House Committee on State, Veterans, & Military Affairs (03/23/2010)

Final
STAFF SUMMARY OF MEETING

HOUSE COMMITTEE ON STATE, VETERANS, & MILITARY AFFAIRS

Date:	03/23/2010	ATTENDANCE

Time:	01:36 PM to 07:20 PM	Casso	*
		Court	X
Place:	HCR 0112	DelGrosso	X
		Hullinghorst	X
This Meeting was called to order by		McCann	X
	Representative Todd	Miklosi	*
		Murray	X
This Report was prepared by		Nikkel	X
	Bo Pogue	Waller	X
		Labuda	X
		Todd	X
		X = Present, E = Excused, A = Absent, * = Present after roll call

Bills Addressed:		Action Taken:
HB10-1354 SB10-028 HB10-1361 HJR10-1014		Amended, Referred to the Committee of the Whole Referred to Appropriations Committee Vote - Tie Vote Postponed Indefinitely

01:36 PM

The committee was called to order. A quorum was present.

01:37 PM -- House Bill 10-1354

Representatives Benefield and Looper, prime sponsors, presented House Bill 10-1354, concerning policy studies conducted by the General Assembly during the legislative interim. Testimony was taken on the bill at the committee's March 18th meeting, and the committee also adopted prepared amendments L.001, L.002, and L.003 at that meeting. Discussion ensued regarding potential complications in assigning members to interim studies under amendment L.005 (Attachment A), and the process by which members are appointed under the amendment. Representatives Looper and Benefield provided clarification regarding the effect of the amendment. Discussion followed regarding the need for flexibility in appointing members to interim task forces.


BILL:	HB10-1354
TIME:	01:39:10 PM
MOVED:	Todd
MOTION:	Moved prepared amendment L.005 (Attachment A). The motion passed on an 8-2-1 roll call vote.
SECONDED:	Court
		VOTE
	Casso	Yes
	Court	Yes
	DelGrosso	Yes
	Hullinghorst	Yes
	McCann	Yes
	Miklosi	Excused
	Murray	No
	Nikkel	No
	Waller	Yes
	Labuda	Yes
	Todd	Yes

Not Final YES: 8 NO: 2 EXC: 1 ABS: 0 FINAL ACTION: PASS

01:46 PM

Representatives Benefield and Looper provided closing remarks in support of House Bill 10-1354.

01:48 PM


BILL:	HB10-1354
TIME:	01:48:55 PM
MOVED:	Court
MOTION:	Moved to refer House Bill 10-1354, as amended, to the Committee of the Whole with favorable recommendation. The motion passed on an 8-3 roll call vote.
SECONDED:	Todd
		VOTE
	Casso	Yes
	Court	Yes
	DelGrosso	Yes
	Hullinghorst	Yes
	McCann	Yes
	Miklosi	Yes
	Murray	No
	Nikkel	No
	Waller	No
	Labuda	Yes
	Todd	Yes

Final YES: 8 NO: 3 EXC: 0 ABS: 0 FINAL ACTION: PASS

01:49 PM -- Senate Bill 10-028

Representative Pace, prime sponsor, presented Senate Bill 10-028, concerning the establishment of the Colorado "Work Share Program" to allow payment of unemployment compensation benefits to eligible employees who have received a reduction in work hours. Representative Pace explained the effect of the bill, and discussed the benefits of the legislation. Representative Pace responded to questions regarding safeguards in the bill preventing fraudulent participation in the program by employers. Discussion ensued regarding this type of cost-shifting, and a provision in the bill that requires employers to certify a reduction in employee work hours.

02:00 PM

Discussion continued regarding the potential for employers to defraud the Unemployment Insurance Cash Fund under Senate Bill 10-028. Representative Pace responded to questions regarding the position on the bill by the business community.

02:02 PM

The following persons testified regarding Senate Bill 10-028:

02:03 PM -- Ms. Virginia Love, representing the Colorado Competitive Council, testified in opposition to the bill. Ms. Love provided background on the Unemployment Insurance Cash Fund and its current insolvency, and discussed costs associated with the implementation of Senate Bill 10-028. Ms. Love discussed the potential for employers to benefit from reducing employee hours, and explained that the bill creates a new benefit based on an insolvent fund. Ms. Love then discussed the inability of employers to reduce an employee's work hours for only 18 weeks, which is the duration of the benefit under the bill. Ms. Love provided clarification regarding her testimony. Discussion ensued regarding potential benefits to the Unemployment Insurance Cash Fund from the bill, as reflected in the bill's fiscal note, and the effect of similar programs enacted in other states.

02:13 PM

Discussion ensued regarding the impact of the bill on all of the employees in a given work place that participates in the Work Share Program. Discussion followed regarding the voluntary nature of the program, and risk pooling under the unemployment insurance system. Ms. Love responded to questions regarding the insolvency of the Unemployment Insurance Cash Fund.

02:21 PM -- Ms. Linda Meric, representing 9 to 5 National Association of Working Women, testified in favor of Senate Bill 10-028. Ms. Meric discussed the benefits of the bill to both employers and employees, and the impact of similar legislation on unemployment insurance funds in other states. Ms. Meric discussed safeguards in the bill against fraud by employers, and the benefits realized in other states as a result of implementing work share programs. Ms. Meric then discussed the benefits realized by employees as a result of work share programs. Ms. Meric also discussed support for work share programs from organizations across the political spectrum. Ms. Meric responded to questions regarding the expansion of benefits under the bill. Discussion ensued regarding the applicability of the bill to part-time employees. Ms. Meric responded to questions regarding the potential for employers to participate in the program under fraudulent pretenses. Discussion followed regarding the frequency with which employers can participate in the program created by the bill.

02:32 PM

Discussion continued regarding how often employers can participate in the Work Share Program under the bill, and the length of time an individual employee can receive benefits under the bill. Discussion followed regarding potential harm that employees may experience as a result of draining unemployment insurance eligibility under the bill.

02:36 PM -- Ms. Debra Judy, representing the Bell Policy Center, testified in support of Senate Bill 10-028. Committee members received a handout supporting the bill, prepared by the Bell Policy Center (Attachment B). Ms. Judy detailed the benefits that will accrue to both employers and employees under the bill. Ms. Judy discussed the experiences of other states that have instituted work share programs.

02:38 PM -- Mr. Gary Estenson, representing the Department of Labor and Employment, testified in favor of the bill. Mr. Estenson said other states have realized cost savings when operating work share programs. Mr. Estenson responded to questions regarding the ability of employers to lay off employers after participating in the Work Share Program, and the incentives under the bill for employees to remain with an employer participating in the program. Mr. Estenson responded to further questions regarding the ability of employers to reduce employee hours outside the scope of the Work Share Program, and the insolvency of the Unemployment Insurance Cash Fund. Mr. Estenson responded to questions regarding the applicability of Senate Bill 10-028 to furloughs by the state, and to seasonal workers. Mr. Estenson provided background on unemployment benefits currently available to laid off workers.

02:49 PM

Discussion continued regarding unemployment benefits currently available to laid off workers, and the impact of participation in the bill's Work Share Program on employee benefits. Mr. Estenson discussed the administrative costs and burdens associated with the Work Share Program. Mr. Estenson responded to questions regarding the process by which the state will repay loans to the Unemployment Insurance Cash Fund by the federal government.

03:00 PM

Discussion continued regarding the repayment of federal funds that are currently covering a shortfall in the Unemployment Insurance Cash Fund. Mr. Estenson responded to questions regarding provisions in the bill that safeguard against serial abuse of the Work Share Program by an employer. Mr. Estenson responded to questions regarding the impact of participation in the Work Share Program on an employee who is subsequently laid off. Discussion returned to the level of unemployment insurance benefits currently available to employees, and the level of benefits accruing to an employee under the Work Share Program. Mr. Estenson responded to questions regarding the term "negative excess employer" as it appears in Senate Bill 10-028. Representative Pace provided a hypothetical scenario illustrating benefit levels available to employees under the Work Share Program.

03:11 PM

Mr. Estenson responded to questions regarding the impact of the Work Share Program on employers who do not have employees receiving unemployment insurance. Mr. Estenson responded to questions regarding the impact to employers participating in the Work Share Program on future unemployment insurance assessments. Discussion ensued regarding the fairness of cross-subsidization of unemployment insurance and the Work Share Program by employers.

03:17 PM

No amendments were offered to Senate Bill 10-028. Representative Pace provided closing remarks in favor of the bill.


BILL:	SB10-028
TIME:	03:19:39 PM
MOVED:	Court
MOTION:	Moved to refer Senate Bill 10-028 to the Committee on Appropriations with favorable recommendation. The motion passed on a 7-4 roll call vote.
SECONDED:	Casso
		VOTE
	Casso	Yes
	Court	Yes
	DelGrosso	No
	Hullinghorst	Yes
	McCann	Yes
	Miklosi	Yes
	Murray	No
	Nikkel	No
	Waller	No
	Labuda	Yes
	Todd	Yes

Final YES: 7 NO: 4 EXC: 0 ABS: 0 FINAL ACTION: PASS

03:18 PM

Discussion ensued regarding the merits of referring Senate Bill 10-028 to the Business Affairs and Labor Committee.


BILL:	SB10-028
TIME:	03:20:07 PM
MOVED:	DelGrosso
MOTION:	Made a substitute motion to refer Senate Bill 10-028 to the Committee on Business Affairs and Labor with favorable recommendation. The motion failed on a 4-7 roll call vote.
SECONDED:	Waller
		VOTE
	Casso	No
	Court	No
	DelGrosso	Yes
	Hullinghorst	No
	McCann	No
	Miklosi	No
	Murray	Yes
	Nikkel	Yes
	Waller	Yes
	Labuda	No
	Todd	No

Not Final YES: 4 NO: 7 EXC: 0 ABS: 0 FINAL ACTION: FAIL

03:23 PM -- House Bill 10-1361

The committee recessed.

03:58 PM

Representative Sonnenberg, prime sponsor, presented House Bill 10-1361, concerning acquisitions by the Wildlife Commission of a fee simple title to real property using habitat stamp funds. Committee members received copies of Senate Bill 09-235, which concerned fees charged by the Division of Wildlife (Attachment C). Representative Sonnenberg discussed the process that went into the introduction of the bill, including the creation of a working group of stakeholders to address the issues covered by the bill. Representative Sonnenberg also addressed concerns raised regarding House Bill 10-1361.

04:06 PM

The following persons testified regarding House Bill 10-1361:

04:06 PM -- Mr. Tom Remington, representing the Division of Wildlife, testified in opposition to the bill. Mr. Remington provided background on the Habitat Stamp Program, and the process that led to the introduction of Senate Bill 09-235. Mr. Remington discussed the organizations that lined up in support of or opposition to Senate Bill 09-235, and their reasons for doing so. Mr. Remington also discussed the stakeholder process initiated by Representative Sonnenberg during the formulation of House Bill 10-1361, and suggested that the bill is a solution in search of a problem.

04:16 PM

Mr. Remington discussed the process by which the Division of Wildlife acquires interest in property, and explained that the division very rarely acquires property in fee title. Mr. Remington then explained the circumstances that lead the division to acquire fee title to property. Mr. Remington suggested the need to look at the division's operations and maintenance funding source. Mr. Remington summarized his remarks. Mr. Remington responded to questions regarding the funding source for the Division of Wildlife's operations and maintenance.

04:27 PM -- Mr. Bob Goodnough, representing himself, testified in opposition to House Bill 10-1361. Mr. Goodnough discussed the reasons for creating the Habitat Stamp Program. Mr. Goodnough also discussed the circumstances under which fee simple title is currently acquired on property by the Division of Wildlife, and the limitations placed on the division by the bill in acquiring interest in property. Mr. Goodnough then discussed funding for operation and maintenance of property acquired in fee simple title by the division, and explained that the bill is not necessary. Representative Sonnenberg clarified that the bill addresses property interest acquired by the Division of Wildlife under the Habitat Stamp Program and not all property owned by the division.

04:37 PM

Discussion ensued regarding the potential for requiring that Habitat Stamp Program moneys be used for operation and maintenance of those properties acquired under the Habitat Stamp Program. Discussion followed regarding how federal funds accrue to the Division of Wildlife. Discussion turned to the process by which revenue accrues to a fund set up by the bill to cover operation and maintenance on Habitat Stamp properties, and the level of funding that would be committed to this fund. Representative Sonnenberg responded to questions regarding how these operation and maintenance moneys would be allotted under House Bill 10-1361. Mr. Goodnough responded to questions regarding the time frame for committing moneys to the fund, and the potential for the Wildlife Commission to perform these functions by rule. Discussion ensued on this point.

04:49 PM

Discussion ensued regarding the need to address maintenance and operations on division-controlled properties. Representative Sonnenberg responded to questions regarding the timing of the bill's introduction considering that a committee established by Senate Bill 09-235 to review the Habitat Stamp Program has not yet met.

04:54 PM -- Mr. Chris Crosby, representing himself, testified in opposition to House Bill 10-1361. Mr. Crosby spoke in support of the Habitat Stamp Program and its benefits, and discussed the need to improve the Division of Wildlife's ability to acquire land. Mr. Crosby discussed a fishing rights purchase in Park County by the Division of Wildlife. Mr. Crosby responded to questions regarding the prospects for acquiring this land had the provisions of House Bill 10-1361 been in place.

05:00 PM -- Mr. Kent Ingram, representing the National Wildlife Federation and the Front Range Shooting Sports Partners, testified in opposition to the bill. Mr. Ingram provided background on the Habitat Stamp Program and the organizations that helped create the program. Mr. Ingram discussed how it was decided the programs revenue would be used, and the importance of fee simple title acquisition as a tool to the Division of Wildlife. Mr. Ingram then discussed the process by which House Bill 10-1361 was created, and the organizations that support and oppose the legislation. Mr. Ingram responded to questions regarding the increasing lack of access to hunting and fishing grounds by sportsmen.

05:09 PM -- Mr. David Nickum, representing Colorado Trout Unlimited, testified in opposition to House Bill 10-1361. Mr. Nickum objected to the bill's restriction on the acquisition of fee simple title by the Division of Wildlife, and explained how such acquisitions improve wildlife access by sportsmen.

05:11 PM -- Mr. Chuck Woods, representing Ducks Unlimited, testified in opposition to the bill. Mr. Woods suggested that the issues addressed by the bill are better addressed in Senate Bill 09-235. Mr. Woods discussed property he owns in eastern Colorado.

05:14 PM -- Ms. Suzanne O'Neill, representing the Colorado Wildlife Federation, testified in opposition to House Bill 10-1361. Ms. O'Neill objected to a provision in the bill governing the resale of properties acquired using Habitat Stamp moneys.

05:17 PM -- Mr. Les White and Mr. Gary Miller, representing the Habitat Stamp Committee, testified in opposition to the bill. Mr. White discussed the process by which the bill was crafted, and suggested that the legislation is not needed. Mr. Miller discussed the quality assurance process employed by the Habitat Stamp Program in acquiring property interests, and explained that flexibility is needed in funding operation and maintenance on program-acquired properties. Mr. White explained that fee simple title acquisition provides access to hunting and fishing grounds by sportsmen.

05:26 PM -- Mr. Robert Streeter, representing the Colorado Wildlife Commission, testified in opposition to House Bill 10-1361. Mr. Streeter discussed developments that are encroaching upon wildlife habitat, and the need to preserve land through programs such as the Habitat Stamp Program. Mr. Streeter discussed rules currently in place that restrict the acquisition of fee simple title to land by the Division of Wildlife, and techniques employed to reduce program overhead. Mr. Streeter explained how the bill will create obstacles to the operation of the Habitat Stamp Program.

05:35 PM -- Mr. Troy Bredenkamp, representing the Colorado Farm Bureau and the Colorado Corn Growers, testified in support of the bill. Committee members received a handout urging a yes vote on the bill (Attachment D). Mr. Bredenkamp discussed the role of the Colorado Farm Bureau in wildlife preservation, and explained that the bureau is opposed to the Habitat Stamp Program because fee simple title to property can be acquired through the program. Mr. Bredenkamp discussed the renewal of the Habitat Stamp Program in 2009, and the process that resulted in the introduction of House Bill 10-1361. Mr. Bredenkamp discussed the impact of the bill on the ability of the Division of Wildlife to acquire fee simple title in real property, and explained the benefits of setting up a fund to finance operations and maintenance on properties acquired through the Habitat Stamp Program. Mr. Bredenkamp discussed the stakeholder meetings that led to the introduction of the bill.

05:47 PM

Discussion ensued regarding the organizations that collaborated in the crafting of House Bill 10-1361.

05:48 PM -- Mr. Ivan James, representing the Colorado Bowhunters Association, testified in favor of the bill. Mr. James discussed the importance of hunting and fishing to Colorado's economy, and explained how wildlife habitat is important to this industry. Mr. James discussed support for Senate Bill 09-235, and the process that led to the introduction of House Bill 10-1361. Mr. James spoke to the importance of the Habitat Stamp Program.

05:54 PM -- Dr. Dick Steele, representing the Western Colorado Sportsmens Council, testified in favor of House Bill 10-1361. Dr. Steele suggested that the oversight process for the Habitat Stamp Program contained in the bill is not onerous, and explained that the Division of Wildlife is not properly maintaining the property that it oversees. Dr. Steele spoke in favor of wise use of program resources.

05:57 PM -- Mr. Eddie Kochman, representing himself, testified in favor of the bill. Mr. Kochman discussed the stakeholder process that contributed to the crafting of the bill, and expressed support for the Habitat Stamp Program. Mr. Kochman suggested that the program was intended to include funding for operation and maintenance of property overseen by the Division of Wildlife, and recounted exchanges with the Division of Wildlife pertaining to the division's maintenance budget. Mr. Kochman further suggested that a budget shortfall looms for the Division of Wildlife. Mr. Kochman discussed the benefit of garnering the support of both sportsmen's and farm groups, and the lack of dialogue between the Division of Wildlife and stakeholders.

06:07 PM -- Mr. Ed Robinson, representing himself, testified in favor of House bill 10-1361. Mr. Robinson discussed the support of sportsmen for Division of Wildlife initiatives, and discussed conflicts inherent to the Habitat Stamp Program. Mr. Robinson discussed the lack of inclusion on the part of the division.

06:12 PM -- Mr. Larry Harris, representing himself, testified in favor of the bill. Mr. Harris discussed the unity of landowner and sportsmen groups in support of the bill, and discussed the importance of enhancing property acquired through the Habitat Stamp Program.

06:15 PM -- Mr. David Dunsmoor, representing the Colorado Sportsmen Wildlife Fund, testified in favor of House Bill 10-1361.

06:17 PM -- Mr. Denny Behrens, representing the Colorado Mule Deer Association, testified in favor of the bill. Mr. Behrens provided background on the creation and continuation of the Habitat Stamp Program, and discussed efforts to require that a percentage of property acquired under the program consist of wildlife migration corridors and winter range. Mr. Behrens also discussed the importance of properly maintaining lands acquired under the program, and the lack of effort on the part of the Division of Wildlife to address maintenance issues. Mr. Behrens discussed the benefits of committing a percentage of the program's revenues to property maintenance.

06:29 PM

Mr. Behrens responded to questions regarding management of properties that constitute migration corridors and winter range, and the Division of Wildlife's efforts to preserve such properties. Mr. Behrens responded to further questions regarding statewide meetings between the Division of Wildlife, the Wildlife Commission, and stakeholder groups, and the lack of communication between such groups.

06:38 PM -- Mr. Bill Canterbury, representing the Colorado Cattlemen's Association, testified in favor of House Bill 10-1361. Mr. Canterbury discussed the need for the Division of Wildlife to properly maintain properties managed by the division, and the failure of the division to address these issues.

06:40 PM -- Mr. Chris Roe, representing the Sportsmen's Advisory Group, testified in favor of the bill. Mr. Roe discussed divisions among sportsmen and landowners regarding the Habitat Stamp Program, and provided background on discussions between stakeholders pertaining to House Bill 10-1361. Mr. Roe addressed objections to the bill expressed by the Division of Wildlife, and the lack of communication between stakeholders and the division.

06:51 PM

Mr. Roe continued to provide background on stakeholder meetings concerning issues addressed by House Bill 10-1361, and to address objections to the bill raised by the Division of Wildlife.

07:01 PM

Mr. Roe continued to address objections to House Bill 10-1361 raised by the Division of Wildlife. Discussion ensued regarding the issues addressed in Senate Bill 09-235, and the need to pass House Bill 10-1361 prior to the meeting of the Habitat Stamp Program review committee created in Senate Bill 09-235.

07:12 PM

Discussion ensued regarding the impact of House Bill 10-1361 on law created by the passage of Senate Bill 09-235.

07:15 PM

No amendments were offered to House Bill 10-1361. Discussion ensued regarding the lack of communication between the Division of Wildlife and various stakeholders affected by the Habitat Stamp Program, and the need for additional legislation before the process implemented by Senate Bill 09-235 plays out. Committee members expressed their positions on House Bill 10-1361.


BILL:	HB10-1361
TIME:	07:21:39 PM
MOVED:	Nikkel
MOTION:	Moved to refer House Bill 10-1361 to the Committee of the Whole with favorable recommendation. The motion failed on a 5-5-1 roll call vote.
SECONDED:	Murray
		VOTE
	Casso	Yes
	Court	Excused
	DelGrosso	Yes
	Hullinghorst	No
	McCann	No
	Miklosi	No
	Murray	Yes
	Nikkel	Yes
	Waller	Yes
	Labuda	No
	Todd	No

Not Final YES: 5 NO: 5 EXC: 1 ABS: 0 FINAL ACTION: TIE


BILL:	HB10-1361
TIME:	07:22:37 PM
MOVED:	Todd
MOTION:	Moved to Postpone Indefinitely House Bill 10-1361. The motion failed on a 5-5-1 roll call vote.
SECONDED:	Labuda
		VOTE
	Casso	No
	Court	Excused
	DelGrosso	No
	Hullinghorst	Yes
	McCann	Yes
	Miklosi	Yes
	Murray	No
	Nikkel	No
	Waller	No
	Labuda	Yes
	Todd	Yes

Not Final YES: 5 NO: 5 EXC: 1 ABS: 0 FINAL ACTION: TIE

07:20 PM

The committee adjourned.