SENATE COMMITTEE ON JUDICIARY

 

 

June 16, 2003                                                                                                      Hearing Room 343

8:00 AM                                                                                                                     Tapes 164-165

 

MEMBERS PRESENT:         Sen. John Minnis, Chair

Sen. Ginny Burdick, Vice-Chair

Sen. Ted Ferrioli

Sen. Charlie Ringo

Sen. Charles Starr

Sen. Vicki Walker

 

 

STAFF PRESENT:                 Craig Prins, Counsel

                                                Bill Joseph, Counsel

Jane Bodenweiser, Committee Assistant

 

 

MEASURE/ISSUES HEARD:           SB 620 Work Session

                                                HB 2696A Work Session

                                                HB 2770A Work Session

                                                HB 2094A Work Session

                                                HB 2368B Work Session

                                                HB 3329B 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 164, A

003

Chair Minnis

Calls the meeting to order at 8:15 a.m. and opens work sessions on SB 620, HB 2696A and HB 2770A.

SB 620, HB 2696A AND HB 2770A WORK SESSIONS

008

Sen. Walker

MOTION:  Moves to SUSPEND the rules for the purpose of reconsidering the previous votes on SB 620, HB 2696 and HB 2770.

 

 

VOTE:  6-0

017

Chair Minnis

Hearing no objection, declares the motion CARRIED.

018

Sen. Walker

MOTION:  Moves to RECONSIDER the vote by which SB 620 was passed out of committee.

 

 

VOTE:  6-0

022

Chair Minnis

Hearing no objection, declares the motion CARRIED.

025

Sen. Walker

MOTION:  Moves SB 620 to the floor with a DO PASS AS AMENDED recommendation and the SUBSEQUENT REFERRAL to the committee on Ways and Means BE RESCINDED.

 

 

VOTE:  6-0

028

Chair Minnis

Hearing no objection, declares the motion CARRIED.

SEN. WALKER will lead discussion on the floor.

034

Sen. Walker

MOTION:  Moves to RECONSIDER the vote by which HB 2696A was passed out of committee.

 

 

VOTE:  6-0

038

Chair Minnis

Hearing no objection, declares the motion CARRIED.

042

Sen. Walker

MOTION:  Moves HB 2696A to the floor with a DO PASS AS AMENDED recommendation and the SUBSEQUENT REFERRAL to the committee on Ways and Means BE RESCINDED.

 

 

VOTE:  6-0

047

Chair Minnis

Hearing no objection, declares the motion CARRIED.

SEN. BURDICK will lead discussion on the floor.

047

Sen. Walker

MOTION:  Moves to RECONSIDER the vote by which HB 2770A was passed out of committee.

 

 

VOTE:  6-0

050

Chair Minnis

Hearing no objection, declares the motion CARRIED.

052

Sen. Walker

MOTION:  Moves HB 2770A to the floor with a DO PASS AS AMENDED recommendation and the SUBSEQUENT REFERRAL to the committee on Ways and Means BE RESCINDED.

 

 

VOTE:  6-0

055

Chair Minnis

Hearing no objection, declares the motion CARRIED.

SEN. MINNIS will lead discussion on the floor.

060

Chair Minnis

Closes the work sessions on SB 620, HB 2696A and HB 2770A and opens work sessions on HB 2094A and HB 2368B.

HB 2094A & HB 2368B WORK SESSION

082

Jim Gardner

Philip Morris. Submits testimony and testifies in support of HB 2094A that requires tobacco product manufacturers to report certain information to Attorney General (EXHIBIT A).  Recommends passage of the –A5 and –A10 amendments (EXHIBIT B and C).  Testifies on HB 2368B and notes there are technical amendments.

226

Vice Chair Burdick

Asks for elaboration of the –A10 amendments.

231

Gardner

Explains the two principal purposes of the –A10 amendments.

254

Mark Nelson

R.J. Reynolds Tobacco.  Submits testimony and testifies in support of HB 2094A (EXHIBIT D).

448

John Valley

American Heart Association.  Submits testimony and testifies in opposition to the amendments to HB 2094A (EXHIBIT E).

TAPE 165, A

022

Courtni Dresser

American Cancer Society.  Submits testimony and testifies in opposition to HB 2368B (EXHIBIT F).  Asks that the committee support and pass the –B22 amendments (EXHIBIT G).

065

Sen. Walker

Asks if the Attorney General supports these amendments.

070

Dresser

Replies that he does.

099

Sen. Ferrioli

Discusses his concern with the approach of the American Cancer Society and the American Heart Association.

125

Dresser

Says she definitely supports enforcement but also supports the need to have prevention programs.

140

Sen. Ferrioli

Says illegal operators are taking funds directly out of the programs of the Heart and Cancer Associations.

149

Valley

Says their concerns are with the funding of the task force. Continues testimony on the -B16 and -B18 amendments to HB 2368B (EXHIBIT H and I).

239

Marshall Coba

Independent Tobacco Manufacturers of America. Submits testimony and testifies in support of the -B17 amendments to HB 2368B (EXHIBIT J).

462

Sen. Ringo

Asks if they accept the Center for Disease Control numbers presented by Mr. Nelson.

TAPE 164, B

028

Coba

Says he is not familiar with the numbers.

034

Sen. Ringo

Suggests that there has been significant leakage of revenues.

038

Coba

Discusses the cost differences across state borders.

043

Sen. Ringo

Asks how we solve the problem of independent auditors not doing audits.

047

Coba

Says he does not know what the solution is, but feels it is important to understand that they are not auditing.

054

Chair Minnis

Asks what this discussion has to do with this legislation.

058

Coba

Believes that it is relevant because we are making policy decisions based on revenue needs and concerns.

068

Chair Minnis

Contends that it is pretty clear that the state is losing money based on the allocable share scheme.

078

Dave Redmond

Chief Executive Officer, Carolina Tobacco Co.  Discusses the concept of the Master Settlement Agreement with regard to the non-participating manufacturers.

124

Chair Minnis

Wonders about assumptions made in the Attorney General’s draft of the Master Settlement Plan. Asks if Idaho, Montana and Washington have currently passed the allocable share amendment.

140

Redmond

Understands that the allocable cap may be successfully challenged.

155

Sen. Walker

Asks about public health members being part of the task force.

160

Coba

Says if there are suggestions to make it better, he is open to that.

165

Coba

Concludes his testimony by discussing market share and “big tobacco’s” price increases.

183

Chair Minnis

Closes the work session on HB 2094A and HB 2368B, says these bills will be back on the agenda on Wednesday, June 18, and calls for a short recess at 9:30 a.m.


 

187

Chair Minnis

Reconvenes the meeting at 9:45 a.m. and opens a work session on HB 3329B.

HB 3329B WORK SESSION

189

Bill Joseph

Committee Counsel.  Introduces HB 3329B that authorizes Department of Justice to initiate and participate in efforts to prepare for, and to assist in delivery of, services to individuals traumatized by acts of mass violence, and the –B10 amendments (EXHIBIT K ).  Says the only other amendments under consideration are the –B8 amendments (EXHIBIT L).

226

Kate Richardson

Chief of Staff, Oregon State Treasury.  Testifies in support of HB 3329B.  Discusses section 3 of the bill.

280

Fred Boss

Oregon Department of Justice.  Testifies in support of HB 3329B.

309

Vice Chair Burdick

Asks for clarification that it will be limited to securities.

317

Boss

Says it is narrowly crafted solely to securities class actions litigation.

322

Sen. Walker

Asks if the Private Securities Litigation Reform Act is a federal act.

327

Boss

Says, yes.

329

Chair Minnis

Asks for clarification of the time notice.

337

Joseph

Explains there was a 30-day notice in the original contract.

351

Cheryl Pellegrini

Department of Justice. Agrees with the explanation given.

377

Vice Chair Burdick

Discusses the –B8 amendments that have been added to HB 3329B.

396

Julie Brandis

Associated Oregon Industries.  Expresses concerns about the –B8 amendments that address telemarketing.

434

Vice Chair Burdick

Says the source of the constitutional issues are that there are exemptions in the bill.

450

Vice Chair Burdick

MOTION:  Moves to ADOPT HB 3329B-B10 amendments dated 6/13/03.

457

Sen. Ferrioli

Discusses his concerns about the timing of when the contract runs out.

TAPE 165, B

045

Joseph

Discusses the possibility of breach of contract in the –B10 amendments and suggests a change in the wording of the amendment.

070

Sen. Walker

Believes that this is not needed.

072

Pellegrini

Explains the procedure to be followed if this legislation passes.  Says she concurs with the change of wording in the amendment.

112

Chair Minnis

Asks for clarification of the wording change in the amendment.

113

Joseph

Says in the -B10 amendments, page 1, line 4, after vision of the contract, insert “absent stipulation of the parties to the contract.”

126

Vice Chair Burdick

Withdraws her original motion.

130

Vice Chair Burdick

MOTION:  Moves to SUSPEND the rules for the purpose of Conceptually amending the -B10 amendments to HB 3329B.

 

 

VOTE:  6-0

133

Chair Minnis

Hearing no objection, declares the motion CARRIED.

138

Vice Chair Burdick

MOTION:  Moves to AMEND HB 3329B -B10 AMENDMENTS on page 1, in line 4, after "vision of the contract," insert "absent stipulation of the parties to the contract,”

 

 

VOTE:  6-0

148

Chair Minnis

Hearing no objection, declares the motion CARRIED.

156

Vice Chair Burdick

MOTION:  Moves to ADOPT HB 3329-B8 amendments dated 5/22/03.

 

 

VOTE:  5-1

AYE:               5 - Burdick, Ferrioli, Ringo, Starr C., Walker

NAY:               1 - Minnis

159

Chair Minnis

The motion CARRIES.

163

Vice Chair Burdick

MOTION:  Moves HB 3329B to the floor with a DO PASS AS AMENDED recommendation.

 

 

VOTE:  6-0

165

Chair Minnis

Hearing no objection, declares the motion CARRIED.

SEN. BURDICK will lead discussion on the floor.

167

Chair Minnis

Closes the work session on HB 3329B and adjourns the meeting at 10:15 a.m.

 

 

EXHIBIT SUMMARY

 

A – HB 2094A and HB 2368B, printed material submitted by Jim Gardner, 13 pp

B – HB 2094A, -A5 amendments submitted by staff, 6 pp

C – HB 2094A, -A10 amendments submitted by staff, 1 p

D – HB 2094A, printed material submitted by Mark Nelson, 7 p 

E – HB 2368A, written testimony submitted by John Valley, 1 p

F – HB 2368A, written testimony submitted by Courtni Dresser, 2 pp

G – HB 2368A, -B22 amendments submitted by staff, 5 pp

H – HB 2368A, -B16 amendments submitted by staff, 1 p

I – HB 2368A, -B18 amendments submitted by staff, 3 pp

J – HB 2094A and 2368A, printed material submitted by Marshall Coba, 5 p

K – HB 3329B, -B10 amendments submitted by staff, 1 p

L – HB 3329B, -B8 amendments submitted by staff, 5 pp