July 10, 2003                                                                                                           Hearing Room B

1:30 P.M.                                                                                                                      Tapes 84 - 85


MEMBERS PRESENT:         Sen. Kate Brown, Co-chair, Presiding

Sen. Bev Clarno, Co-chair 

Sen. Jason Atkinson, Vice-chair

Sen. Ginny Burdick, Vice-chair

Sen. Roger Beyer

Sen. Tony Corcoran


STAFF PRESENT:                 Jim Stembridge, Committee Administrator

Jeana Harrington, Committee Assistant


MEASURES HEARD:           Work Session – Consideration of legislative concepts for drafting and 


                                                HB 2390A – Public Hearing

                                                SB 906 – 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 84, A


Co-chair Brown

Calls meeting to order at 1:37 PM. Opens work session for consideration of legislative concepts for drafting and introduction.



Sen. Clarno

MOTION:  Moves legislative concept one, requested by staff, BE                                   

                     APPROVED FOR DRAFTING by Legislative Counsel  

                     and BE INTRODUCED as a committee bill (EXHIBIT                          




VOTE:  4-0-2

EXCUSED:  2 - Burdick, Corcoran


Co-chair Brown

Hearing no objection, declares the motion CARRIED.


Co-chair Brown

Closes work session on legislative concepts. Opens public hearing on HB 2390A.



Jan McComb

Committee Administrator. Summarizes HB 2390A, which prohibits all restrictions in non-competition agreements in broadcasting industry other than one-year restriction on employee’s service in broadcasting industry after termination of employment. Notes the –A6, -A7, and –A8 amendments (EXHIBITS B, C & D).


Rep. Mark Hass

House District 27. Testifies in support of HB 2390A. Speaks on the compromise made. Submits the March 3, 2003 testimony of Jeff Scovel (EXHIBIT E).


Co-chair Brown

Notes the number of Oregon Association of Broadcasters (OAB) members listed to testify in opposition to HB 2390A. Requests how the compromise was reached and who was involved in it.


Rep. Hass

Understands the OAB voted to support the draft amendment in the House and testified in favor of the bill.


Dave Fiskum

Oregon Association of Broadcasters (OAB). Testifies in opposition to HB 2390A. Lists the members included in OAB also in opposition to HB 2390A. Explains the bill arrived from the House Judiciary Committee. Comments on the –A6 amendments before the committee (EXHIBIT B). Raises question as to the need for HB 2390A. Notes the compromise was in the A-engrossed HB 2390 created by Rep. Max Williams. Advocates the original compromise, HB 2390A if the committee feels it must move forward with the bill. Informs of the OAB vote on HB 2390A.


Ron Carter

OAB; Manager KWJJ, KOTK. Testifies in opposition to HB 2390A. Provides work history in the broadcasting industry. Believes the bill is narrowly written. Speaks on non-competition agreements. Provides example of the “Mike & Amy Show” to illustrate the necessity of non-competition agreements in the broadcasting industry. Believes the elimination of non-competition agreements would be a detriment to Oregonians.


David Lipoff

OAB; KOIN 6 TV Vice President and General Manager. Testifies in opposition to HB 2390A (EXHIBIT F). Provides work history in broadcasting industry in Oregon. Explains the process behind non-competition agreements currently. Offers that those who enter into the agreements are fully informed as to the contract. Disagrees with the involvement of the Legislature in the area. 


Sen. Burdick

Requests the situation for an employee whose contract is not renewed.



Responds that contracts are negotiated individually. Informs there are aspects of the contract that allow for discussion of employment. Offers that the agreement is voluntary.


Sen. Burdick

Speaks on the inability of employees to continue with employment in the area for one year. Asks if Mr. Carter believes the practice is fair.



Agrees that the situation does take place, but contends that the agreement benefits all.


Sen. Burdick

Asks how preventing individuals from seeking employment can be justified.



Answers that agreements are not always utilized, and in some cases may be waived. States that the option for the agreement is necessary.

TAPE 85, A


Co-chair Brown

Requests clarification as to compromise established by HB 2390A.



Responds OAB felt it was necessary the whole issue be considered. Speaks on the compromise made.


Sen. Corcoran

Voices frustration and questions if negotiations involving lobby will now be by chamber.



Reiterates the intentions of the industry in its testimony. Expresses the intent to be candid in discussion of the issue.


Sen. Corcoran

States his belief of what constitutes a compromise.


Co-chair Brown



Sen. Rick Metsger

Senate District 26. Testifies in support of HB 2390A. Notes he is a former broadcaster. Contextualizes HB 2390A with regard to the broadcast industry and non-competition agreements. Speaks on the comments of Mr. Fiskum. States he does not support amendments to HB 2390A as it affects the compromise.


Co-chair Brown

Speaks on the investment in employees. Inquires as to why the contract is not a “free-choice.”


Sen. Metsger

Recognizes the contract is a choice. Believes a unilateral agreement is being suggested that does not affect the employee.


Mike Cheney

OAB. Testifies in opposition to HB 2390A. Disagrees with the “singling out of one industry.” Disagrees with Sen. Metsger views. Speaks on the broadcasting industry and on employee compensation. Believes non-competition agreements are needed as employees are witnesses included in the propriety information of the business. 


Dave McDonald

OAB; Senior Vice President, Infinity Broadcasting. Testifies in opposition to HB 2390A. Speaks on the fairness of non-competition agreement provisions. Believes judicial oversight would be removed by HB 2390A and is an unnecessary tampering. Disagrees with Sen. Metsger’s views.


Chrisse Roccaro

President, Portland Local of the American Federation of Television and Radio Artists (AFTRA). Testifies in support of HB 2390A (EXHIBIT G). Thanks the sponsors of the bill. Points out no AFTRA member was asked to testify on the bill. Supports the –A8 amendments to HB 2390A with one noted exception. Lists states where similar legislation has been approved. Believes the bill is a “free-market issue.”


Steve Lanning

Oregon American Federation of Labor and Congress of Industrial Organizations (AFL-CIO). Testifies in support of HB 2390A (EXHIBIT H). Notes AFL-CIO was not included in discussions on the House side. Refers the committee to the testimony of Jeff Scovel on April 8, 2003 (EXHIBIT H).

The following prepared testimony is submitted for the record without public testimony for HB 2614:


Dan Gardner

Commissioner, Bureau of Labor and Industries. Submits letter (EXHIBIT I).


Co-chair Brown

Closes public hearing on HB 2309A. Opens public hearing on SB 906.


TAPE 84, B


Jan McComb

Committee Administrator. Summarizes SB 906, which establishes the Residential Structure Board. Explains the reincarnation of bills in SB 906. Notes the -1, -2 & -3 amendments to SB 906 (EXHIBITS J, K & L).


Mark Long

Administrator, Building Codes Division (BCD). Describes facilitation of agreements on two of the House bills included in SB 906.  States there is no fiscal impact on three House bills affecting the Division.


Sen. Beyer

Asks if there are comments on the proposed amendments.



Comments he has not seen many of the amendments. Responds the amendments are the product of workgroups on the matter.


Co-chair Brown

Suggests advocates of the amendments can describe them.


John DiLorenzo

Attorney, Davis, Wright, and Tremain. (EXHIBIT M). Testifies in support of SB 906. Describes purpose of amendments. Speaks on the consequences of unlicensed individuals who build. Describes the problem with the requirements for the licensing. Explains the changes to the requirements made by the amendments and the consequences of those who do not fulfill new requirements.


Shawn Miller

Associated Builders & Contractors; Independent Electrical Contractors of Oregon. Testifies in support of SB 906. Explains the negotiations of issues within the bill and consensus amendments. States the construction industry was greatly impacted in the recent recession. Speaks on the “chain-of-payment” within the construction industry to illustrate the need for payment provisions. Overviews the bill.


Jerod Broadfoot

PacWest Communications. Testifies in support of SB 906. Reviews section 67 regarding electrical contracting.



Adds all parties have requested the subsequent referral to Ways and Means be rescinded. Refers committee to letter from Craig Smith (EXHIBIT N).


Co-chair Brown

Names those present to answer questions on the bill.


Jenene Delauney

Director, Oregon Disabilities Commission. Testifies in opposition to SB 906. Voices concern with the removal of two disabled members on the board.


Bob Pike

Member, State Accessibility Committee; Attorney. Testifies in opposition to SB 906. Speaks on the purpose of the council regarding accessibility. States Oregon has more stringent provisions than the American Disability Association (ADA). Speaks specifically on section 17 of SB 906.


Patrick Roger

Member, State Accessibility Committee. Testifies in opposition to SB 906. Speaks on the need for disabled members on the board. Points out the members are volunteers. States desire for the positions to be kept.


Mark Long

Speaks on the number of boards that assist the BCD and also provide access for all to the advisory process.


Bob Shiprack

Oregon State Building and Construction Trades Council. Discusses HB 3460. Explains the process the board underwent to organize the boards more effectively. States he is not on any of the boards. Explains the intent of the restructuring of the board.

TAPE 85, B



Informs of the issues discussed in the creation of the board by SB 906.


Co-chair Brown

States concern that public buildings are not accessible enough.



Concurs. Speaks on the ADA law.


Dave Barenberg

League of Oregon Cities (LOC). Withdraws the -3 amendments to SB 906 (EXHIBIT J).


Sandy Flicker

Oregon Rural Electric Cooperative Association. Informs the committee of a definition problem discovered in statute and of the -2 amendments (EXHIBIT K) that could correct it. Testifies in favor of SB 906 as it is a vehicle for the amendments. States the -2 amendments makes no substantive change. Speaks on the types of utilities in statute. Requests that, if the committee decides to entertain amendments, the change be made so universal application can be enjoyed.


Bill Cross

Oregon Building Officials Association (OBOA). Testifies in support of the -1 amendments to SB 906 (EXHIBIT L). Explains the intent of the amendments. Lists the benefits obtained by them. Detects an interest by sponsors not to amend the bill, but requests the amendments be considered.


Sen. Atkinson

Understands SB 710 could also be a vehicle for the -2 amendments.



Agrees SB 710 is also a vehicle, but notes SB 710 is in Ways and Means and has a fiscal impact.


Sen. Beyer

Refers to the -1 amendments with regard to the adoption of rules. Asks if rules could be adopted to accommodate the issue.



Responds that there have been discussions on implementing the changes through administrative rule and that OBOA is willing to pursue them if that is the request of the committee.


Mark Long

Responds to the question of the -1 amendments becoming administrative rules. States he is willing to work with the OBOA if the amendment request is withdrawn.


Sen. Beyer

Asks if the Building Codes Division has the authority.



Believes the Division does.


Co-chair Brown

Closes public hearing on SB 906. Adjourns the meeting at 3:16 PM.




A – Legislative Concepts, Staff, 1 p

B – HB 2390A, -A6 amendments, Staff, 4 pp.

C – HB 2390A, -A7 amendments, Staff, 4 pp.

D – HB 2390A, -A8 amendments, Staff, 4 pp.

E – HB 2390A, written testimony of Jeff Scovel, Rep. Mark Hass, 2 pp.

F – HB 2390A, written testimony, David Lippoff, 3 pp.

G – HB 2390A, written testimony, Chrisse Roccaro, 6 pp.

H – HB 2390A, written testimony of Steve Lanning and Jeff Scovel, Steve Lanning, 3 pp.

I – HB 2390A, letter, Dan Gardner, 1 p

J – SB 906, -3 amendments, Staff, 1 p

K – SB 906, -2 amendments, Staff, 7 pp.

L – SB 906, -1 amendments, Staff, 1 p

M – SB 906, written testimony, John DiLorenzo, 17 pp.

N – SB 906, letter from Craig Smith, John DiLorenzo, 1 p