HOUSE COMMITTEE ON
BUSINESS, LABOR, AND CONSUMER AFFAIRS
March 04, 2005 Hearing Room B
9:00 A.M. Tapes 46 - 47
MEMBERS PRESENT: Rep. Alan Brown, Chair
Rep. Sal Esquivel, Vice-Chair
Rep. Mike Schaufler, Vice-Chair
Rep. Paul Holvey
Rep. George Gilman
Rep. Derrick Kitts
Rep. Chip Shields
STAFF PRESENT: Janet Adkins, Committee Administrator
Jania Zeeb, Committee Assistant
MEASURES/ISSUES HEARD:
HB 2124 – Work Session
Introduction of Committee Measures – Work Session
HB 2572 – Public Hearing
HB 2641 – Public Hearing
HB 2434 – Public Hearing
HB 2521 – 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 46, A |
||
003 |
Chair Brown |
Calls the meeting to order at 9:04 a.m. and opens the work session on HB 2124. |
HB 2124 – WORK SESSION |
||
006 |
Janet Adkins |
Committee Administrator. Summarizes HB 2124. Discusses the -1 amendments (EXHIBIT L). Refers to the revenue impact statement (EXHIBIT A). |
028 |
Rep. Esquivel |
MOTION: Moves to ADOPT HB 2124-1 amendments dated 02/23/05. |
030 |
|
VOTE: 6-0-1 EXCUSED: 1 - Kitts |
|
Chair Brown |
Hearing no objection, declares the motion CARRIED. |
033 |
Rep. Esquivel |
MOTION: Moves HB 2124 to the floor with a DO PASS AS AMENDED recommendation. |
036 |
|
VOTE: 6-0-1 AYE: In a roll call vote, all members present vote Aye. EXCUSED: 1 - Kitts |
|
Chair Brown |
The motion CARRIES. REP. ESQUIVEL will lead discussion on the floor. |
039 |
Chair Brown |
Closes the work session on HB 2124 and opens the public hearing on HB 2572. |
HB 2572 – PUBLIC HEARING |
||
049 |
Chair Brown |
Closes the public hearing on HB 2572 and opens a work session to introduce committee measures. |
INTRODUCTION OF COMMITTEE MEASURES – WORK SESSION |
||
058 |
Janet Adkins |
Committee Administrator. Summarizes the following LC Drafts : LC 1591 (EXHIBIT D) LC 1592 (EXHIBIT C) LC 1593 (EXHIBIT E) LC 3052 (EXHIBIT B) |
069 |
Rep. Gilman |
MOTION: Moves LC's: 1591, 1592, 1593, 3052 BE INTRODUCED as committee bills. |
070 |
|
VOTE: 6-0-1 EXCUSED: 1 - Kitts |
|
Chair Brown |
Hearing no objection, declares the motion CARRIED. |
072 |
Chair Brown |
Closes the work session on the introduction of committee measures and opens a public hearing on HB 2572. |
HB 2572 – PUBLIC HEARING |
||
078 |
Janet Adkins |
Committee Administrator. Summarizes HB 2572. |
099 |
Rob Wagner |
Political and Legislative Affairs, American Federation of Teachers Oregon. Testifies in opposition to HB 2575. |
115 |
Rep. Gene Whisnant |
House District 53. Begins testimony. |
131 |
Chair Brown |
Closes the public hearing on HB 2572 and opens the public hearing on HB 2572 and HB 2641. |
HB 2572 AND HB 2641 – PUBLIC HEARING |
||
137 |
Rep. Whisnant |
Submits and presents prepared testimony in support of HB 2572 and HB 2641 (EXHIBIT F). Uses the former Deschutes County Sheriff, Greg Brown, as an example of the need for HB 2572 and HB 2641. |
201 |
Rep. Whisnant |
Comments that HB 2572 and HB 2641 would hold public employees accountable for their actions. Summarizes HB 2641. |
239 |
Rep. Whisnant |
Discusses HB 2572. Comments that these bill are important to help restore confidence in public employees. |
266 |
Chair Brown |
Inquires if there was restitution for the funds stolen by Greg Brown. |
269 |
Rep. Whisnant |
Responds that the fines and court costs were repaid immediately. |
276 |
Rep. Schaufler |
Comments that he hopes that confidence in public employees can be restored. Asks for clarification of what would happen to the family of an employee who is disciplined. |
298 |
Rep. Whisnant |
Answers that protection of the family is important. |
327 |
Rep. Shields |
Expresses concern with unforeseen consequences. Asks about applying HB 2572 and HB 2641 only for elected officials. |
345 |
Rep. Whisnant |
Responds that it needs to cover all public employees because if you are paid by the public you should be held responsible. |
370 |
Rep. Esquivel |
Concurs with Rep. Whisnant. States that he thinks HB 2572 and HB 2641 are a good step. |
383 |
Rep. Schaufler |
Expresses support for Rep. Whisnant’s concept. Emphasizes the importance of protecting the families and states that he thinks the scope of the bills should be broadened. |
418 |
Rep. Shields |
Comments that we should look at how this is being handled in the private sector. |
428 |
Rob Wagner |
Political and Legislative Affairs, American Federation of Teachers Oregon (AFT-Oregon). States that Rhode Island, New Jersey, and Massachutes have similar statutes. |
TAPE 47, A |
||
020 |
Wagner |
Lists three concerns that AFT-Oregon has with HB 2572 and HB 2641. Comments that it is possible that the state would face litigation as a result of these two bills. |
038 |
Rep. Schaufler |
Inquires if the Department of Justice has commented on this legislation. |
042 |
Rep. Whisnant |
Answers that Legislative Counsel should have checked with them. Discusses what was done in order to avoid litigation problems in the future. |
052 |
Chair Brown |
Comments that the committee can get that information from Legislative Counsel. |
054 |
Janet Adkins |
Provides information from her conversation with Legislative Counsel. |
059 |
Rep. Whisnant |
Responds that he understands the issues discussed with Legislative Counsel but still wants to move forward. |
068 |
Rep. Esquivel |
Reminds the committee that they are talking about convicted felons, who were employees of the state. |
074 |
Rep. Holvey |
Asks if there is a list of what classifies as work related felonies. |
089 |
Rep. Whisnant |
Answers that he did not go into that detail. |
103 |
Paul Cleary |
Executive Director, Public Employee Retirement System (PERS). Introduces Steve Delaney, Deputy Director, PERS. Submits and presents prepared testimony discussing concerns with HB 2572 (EXHIBIT G) and HB 2641 (EXHIBIT H). |
135 |
Cleary |
States that they need to be careful not to do anything that will hurt people who are not involved in the crime. |
141 |
Cleary |
Discusses the concern with Internal Revenue Services (IRS) regulations. States that if these bills pass, they need to be approved by the IRS. |
163 |
Chair Brown |
Comments that he wants to create a work group to work on this issue. |
175 |
Chair Brown |
Closes the public hearing on HB 2572 and 2641 and opens a public hearing on HB 2434. |
HB 2434 – Public Hearing |
||
186 |
Janet Adkins |
Committee Administrator. Summarizes HB 2434. |
191 |
Rep. Gary Hansen |
House District 44. Discusses HB 2434. Introduces Pat West. |
217 |
Pat West |
President, Oregon State Firefighters. Discusses the situation for firefighters who are injured on the job and how HB 2434 would help injured employees. Comments that they want to work with the Public Employees Retirement System (PERS) to come up with language to dissolve their concerns. |
259 |
Rep. Hansen |
Summarizes the problems that PERS is having with HB 2434. |
277 |
Rep. Brown |
Inquires if the employer is paying into the system during the time the employee is on disability. |
281 |
Rep. Hansen |
Responds that it is if the employee is receiving a salary. |
289 |
Rep. Schaufler |
Inquires if we are talking about on the job injuries only. Asks if men and women in reserves or national guard who leave and come back injured would also be included. |
298 |
West |
Answers that HB 2434 would not change how the reserve or national guards are handled. |
300 |
Rep. Kitts |
Asks what the maximum length of time a person can be on the temporary disabled list. |
304 |
West |
Responds that it is based on when they are declared medically stationary. |
309 |
Rep. Kitts |
Inquires if HB 2434 applies to any member in PERS. |
311 |
Rep. Hansen |
Concurs. |
314 |
Rep Kitts |
Comments that it is currently extremely unlikely that anyone would be classified as permanent total disability (PTD). Asks how HB 2434 would affect people awarded PTD. |
331 |
West |
Comments that it would not affect people with PTD, because PTD is tied to workers comp. |
338 |
Rep. Esquivel |
Asks what the private sector is doing regarding this issue. |
348 |
West |
Answers that he does not have a study on that. |
353 |
Rep. Hansen |
Remarks that it would vary from company to company. |
368 |
Rep. Kitts |
States that he would be interested to know if there is a comparable plan in the private sector. |
TAPE 46, B |
||
029 |
Steve Delaney |
Deputy Director, PERS. Submits prepared testimony in opposition to HB 2434. Comments on unintentional consequences of HB 2434. |
038 |
Rep. Schaufler |
Asks if we can examine private plans. |
045 |
Delaney |
Answers that he does not have contact with private plans, but we can look at how other states handle this. |
053 |
Jim Green |
Oregon School Boards Association. Discusses the unintended consequences of HB 2434 for schools. Comments that he is worried about the extra cost this could add to the schools. |
083 |
Rep. Kitts |
Inquires if it is a violation of the union contract to hire a temporary employee for the duration of the injury of a worker. |
084 |
Green |
Answers that it is not a violation of a collective bargaining agreement. Explains the situation with PERS. |
094 |
Rep. Kitts |
Asks if there is something they could put in HB 2434 to help alleviate the problem in regards to PERS. |
100 |
Green |
Responds that there is nothing to prohibit it from being put in the bill, but he thinks there would not be full support for that. |
104 |
Rep. Schaufler |
Inquires if special districts, school districts, or local governments are required to be in PERS, or enter into a collective bargain contract with the union. |
109 |
Green |
Remarks that school districts are required to be in PERS and they must collectively bargain. |
115 |
Rep. Schaufler |
Comments that HB 2434 would be a burden, but we should not focus on the burden we should also discuss the benefits we are getting as a result of the program. |
125 |
Green |
States that we are getting benefit, but it is still important for us to look at the cost of providing those services. |
133 |
Janet Adkins |
Submits prepared testimony from Michelle Deister in opposition to HB 2434 (EXHIBIT J). |
138 |
Mary Botkin |
American Federation of State County and Municipal Employees (AFSCME). Comments on the importance of taking care of employees and making sure they do not suffer ill effects if they get injured on the job. |
189 |
Chair Brown |
Closes the public hearing on HB 2434 and opens the public hearing on HB 2521. |
HB 2521 – PUBLIC HEARING |
||
211 |
Rep. John Dallum |
House District 59. Introduces Del Ceaser. Gives the history of the issue of forgiveness of state taxes for Public Employees Retirement System (PERS) retirees. |
221 |
Del Ceaser |
Citizen, The Dalles. Testifies in support of HB 2521. Gives a background on his involvement on the issue and a history of HB 2521. |
278 |
Ceaser |
Submits and reads a letter, dated February 10, 1999, from Governor Kulongoski regarding the issue (EXHIBIT K). |
307 |
Chair Brown |
Inquires if there are other cities that are affected. |
310 |
Ceaser |
Responds that the only one he knows of is Astoria. Comments on retirement plans in small communities. |
321 |
Rep. Schaufler |
Expresses support for HB 2521. Asks if they opted not to be in PERS. |
324 |
Ceaser |
States that the city council opted not to be in PERS, not the employees. |
338 |
Rep. Gilman |
Comments that Eagle Point is not a PERS city. |
343 |
Ceaser |
Remarks that this problem affects anyone who retired before 1991. |
347 |
Rep. Dallum |
Offers to check if there are other cities that are impacted. |
360 |
Chair Brown |
Closes the public hearing on HB 2521 and opens the work session on HB 2521. |
HB 2521 – WORK SESSION |
||
367 |
Rep. Schaufler |
MOTION: Moves HB 2521 to the floor with a DO PASS recommendation and BE REFERRED to the committee on Revenue by prior reference. |
377 |
|
VOTE: 7-0-0 AYE: In a roll call vote, all members present vote Aye. |
|
Chair Brown |
The motion CARRIES. |
397 |
Chair Brown |
Closes the Work Session on HB 2521 and adjourns the meeting at 10:34. |
EXHIBIT SUMMARY