SENATE COMMITTEE ON GENERAL GOVERNMENT

 

 

June 11, 2003                                                                                                         Hearing Room B

3:00 PM                                                                                                                          Tapes 62-63

 

MEMBERS PRESENT:         Sen. Tony Corcoran, Chair

Sen. John Minnis, Vice-Chair

Sen. Bruce Starr

 

MEMBERS EXCUSED:        Sen. Vicki Walker

 

STAFF PRESENT:                 Mark Ellsworth, Committee Administrator

Heather Gravelle, Committee Assistant

 

MEASURE/ISSUES HEARD   HB 3020 A– Public Hearing and Work Session

                                                HB 2739 A – Public Hearing and Work Session

                                                HB 2237 A – Public Hearing and Work Session

                                                HB 2304 A – Public Hearing and Work Session

SB 763 – Public Hearing and Work Session

 

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 62, A

 

005

Chair Corcoran

Calls the meeting to order at 3:05 p.m. Opens a public hearing on HB 3020 A.

HB 3020 A – PUBLIC HEARING

010

BethAnne Darby

Represents the Oregon Education Association and PERS Coalition. Testifies as a neutral on HB 3020 A, with the -A11 amendments. Presents the -A11 amendments dated 6/11/03 (EXHIBIT A).

025

Dave Hendricks

Testifies as a neutral party on HB 3020 A explaining the -A13 amendments. Discusses the intent and the changes in the -A13 amendments. Presents the -A13 amendments dated 6/11/03 (EXHIBIT B).

075

Chair Corcoran

Commends Mr. Hendricks for his hard work.

085

Hendricks

Discusses changes: Notes changes in relation with 238.255 addresses deficit account and PERS Board wants it to be clear as to what the changes are and how the process will proceed. Refers to page 4, line 11. States a provision was added to limit the earnings not applied to judges. Explains this means Judge members accounts will earn 8% guaranteed under existing law. Adds new judges will be phased out from application of provision.

110

Hendricks

Continues explaining -A13 amendments. Refers to section 12, page 5 which is a minimum account balance of 2003. Claims person will get at least what their account earned. Discusses two changes made:

  • Covered alternate payees who are spouses underneath divorce decree.
  • A statement was made as to where the money was going to come from to pay the guarantee amount.

Clarifies if the Board was required to do that, it would be charged back to the deficit account for 8% guarantee.

135

Hendricks

Discusses how to establish what there would have been with the 11% versus the 20% indicating the section doesn’t apply to judge members but to alternate payees and beneficiaries. Categorizes the types of changes:

  • Changes with State Treasurer to ensure consistency as to how the transition accounts are balanced.
  • For issues relating to the judicial review provisions of 2003-2004 which are now the same.

Miscellaneous items set up at the end of the amendments.

210

Chair Corcoran

Asks for clarification on the –A7 amendments.

215

Hendricks

Explains the purpose of the –A7 amendments. Presents the -A7 amendments dated 6/6/03 (EXHIBIT C).

220

Grattan Kerans

Oregon University System (OUS). Explains the –A5 amendments pertaining to optional retirement program of the OUS. Explains reason for advancing the amendments. Provides background information as to how they reached the conclusion they did. Submits written testimony & presents -A5 amendments dated 6/5/03 (EXHIBITS D &E).

280

Kerans

Notes the portable defined benefit option retirement plan has been significant. Expresses concern with what will happen in 12, 18 or 24 months. Claims not wanting to be tied to a rate which is not comparable to what the Board would want or tied to a rate that is no longer operative. Points out the object is to provide for a decoupling of that rate, allowing the State Board to set that rate and allow for those in the subject class to move over if they wish during an open window period.

290

Chair Corcoran

Asks if this applies only to faculty.

302

Kerans

Responds it applies to everyone outside the classified staff. Claims trying to soak up as many vacancies and create a smaller workforce as possible.

330

Mark Nelson

Association of Oregon Faculties. Testifies in opposition to the –A5 amendments. Discusses how the Optional Retirement System process works. Notes the main objection is the setting of the rate by the State Board of Higher Education. Believes the rate is set properly in statute. Feels the contribution rate should be the same for faculty.

380

Nelson

Feels the time allotted is not enough. Believes the rate should stay in statute without the State Board setting the rate and it will go up or down as the legislation moves onward.

390

Marie Keltner

Representing League of Oregon Cities and Association of Oregon Counties. Testifies in opposition to the -A6 amendments. Claims it will increase the cost to the employers who have equal or greater than plans. Explains how the process works. Expresses concerns with charge every two years when no change and additional cost involved affecting ten entities. Presents the -A6 amendments dated 6/5/03 (EXHIBIT F).

TAPE 63, A

010

Sen. Minnis

Comments it has been a long time since PERS did an evaluation of equal or better than category. Discusses a personal experience in the Sheriff’s Office. Notes importance of balancing the PERS system now.

025

Chair Corcoran

Summarizes a memo regarding the PERS issue. Points out Senator Minnis requested Mr. Voytko give his best estimate of the employer rates. States if the courts overturn any pieces of the puzzle, the employers rates would rise. Notes the agency would recommend to PERS inquiry instituted on normal pension plan set in the normal increase schedule at the beginning of 2005-2007 biennium.

060

Hendricks

Refers to the -6 amendments on page 2, line 2, needing a form and style change from “shall” to “may.” Claims it is a better solution to insert “is” and strike “may.”

The following prepared testimony submitted for the record without public testimony for HB 3020 A:

                              Jim Voytko               Submits written testimony (EXHIBIT M)

                              PERS Coalition        Submits written testimony (EXHIBIT N)

HB 3020 A – WORK SESSION

070

Sen. Minnis

MOTION:  Moves to SUSPEND the rules for the purpose of a conceptual amendment to the-A6 amendments to HB 3020 A.

 

 

VOTE: 4-0

075

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

080

Sen. Minnis

MOTION: Moves to conceptually amend the –A6 amendments to HB 3020 A: page 2, line 2, strike the word “will” and replace with “is.”

 

 

VOTE: 3-0

EXCUSED – 1 Sen. Walker

090

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

095

Hendricks

Clarifies another change needed in the amendment.

100

Sen. Minnis

MOTION: Moves to SUSPEND the rules for the purpose of second conceptual amendment to the –A6 amendments to HB 3020 A.

 

 

VOTE:  3-0

EXCUSED:  1 - Sen. Walker

110

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

115

Sen. Minnis

MOTION: Moves to conceptually amend the –A6 amendments to HB 3020 A: page 2, line 2 strike the word “be”.

 

 

VOTE: 3-0

EXCUSED – 1 Sen. Walker

120

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

125

Sen. Minnis

MOTION:  Moves to ADOPT the -A6 amendments to HB 3020 A, dated 6/5/03 AS CONCEPTUALLY AMENDED.

 

 

VOTE:  3-0

EXCUSED:  1 - Sen. Walker

 

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

130

Sen. Minnis

MOTION:  Moves to ADOPT the -A7 amendments to HB 3020 A, dated 6/6/03.

 

 

VOTE:  3-0

EXCUSED:  1 - Sen. Walker

 

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

135

Sen. Minnis

MOTION:  Moves to ADOPT the -A11 amendments  to HB 3020 A, dated 6/11/03.

 

 

VOTE:  3-0

EXCUSED:  1- Sen. Walker

140

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

145

Sen. Minnis

MOTION:  Moves to ADOPT the-A13 amendments to HB 3020 A, dated 6/11/03.

 

 

VOTE:  3-0

EXCUSED:  1- Sen. Walker

155

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

160

Sen. Minnis

MOTION:  Moves HB 3020 A to the floor with a DO PASS AS AMENDED recommendation.

 

 

VOTE:  3-0

EXCUSED:  1- Sen. Walker

162

Chair Corcoran

Hearing not objection, declares the motion CARRIED.

CHAIR CORCORAN will lead discussion on the floor.

165

Chair Corcoran

Closes the work session on HB 3020 A and opens a public hearing on HB 2739 A.

HB 2739 A – PUBLIC HEARING

170

George Gilman

Oregon State Representative, District 55. Testifies in support of HB 2739 A. Presents the -A4 amendments dated 6/2/03 & -A5 amendments dated 6/11/03 (EXHIBITS G & H).

175

Jeannette Holman

Assistant Director, Division of State Lands. Testifies in support of HB 2739 A. Explains purpose of the –A5 amendments.

180

Doug Tindall

State Maintenance Engineer, Oregon Department of Transportation (ODOT). Expresses primary interest in the bill is section 2. Submits written testimony (EXHIBIT I).

185

Chair Corcoran

Closes the public hearing on HB 2739 A and opens a work session on HB 2739 A.

HB 2739 A – WORK SESSION

190

Sen. Starr

MOTION:  Moves to ADOPT the-A4 amendments to HB 2739, dated 6/2/03.

 

 

VOTE:  3-0

EXCUSED:  1- Sen. Walker

 

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

200

Sen. Starr

MOTION:  Moves to ADOPT the –A5 amendments to HB 2739 A, dated 6/11/03.

 

 

VOTE:  3-0

EXCUSED:  1- Sen. Walker

202

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

205

Sen. Starr

MOTION:  Moves HB 2739 A to the floor with a DO PASS AS AMENDED recommendation.

 

 

VOTE:  3-0

EXCUSED:  1- Sen. Walker

210

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

SEN. STARR will lead discussion on the floor.

215

Sen. Minnis

MOTION:  Moves to RECONSIDER the vote by which HB 2739 A was sent to the floor with a DO PASS AS AMENDED recommendation.

 

 

VOTE:  3-0

EXCUSED:  1- Sen. Walker

 

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

225

Sen. Starr

MOTION:  Moves HB 2739 A to the Committee on Ways and Means with a DO PASS AS AMENDED recommendation.

 

 

VOTE:  3-0

EXCUSED:  1- Sen. Walker

 

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

235

Chair Corcoran

Closes the work session on HB 2739 A and opens a public hearing on HB 2237 A.

HB 2237 A – PUBLIC HEARING

235

Mark Ellsworth

Committee Administrator. Provides overview of HB 2237 A Presents the -A5 amendments dated 5/29/03 (EXHIBIT J).

245

Maria Keltner

League of Oregon Cities and Association of Oregon Counties. Comments previously testified in opposition of SB 445 and SB 446 which are what the -A5 amendments are. Points out still in opposition of HB 2739 A.

285

Chair Corcoran

Closes the public hearing on HB 2237 A and opens a work session on HB 2237 A.

HB 2237 A – WORK SESSION

290

Sen. Starr

Asks what the status of SB 445 and 446 is.

295

Chair Corcoran

Responds both bill are in the Committee on House Rules.

320

Sen. Minnis

MOTION:  Moves to ADOPT the-A5 amendments to HB 2237 A, dated 5/29/03.

 

 

VOTE:  3-0

EXCUSED:  1 - Sen. Walker

325

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

335

Sen. Minnis

MOTION:  Moves HB 2237 A to the floor with a DO PASS AS AMENDED recommendation.

 

 

VOTE:  3-0

EXCUSED:  1 - Sen. Walker

345

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

SEN. MINNIS will lead discussion on the floor.

348

Chair Corcoran

Closes the work session on HB 2237 A and opens a public hearing on HB 2304 A.

HB 2304 A – PUBLIC HEARING

353

Mark Ellsworth

Committee Administrator. Provides an overview of HB 2304 A.

358

Bill Penhollow

Association of Oregon Counties. Representing Oregon Telecommunications Coordinating Counsel. Explains the intent of the HB 2304 A. Comments the bill would provide a policy encouraging the state and local governments to work together on emergency preparedness and ensure the system in place is workable. Submits written testimony (EXHIBIT K).

TAPE 62, B

005

Chair Corcoran

Closes the public hearing on HB 2304 A and opens a work session on HB 2304 A.

The following prepared testimony submitted for the record without public testimony for HB 2304 A:

                              Ann Steeves               Submits written testimony (EXHIBIT O).

HB 2304 A – WORK SESSION

005

Sen. Starr

MOTION:  Moves HB 2304 A to the floor with a DO PASS recommendation.

 

 

VOTE:  3-0

EXCUSED:  1 - Sen. Walker

010

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

CHAIR CORCORAN will lead discussion on the floor.

015

Chair Corcoran

Closes the work session on HB 2304 A and opens a public hearing on SB 763.

SB 763 – PUBLIC HEARING

025

Sen. Starr

Explains the intent of SB 763 with -6 amendments. States almost everyone is in agreement with the language at this point. Presents SB 736-6 amendments dated 6/11/03 (EXHIBIT L).

030

Chair Corcoran

Closes the public hearing on SB 763 and opens a work session on SB 763.

SB 763 – WORK SESSION

035

Sen. Minnis

MOTION: Moves to ADOPT the -6 amendments to SB 763, dated 6/11/03.

040

 

VOTE:  3-0

 

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

045

Sen. Minnis

MOTION:  Moves SB 763 to the floor with a DO PASS AS AMENDED recommendation.

 

 

VOTE:  3-0

EXCUSED:  1 - Sen. Walker

 

Chair Corcoran

Hearing no objection, declares the motion CARRIED.

SEN. STARR will lead discussion on the floor.

055

Chair Corcoran

Closes the work session on SB 763 and adjourns the meeting at 5:00 p.m.

 

EXHIBIT SUMMARY

 

A – HB 3020 A, -A11 amendments dated 6/11/03, Staff, 7 pp

B – HB 3020 A, -A13 amendments dated 6/11/03, Staff, 35 pp

C – HB 3020 A, -A7 amendments dated 6/6/03, Dave Hendricks, 3 pp

D – HB 3020 A, written testimony, Grattan Kerans, 3 pp

E – HB 3020 A, -A5 amendments dated 6/5/03, Grattan Kerans, 5 pp

F – HB 3020 A, A6 amendments dated 6/5/03, Maria Keltner, 2 pp

G – HB 2739 A, -A4 amendments dated 6/2/03, Rep. George Gilman, 3 pp

H – HB 2739 A, -A5 amendments dated 6/11/03, Rep. George Gilman, 1 p

I – HB 2739 A, written testimony, Doug Tindall, 1 p

J – HB 2237 A, -A5 amendments dated 5/29/03, Staff, 7 pp

K – HB 2304 A, written testimony, Bill Penhollow, 1 p

L – SB 763, -6 amendments dated 6/11/03, Staff, 5 pp

 

The following exhibits are listed out of order in the body of the tape log:

 

M – HB 3020 A, written testimony, Jim Voytko, 2 pp

N – HB 3020 A, written testimony, PERS Coalition, 58 pp

O – HB 2304 A, written testimony, Ann Steeves, 2 pp