vote AYE. EXCUSED: 1 - Wirth
480	Chair Krummel	The motion CARRIES. MABREY will lead discussion on the floor.
483	Chair Krummel	Closes work session on HJR 55 and opens public hearing on HB 3635.
HB 3635 – PUBLIC HEARING
491	Brennan	Summarizes bill.
TAPE 81, B
019	Rep. Derrick Kitts	House District 20. Offers background and history on bill. Submits written testimony (EXHIBIT G). Discusses compensation caps used in other states.
067	Rep. Nelson	Inquires on caps listed in other states and average Oregon salary.
069	Rep. Kitts	Reports figures and cap percentiles. Notes salary information acquired from Oregon Blue Book.
087	Rep. Prozanski	Comments on comparative salaries in private sector. Inquires on differentiation between public contracting and public employees. Inquires on market rate determining salary. Questions specific salary data regarding Governor’s salary.
089	Rep. Kitts	Notes business policy regarding salaries. Explains crafting of bill regarding specific salaries. Notes government responsibility to cap salaries. Discusses accurate Governors salary.
150	Brennan	Clarifies Governor’s salary discrepancy.
164	Rep. Prozanski	Inquires on implementation of bill as it impacts current employees.
170	Rep. Kitts	Comments on public service as it relates to decrease in current salary rates.
194	Rep. Nelson	Inquires if bill encompasses all state employees.
200	Rep. Kitts	Clarifies scope of bill as it relates to compensation packages. Notes policy can be change to address issue.
210	Rep. Avakian	Notes power differential and inquires on choice of Governor as top salary. Comments on ability to amend bill to meet fiscal needs of State.
220	Rep. Kitts	Clarifies choice of Governor as top salary in Oregon.
244	Rep. Prozanski	Inquires on limitations to State salaries.
258	Rep. Kitts	Explains broad scope of ORS 279 including contracts, bids and other services outside of specified salaries.
292	Rep. Mabrey	Comments on relationship and differences between market salaries and job desirability.
364	Marc Delphine	Lobby Director, Oregon Libertarian Party. Testifies in support of bill. Discusses supply and demand, Oregon economy and private sector money management, and Governor salary.
388	Richard Burke	Executive Director, Libertarian Party. Notes May Revenue Forecast. Speaks to legitimacy of government as perceived by constituents. Notes ability to contract services via private sector. Comments on local figures cited for Minnesota.
441	Rep. Mabrey	Inquires on specific salaries under question.
447	Burke	Discusses salaries for person under contract with the State.
462	Rep. Mabrey	Notes additional revenue sources as they relate to current salary structure.
488	Burke	Opines on user fees as revenue consuming versus revenue generating.
TAPE 82, A
033	Chair Krummel	Inquires on distinction between cost of Gubernatorial position versus salary of Governor; including benefit and compensation package and other additional costs.
062	Rep. Kitts	Notes bill is salary specific. Notes difference between ownership and lease of state property.
091	Chair Krummel	Closes public hearing on HB 3635 and adjourns meeting at 10:49 A.M.

EXHIBIT SUMMARY

A – LC 3572, draft, staff, 41 pp.

B – LC 3572, written testimony, Anthony Hyde, 2 pp.

C – SB 676, -1 amendments, dated 5/15/03, staff, 3 pp.

D – SB 676, written testimony, Randy Hilderbrand, 2 pp.

E – SB 676, written testimony, Rep. Derrick Kitts, 1 p.

F – HJR 55, -1 amendments, dated 5/2/03, staff, 1 p.

G – HB 3635, written testimony, Rep. Derrick Kitts, 1 p.