House Committee on Judiciary (03/06/2014)

Final
STAFF SUMMARY OF MEETING

HOUSE COMMITTEE ON JUDICIARY

Date:	03/06/2014	ATTENDANCE

Time:	01:37 PM to 06:28 PM	Buckner	X
		Court	X
Place:	HCR 0112	Gardner	X
		Lawrence	X
This Meeting was called to order by		McLachlan	X
	Representative Kagan	Murray	X
		Pettersen	X
This Report was prepared by		Salazar	X
	Bo Pogue	Waller	X
		Lee	X
		Kagan	X
		X = Present, E = Excused, A = Absent, * = Present after roll call

Bills Addressed:		Action Taken:
HB14-1162 HB14-1280 HB14-1187		Amended, Referred to Appropriations Amended, Referred to the Committee of the Whole Witness Testimony and/or Committee Discussion Only

01:37 PM -- HB14-1162

The committee was called to order. A quorum was present. Representative Landgraf, prime sponsor, presented House Bill 14-1162, concerning protection of the victim of a sexual assault in cases where a child was conceived as a result of the sexual assault, and, in connection therewith, making legislative changes in response to the study by and the report of the recommendations from the Task Force on Children Conceived through Rape. The committee heard testimony on the bill at its February 27 meeting. Representative Kagan discussed the process by which the committee would hear the bill. Representative Salazar explained the effect of prepared amendment L.014 (Attachment A). The amendment strikes everything below the enacting clause. Discussion ensued regarding the position of stakeholders on the amendment.

14HseJud0306AttachA.pdf


BILL:	HB14-1162
TIME:	01:39:25 PM
MOVED:	Salazar
MOTION:	Adopt amendment L.014 (Attachment A). The motion passed without objection.
SECONDED:	Kagan
		VOTE
	Buckner
	Court
	Gardner
	Lawrence
	McLachlan
	Murray
	Pettersen
	Salazar
	Waller
	Lee
	Kagan

YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION:

01:44 PM

Representative Kagan explained the effect of prepared amendment L.019 (Attachment B). Discussion ensued regarding the merits of the amendment. Representative Landgraf provided input on the position of stakeholders on the amendment. Discussion ensued on this point. Ms. Dorothy Macias, representing the Office of the Child's Representative and the Task Force on Children Conceived through Rape, clarified the task force's discussions on the time frame for a court to hear a petition to terminate a parent-child relationship under the bill. Ms. Maureen Cain, representing the Colorado Criminal Defense Bar, testified in support of amendment L.019. She discussed the work of the task force on the timing for petitioning to terminate a parent-child relationship under the bill, and provided her position on this timing.

14HseJud0306AttachB.pdf

02:02 PM

Ms. Macias responded to questions regarding the value of establishing 120 days as the time frame for the parent-child relationship termination petition, as compared 180 days. Ms. Cain responded to questions regarding the position of various stakeholders on the issue.

02:13 PM

Ms. Cain responded to questions regarding the process by which a parent-child relationship is terminated under the bill, and the timeline of this process. Representative Gardner discussed the speed with which a court is able to entertain a family law issue. Ms. Cain addressed Representative Gardner's remarks. Ms. Debbie Haskins, Office of Legislative Legal Services, provided input on amendment L.019.


BILL:	HB14-1162
TIME:	01:44:47 PM
MOVED:	Kagan
MOTION:	Adopt amendment L.019. The motion passed on a vote of 6-5.
SECONDED:	Lee
		VOTE
	Buckner	Yes
	Court	Yes
	Gardner	No
	Lawrence	No
	McLachlan	No
	Murray	No
	Pettersen	Yes
	Salazar	Yes
	Waller	No
	Lee	Yes
	Kagan	Yes

YES: 6 NO: 5 EXC: 0 ABS: 0 FINAL ACTION: PASS


BILL:	HB14-1162
TIME:	02:24:32 PM
MOVED:	Kagan
MOTION:	Amend prepared amendment L.019, page 3, line 24, strike "twenty" and substitute "eighty"; page 8, line 40, strike "twenty" and substitute "eighty". The motion was withdrawn.
SECONDED:	Court
		VOTE
	Buckner
	Court
	Gardner
	Lawrence
	McLachlan
	Murray
	Pettersen
	Salazar
	Waller
	Lee
	Kagan

YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION:

02:27 PM

Representative Kagan explained the effect of prepared amendment L.015 (Attachment C). Discussion ensued regarding the merits of the amendment.

14HseJud0306AttachC.pdf
BILL:	HB14-1162
TIME:	02:27:57 PM
MOVED:	Kagan
MOTION:	Adopt amendment L.015 (Attachment C). The motion passed on a vote of 6-5.
SECONDED:	Lee
		VOTE
	Buckner	No
	Court	Yes
	Gardner	No
	Lawrence	No
	McLachlan	Yes
	Murray	No
	Pettersen	Yes
	Salazar	Yes
	Waller	No
	Lee	Yes
	Kagan	Yes

YES: 6 NO: 5 EXC: 0 ABS: 0 FINAL ACTION: PASS

02:35 PM

Representative Kagan explained the effect of prepared amendment L.018 (Attachment D). Ms. Karen Moldovan, representing the Colorado Coalition Against Sexual Assault, and Ms. Amy Miller, representing the Colorado Coalition Against Domestic Violence, testified regarding the amendment. Discussion ensued regarding the merits of the amendment. Ms. Moldovan and Ms. Miller expressed concerns regarding the amendment.

14HseJud0306AttachD.pdf


BILL:	HB14-1162
TIME:	02:35:57 PM
MOVED:	Kagan
MOTION:	Adopt amendment L.018 (Attachment D). The motion was withdrawn.
SECONDED:	Lee
		VOTE
	Buckner
	Court
	Gardner
	Lawrence
	McLachlan
	Murray
	Pettersen
	Salazar
	Waller
	Lee
	Kagan

YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION:

02:51 PM

The committee discussed the potential for reconsidering amendment L.019, and the process by which the amendment might be reconsidered.


BILL:	HB14-1162
TIME:	02:51:49 PM
MOVED:	Gardner
MOTION:	Refer House Bill 14-1162, as amended, to the Committee on Appropriations. The motion was withdrawn.
SECONDED:	Salazar
		VOTE
	Buckner
	Court
	Gardner
	Lawrence
	McLachlan
	Murray
	Pettersen
	Salazar
	Waller
	Lee
	Kagan

YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION:

02:56 PM

The committee recessed.

03:11 PM

The committee returned to order. The committee further discussed reconsideration of amendmens to House Bill 14-1162.


BILL:	HB14-1162
TIME:	03:11:51 PM
MOVED:	Kagan
MOTION:	Reconsider amendment L.014. The motion passed on a vote of 9-0.
SECONDED:	Court
		VOTE
	Buckner	Yes
	Court	Yes
	Gardner	Yes
	Lawrence	Excused
	McLachlan	Yes
	Murray	Excused
	Pettersen	Yes
	Salazar	Yes
	Waller	Yes
	Lee	Yes
	Kagan	Yes

YES: 9 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: PASS


BILL:	HB14-1162
TIME:	03:12:55 PM
MOVED:	Kagan
MOTION:	Adopt amendment L.014. The motion passed without objection.
SECONDED:	Court
		VOTE
	Buckner
	Court
	Gardner
	Lawrence
	McLachlan
	Murray
	Pettersen
	Salazar
	Waller
	Lee
	Kagan

YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB14-1162
TIME:	03:16:28 PM
MOVED:	Kagan
MOTION:	Adopt amendment L.020 (Attachment E). The motion passed on a vote of 6-5. 14HseJud0306AttachE.pdf
SECONDED:	Court
		VOTE
	Buckner	Yes
	Court	Yes
	Gardner	No
	Lawrence	No
	McLachlan	No
	Murray	No
	Pettersen	Yes
	Salazar	Yes
	Waller	No
	Lee	Yes
	Kagan	Yes

YES: 6 NO: 5 EXC: 0 ABS: 0 FINAL ACTION: PASS


BILL:	HB14-1162
TIME:	03:13:57 PM
MOVED:	Kagan
MOTION:	Adopt amendment L.019. The motion failed on a vote of 0-11.
SECONDED:	Court
		VOTE
	Buckner	No
	Court	No
	Gardner	No
	Lawrence	No
	McLachlan	No
	Murray	No
	Pettersen	No
	Salazar	No
	Waller	No
	Lee	No
	Kagan	No

YES: 0 NO: 11 EXC: 0 ABS: 0 FINAL ACTION: FAIL


BILL:	HB14-1162
TIME:	03:13:05 PM
MOVED:	Kagan
MOTION:	Reconsider amendment L.019. The motion passed on a vote of 9-0.
SECONDED:	Court
		VOTE
	Buckner	Yes
	Court	Yes
	Gardner	Yes
	Lawrence	Excused
	McLachlan	Yes
	Murray	Excused
	Pettersen	Yes
	Salazar	Yes
	Waller	Yes
	Lee	Yes
	Kagan	Yes

YES: 9 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: PASS


BILL:	HB14-1162
TIME:	03:18:23 PM
MOVED:	Gardner
MOTION:	Refer House Bill 14-1162, as amended, to the Committee on Appropriations. The motion passed on a vote of 11-0.
SECONDED:	Court
		VOTE
	Buckner	Yes
	Court	Yes
	Gardner	Yes
	Lawrence	Yes
	McLachlan	Yes
	Murray	Yes
	Pettersen	Yes
	Salazar	Yes
	Waller	Yes
	Lee	Yes
	Kagan	Yes

Final YES: 11 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS

03:19 PM -- HB14-1280

Representative Dore, prime sponsor, presented House Bill 14-1280, concerning limits on liability for agritourism. Representative Dore explained the effect of the bill and discussed its need. The following persons testified regarding House Bill 14-1280:

03:25 PM -- Mr. Al White, representing the Colorado Tourism Office, testified in support of the bill. Mr. White discussed work done by his office in conjunction with those who conduct agritourism businesses, and the concerns expressed by these operators about liability for activities taking place on their properties. He also discussed the benefits of agritourism. Mr. White responded to questions regarding immunity provisions in other states similar to that contained in the bill, and the need for liability limits for agritourism. Mr. White responded to further questions regarding zoning for agritourism in Colorado.

03:31 PM -- Mr. Mark Hillman, representing the Colorado Civil Justice League and himself, testified in support of House Bill 14-1280 and forthcoming amendment L.003 (Attachment F). Mr. Hillman explained the effect of the amendment.

14HseJud0306AttachF.pdf

03:33 PM -- Mr. Nicholas Colglazier, representing the Colorado Farm Bureau, testified in support of the bill. He discussed the benefits of agritourism.

03:36 PM

Representative Dore explained the effect of amendment L.003.


BILL:	HB14-1280
TIME:	03:36:57 PM
MOVED:	Kagan
MOTION:	Adopt amendment L.003 (Attachment F). The motion passed without objection.
SECONDED:	Court
		VOTE
	Buckner
	Court
	Gardner
	Lawrence
	McLachlan
	Murray
	Pettersen
	Salazar
	Waller
	Lee
	Kagan

YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB14-1280
TIME:	03:37:41 PM
MOVED:	Kagan
MOTION:	Refer House Bill 14-1280, as amended, to the Committee of the Whole. The motion passed on a vote of 11-0.
SECONDED:	Court
		VOTE
	Buckner	Yes
	Court	Yes
	Gardner	Yes
	Lawrence	Yes
	McLachlan	Yes
	Murray	Yes
	Pettersen	Yes
	Salazar	Yes
	Waller	Yes
	Lee	Yes
	Kagan	Yes

Final YES: 11 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS

03:38 PM -- HB14-1187

Representative Swalm, prime sponsor, presented House Bill 14-1187, concerning consumer protection from excess damages for repair of rental vehicles. Representative Swalm explained the effect of the bill, and discussed its need. Representative Swalm discussed a Colorado Supreme Court case involving a rental car involved in an accident where the rental company charged the renter for costs in excess of the damages to the car plus verifiable lost income. Representative Swalm discussed the outcome of the case and its implications. In response to questions, Representative Swalm further clarified the effect of the bill. Representative Swalm responded to further questions about the bill's treatment of the diminished value of a damaged car.

03:50 PM

The following persons testified regarding House Bill 14-1187:

03:50 PM -- Mr. Brendan Powers, representing State Farm Insurance, consumers, and the Colorado Defense Lawyers' Association, testified in support of the bill. Mr. Powers explained that he considers the bill to be a consumer protection bill, and discussed the cost recovery guidelines for car renters contained in the bill. He outlined the car rental process, and provided an overview of the Supreme Court case discussed earlier. Mr. Powers responded to questions regarding the bill's impact on loss-of-use claims by rental car companies. Mr. Powers returned to discussing the Supreme Court case. Mr. Powers discussed some cases he has litigated involving large recoveries for repairs to rental cars and associated costs, and the potential for rental car companies to abuse the cost recovery process.

04:08 PM

Mr. Powers continued to discuss potential abuses by rental car agencies in the damage cost recovery process. Mr. Powers discussed the potential impact of these collections operations on consumers, and ways in which rental companies grow claims against consumers who have damaged rental cars. Mr. Powers discussed the agreements that consumers must enter into to acquire rental cars, and the utility of damage insurance offered by rental car companies in certain situations. Mr. Powers discussed the types of damage to cars for which rental car companies seek diminished value claims.

04:22 PM

Mr. Powers responded to questions regarding the ability of rental car companies to recover certain costs under the bill. Mr. Powers responded to additional questions regarding recovery of loss-of-use claims under the bill. He stated that the bill is a simple, straight-forward solution to a very complicated problem. He discussed other states' laws on this issue. He rebutted possible claims that the bill would affect rental rates.

04:29 PM

Representative Lawrence spoke about the length of time required for repairs. Mr. Powers said that fleet companies may have different experiences and wait times at repair shops than private individuals. Discussion continued between Representative Lawrence and Mr. Powers, with Representative Lawrence noting that she is a fleet owner. Representative Swalm asked Mr. Powers to address concerns that language in the bill related to "reasonable" and "rational" damages may create uncertainty and litigation. Mr. Powers spoke about the benefits of this language for consumers. He continued to discuss how similar laws operate in other states.

04:34 PM

Representative Gardner discussed his reaction to a case that Mr. Powers previously described. He explained his impression of how the bill relates to that case. Mr. Powers responded to Representative Gardner's remarks. Mr. Powers discussed what he views to be the self-regulating nature of the bill.

04:38 PM -- Mr. Stephen Christiansen and Mr. David Purinton, both representing PurCo Fleet Services, Inc., testified in opposition to the bill. Mr. Christiansen spoke about his involvement in the cases that Mr. Powers discussed. Mr. Purinton provided an overview of PurCo Fleet Services, Inc., and then moved on to a discussion of litigation on this issue. He spoke about coverage that already exists for the situations addressed by the bill. Mr. Purinton listed his concerns with the bill. He discussed the effects of repairs on the value of a car. Mr. Purinton suggested that the cases discussed during earlier testimony may constitute fraud and other crimes, and addressed other issues raised during this testimony.

04:48 PM

Mr. Purinton discussed the facts of the Supreme Court case previously referenced. He responded to questions regarding loss-of-use charges levied by rental car companies during the damages recovery process, and the rate at which loss-of-use recoveries should be allowed. Mr. Purinton responded to questions regarding how his company generates income, and the rates charged by the company.

05:02 PM

Discussion ensued regarding the Supreme Court case and the fact pattern involved. Representative McLachlan discussed a case he litigated involving extensive damage to a rental car and resulting loss-of-use charges. Mr. Purinton responded to questions regarding the availability of loss-of-use coverage when a person rents a car and opts for insurance. Mr. Purinton responded to questions regarding the inability of rental car companies to recover loss-of-use costs in California.

05:13 PM

Discussion ensued regarding the formula contained in House Bill 14-1187 for tallying damage recovery by rental car companies, and the implications of the Supreme Court case with respect to this formula. Discussion followed regarding the requirement in the bill that damage recoveries by rental car companies must be "reasonably and rationally" related to the actual loss incurred. Mr. Christiansen clarified the concept of loss of use, and provided an example of loss of use.

05:24 PM

Mr. Christiansen responded to questions regarding the loss-of-use doctrine in the rental car environment. Discussion ensued regarding the propriety of the General Assembly addressing diminution of value for rental cars. Discussion returned to the facts of the referenced Supreme Court case.

05:31 PM -- Mr. Jeff Jenkins, representing Enterprise Holdings Inc., testified in opposition to House Bill 14-1187. Mr. Jenkins read testimony providing background on the economics associated with operating a rental car fleet, and outlined some proposed changes to the bill. He discussed the costs in both time and money associated with repairing rental cars. Mr. Jenkins responded to questions regarding the eight-hour benchmark contained in the bill's rental car cost recovery formula, and the potential for amending this benchmark.

05:43 PM

Discussion ensued regarding the origins of the "reasonable and rational" doctrine contained in the bill. Mr. Jenkins returned to expressing concerns with House Bill 14-1187, and proposing amendments to the bill. Mr. Jenkins discussed the potential impact of the bill on rental car rates and insurance rates. Mr. Jenkins responded to questions regarding the rate at which rental car damages go unpaid, and the impact of the nonpayment of these damages. Mr. Jenkins discussed the potential impact of the bill on the rental car industry. Representative McLachlan discussed a claim for damages for a car he rented. Discussion ensued regarding the potential for amending the administrative cost provision in the bill.

05:55 PM

Mr. Jenkins responded to questions regarding his previous assertion that House Bill 14-1187 constitutes an attack on the rental car industry. Mr. Jenkins responded to further questions regarding the work that goes into repairing a rental car, and the administrative costs associated with these repairs.

06:00 PM -- Ms. Linda Springer, representing State Farm Insurance, testified in support of the bill. Ms. Springer discussed the types of insurance available to rental car customers. Ms. Springer responded to questions regarding the ability of rental car companies to recover diminution of value on damaged rental cars under the bill. Discussion ensued regarding this point. Ms. Springer responded to questions regarding the administrative costs incurred by insurance companies when investigating rental car damage claims, and the allowance of diminution of value claims in California. Discussion followed regarding the recovery of diminution of value by rental car companies.

06:08 PM

No amendments were offered to House Bill 14-1187. Representative Swalm provided closing remarks in support of the bill, and addressed the recovery of diminution of value provision in bill. He also addressed issues raised during testimony. Committee members provided their positions on the bill. Discussion ensued regarding the ability of rental car companies to recover diminution of value on damaged cars under the bill.

06:20 PM

The committee continued to discuss the merits of House Bill 14-1187. Discussion ensued regarding the potential for laying the bill over for further exploration of certain issues.

06:25 PM

House Bill 14-1187 was laid over until March 11 for action only.

06:28 PM

The committee adjourned.