SENATE COMMITTEE ON JUDICIARY

 

 

August 19, 2003                                                                                                  Hearing Room 357

8:00 a.m.                                                                                                                  Tapes  197 - 198

 

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

Ann Martin, Committee Assistant

 

MEASURE/ISSUES HEARD:           HB 3539A Public Hearing and Work Session

                                                HB 2278B Work Session

                                                HB 2658A Work Session

                                                HB 3544A 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 197, A

002

Chair Minnis

Calls the meeting to order at 8:25 a.m. Opens a public hearing on HB 3539A.

HB 3539A PUBLIC HEARING

012

Representative Jeff Merkley

House District 47. Testifies in support of HB 3539A which directs seller of certain residential property to provide protection for purchaser of property regarding construction liens perfected after sale of property is completed.

016

Vynette Arnell

Gresham. Testifies in support of HB 3539A.

049

Rep. Merkley

Talks about history of bill and six protections the bill creates to protect buyers.

070

Chair Minnis

Asks what happens if we don’t fix this.

072

Rep. Merkley

Says that the original bill comes into effect in January and may be unworkable.

097

Sen. Walker

Says she has letter from Mr. Schultz that was sent to Rep. Merkley (EXHIBIT A). Wonders if Mr. Schultz’s concerns have been addressed.

104

Rep. Merkley

Answers that he has taken care of Mr. Schultz’s concerns in the bill (EXHIBIT B).

116

Sen. Ferrioli

Asks about the amount of the bond.

117

Rep. Merkley

Says that the bond is one of the six options.

132

Sen. Ferrioli

Asks again about the amount of the bond and if it would protect the buyer.

141

Rep. Merkley

Answers that the bond will not provide full protection.

160

Sen. Ferrioli

Says that he would like to hear from the folks that issue title insurance regarding liens.

172

Rep. Merkley

Discusses the consensus of the work group.

202

Sen. Walker

Asks how many people are caught in this problem.

212

Rep. Merkley

Answers that the statistics are weak, but there are a significant number of buyers that have run into this problem.

252

Sen. Ringo

Asks who was involved in the work group.

251

Rep. Merkley

Answers that the collected stakeholders included the Oregon Mortgage Lenders Association, the Oregon Bankers Association, the title insurance company, the real estate lobby, homebuilders, and Scott Barrie and Jessica Harris (representing the contractors).

274

Sen. Ringo

Asks if they are all okay with this bill.

275

Rep. Merkley

Answers that he believes there is consensus on the bill.

284

Scott Barrie

Oregon Building Association. Testifies in support of HB 3539A.

307

Harlan Levy

Staff Attorney, Oregon Association of Realtors. Testifies in support of HB 3539A and the A4 amendments (EXHIBIT C).

321

Chair Minnis

Asks what happens if they don’t move the bill.

324

Barrie

Emphasizes that HB 3840 (2001 session) would go back into effect in January.

338

Levy

Adds that there were some criminal sanctions attached to that bill as well.

349

Chair Minnis

Closes the public hearing on HB 3539A and opens a work session.

HB 3539A WORK SESSION

352

Vice Chair Burdick

MOTION:  Moves to ADOPT HB 3539A-4 amendments dated 06/19/03.

 

 

VOTE:  6-0

355

Chair Minnis

Hearing no objection, declares the motion CARRIED.

366

Vice Chair Burdick

MOTION:  Moves HB 3539A to the floor with a DO PASS AS AMENDED recommendation.

 

 

VOTE:  6-0

371

Chair Minnis

Hearing no objection, declares the motion CARRIED.

SEN. STARR will lead discussion on the floor.

380

Chair Minnis

Closes the work session on HB 3539A and opens a work session on HB 2278B.

HB 2278B WORK SESSION

395

Sen. Ferrioli

Introduces HB 2278B which provides consistent terminology for public bodies in laws relating to districts. Discusses bill and work of work group.

 

TAPE, 198A

003

Sen. Ferrioli

Continues his discussion on HB 2278B.

062

Chair Minnis

Asks if Sen. Ferrioli has amendments.

067

Sen. Ferrioli

Answers, no.

069

Chair Minnis

Refers to PERS memos (EXHIBIT D).

075

Sen. Walker

Discusses the bill.

095

Sen. Ferrioli

Explains that there should be no possibility of orphaned unfunded actuarial liabilities.

117

Marge Kafoury

City of Portland. Testifies on HB 2278B. Talks about the proposal of the work group.

138

Steve Manton

Office of Management and Finance, City of Portland. Testifies on HB 2278B.

158

Sen. Ferrioli

Talks about the bill and says that they are looking for a logical solution.

188

Leslie Robertson

Attorney, Fire District 10. Testifies on HB 2278B.

229

Sen. Ferrioli

Comments on the bill. Says they were looking for a mechanism that would not bankrupt Fire District 10.

241

Robertson

Believes that the district will go out of business.

270

Sen. Ferrioli

Explains that if Fire District 10 cannot remain solvent over the next 24 months then that territory and tax base would be consumed by another district.

298

Robertson

Discusses annexations. Wonders how the district is going to provide fire safety and emergency response for over 2,000 families.

352

Sen. Ferrioli

Comments on the problems of Fire District 10.

386

Terry McCall

Finance Director, City of Gresham. Testifies on HB 2278B. Strongly opposes any assignment of liability.

TAPE 197, B

001

Sen. Ferrioli

Talks about needing time for all of the jurisdictions to find a solution.

016

Chair Minnis

Comments on the B15 amendments (EXHIBIT E) and the City of Portland.

033

Robertson

Comments on the idea of a regional fire service and inclusion of Fire District 10.

046

Chair Minnis

Says that perhaps other government entities could sue the city of Portland over this issue.

050

Robertson

Says that this has been a common disaster.

058

Sen. Ferrioli

Wants to hear the arguments from the different jurisdictions.

069

Sen. Walker

States that Fire District 10 owes something.

078

Sen. Ferrioli

Emphasizes that the liability stays with the district.

103

Craig Prins

Committee Counsel. Discusses HB 2278B and the B6 and B12 amendments (EXHIBITS F & G).

134

Carl Lundberg

Deputy Insurance Commissioner, Department of Business and Consumer Services. Submits testimony and testifies on HB 2278B and the B12 amendments (EXHIBIT H).

173

Vice Chair Burdick

Asks if the relating clause fits the bill.

180

Lundberg

Says that the relating clause is fine.

187

Sen. Burdick

MOTION:  Moves to ADOPT HB 2278B-12 amendments dated 07/28/03.

 

 

VOTE:  5-0-1

EXCUSED:  1 - Sen. Ferrioli

190

Chair Minnis

Hearing no objection, declares the motion CARRIED.

194

Sen. Ringo

Asks for an explanation of the B6 amendments.

195

Prins

Explains the B6 amendments.

202

Sen. Burdick

MOTION:  Moves to ADOPT HB 2278B-6 amendments dated 06/03/03.

 

 

VOTE:  5-0-1

EXCUSED:  1 - Sen. Ferrioli

203

Chair Minnis

Hearing no objection, declares the motion CARRIED.

208

Chair Minnis

Closes the work session on HB 2278B and recesses the meeting at 9:40 a.m.

216

Chair Minnis

Reconvenes the meeting at 9:50 a.m. Opens a work session on HB 2658A.

HB 2658A WORK SESSION

218

Sen. Walker

Explains the A5 amendments (EXHIBIT I).

243

Sen. Walker

MOTION:  Moves to ADOPT HB 2358A-5 amendments dated 08/11/03.

 

 

VOTE:  6-0

245

Chair Minnis

Hearing no objection, declares the motion CARRIED.

249

Sen. Walker

MOTION:  Moves HB 2658A to the floor with a DO PASS AS AMENDED recommendation.

 

 

VOTE:  6-0

253

Chair Minnis

Hearing no objection, declares the motion CARRIED.

SEN. WALKER will lead discussion on the floor.

255

Chair Minnis

Closes the work session on HB 2658A and opens a work session on HB 3544A.

HB 3544A WORK SESSION

261

Craig Prins

Committee Counsel. Introduces HB 3544A which modifies limitations on penalty wages for failure to pay wages on termination. Discusses the A2, A3, A6 and A9 amendments (EXHIBITS J-M).

337

Christine Hammond

Bureau of Labor and Industries. Testifies in support of HB 3544A.

360

Sen. Ringo

Comments on the hand-engrossed bill with the A9 amendments and how incomprehensible the bill is (EXHIBIT N).

433

Prins

Discusses the A6 amendments regarding the garnishment.

466

Chair Minnis

Says that he would like the committee to adopt the A2, A3, A6 and A9 amendments.

469

Sen. Walker

Asks about the A8 amendments (EXHIBIT O).

473

Chair Minnis

Answers that they are not moving those amendments.

482

Sen. Ferrioli

MOTION:  Moves to ADOPT HB 3544A -2 dated 5/20/03, -3 dated 5/27/03, -6 dated 6/24/03 and -9 dated 7/25/03 amendments.

 

 

VOTE:  6-0

483

Chair Minnis

Hearing no objection, declares the motion CARRIED.

495

Chair Minnis

Closes the work session on HB 3544A and adjourns the meeting at 10:05 a.m.

 

 

EXHIBIT SUMMARY

 

A – HB 3539A, Letter from Paul D. Schultz to Rep. Merkley, dated May 19, 2003, 2 pgs.

B – HB 3539A, Letter from Rep. Merkley to Paul Schultz, dated 8/19/03, 1 pg.

C – HB 3539A, -4 amendments, dated 6/19/03, submitted by staff, 13 pgs.

D – HB 2278B, 2 memos, from Jim Voytko, submitted by staff, 7 pgs.

E – HB 2278B, -15 amendments, dated 8/18/03, submitted by staff, 8 pgs.

F – HB 2278B, -6 amendments, dated 6/03/03, submitted by staff, 1 pg.

G – HB 2278B, -12 amendments, dated 7/28/03, submitted by staff, 15 pgs.

H – HB 2278B, written testimony, submitted by Carl Lundberg, 3 pgs.

I – HB 2658A, -5 amendments, dated 8/11/03, submitted by staff, 2 pgs.

J – HB 3544A, -2 amendments, dated 5/20/03, submitted by staff, 1 pg.

K – HB 3544A, -3 amendments, dated 5/27/03, submitted by staff, 1 pg.

L – HB 3544A, -6 amendments, dated 8/19/03, submitted by staff, 15 pgs.

M – HB 3544A, -9 amendments, dated 7/25/03, submitted by staff, 1 pg.

N – HB 3544A, hand-engrossed bill with -9 amendments, submitted by staff, 2 pgs.

O – HB 3544A, -8 amendments, dated 7/17/03, submitted by staff, 2 pgs.