House Committee on State, Veterans, & Military Affairs (03/18/2015)

Final
STAFF SUMMARY OF MEETING

HOUSE COMMITTEE ON STATE, VETERANS, & MILITARY AFFAIRS

Date:	03/18/2015	ATTENDANCE

Time:	11:04 AM to 12:53 PM	Foote	*
		Humphrey	*
Place:	LSB A	Lontine	X
		Neville P.	X
This Meeting was called to order by		Primavera	X
	Representative Ryden	Tate	X
		Thurlow	X
This Report was prepared by		Tyler	*
	Jessika Shipley	Willett	X
		Salazar	X
		Ryden	X
		X = Present, E = Excused, A = Absent, * = Present after roll call

Bills Addressed:		Action Taken:
SB15-101 SB15-018 SB15-080		Postponed Indefinitely Postponed Indefinitely Postponed Indefinitely

11:05 AM -- SB15-101

Representative Pabon, sponsor, asked the committee to postpone indefinitely Senate Bill 15-101. Under current law, employers subject to the Colorado Wage Act must comply with certain restrictions regarding the methods used to pay wages. If an employer does not pay an employee in cash, the employer may elect to use a negotiable instrument, such as a check payable on demand, to pay wages. The use of company scrip to pay wages is prohibited. Employers may pay wages by direct deposit to an employee's financial institution if the employee authorizes this form of payment. Alternatively, under current law, employers may use a paycard without the employee's permission so long as the employee has the option to use another legal form of payment.

This bill amends the Colorado Wage Act to:

• clarify that an employee's written permission is required to pay wages by direct deposit;

• define a "paycard" as a card that provides an employee with immediate access to the employee's wages; and

• place additional controls on the use of paycards, including requiring the employer to provide an explanation of fees and offer a program, with at least two free withdrawals per pay period, that does not charge a monthly maintenance fee to use a paycard.


BILL:	SB15-101
TIME:	11:08:22 AM
MOVED:	Salazar
MOTION:	Postpone Senate Bill 15-101 indefinitely at the sponsor's request. The motion passed on a vote of 9-0, with 2 excused.
SECONDED:	Humphrey
		VOTE
	Foote	Excused
	Humphrey	Yes
	Lontine	Yes
	Neville P.	Yes
	Primavera	Yes
	Tate	Yes
	Thurlow	Yes
	Tyler	Excused
	Willett	Yes
	Salazar	Yes
	Ryden	Yes

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

11:10 AM -- SB15-018

Representative Neville, sponsor, presented Senate Bill 15-018. Under current law, motor vehicle registrations expire on the last day of the month at the end of each 12-month registration period. A 30-day grace period is granted before late fees are assessed. If a vehicle is not registered with the Department of Revenue (DOR) within the timeframe required by law, the vehicle owner is subject to a late fee of $25 for each month, or portion of a month, following the expiration of the registration period; except that the total late fee is capped at $100. Fee revenue is credited $10 to the county government registering a vehicle; remaining revenue is deposited into the Highway Users Tax Fund (HUTF) for subsequent distribution to the State Highway Fund (60 percent), counties (22 percent), and municipalities (18 percent).

The bill repeals the late vehicle registration fee for all motor vehicle types.

11:13 AM

Representative Neville distributed three documents containing data to support his presentation (Attachments A, B, and C). He responded to questions from the committee.

15HouseState0318AttachA.pdf

15HouseState0318AttachB.pdf

15HouseState0318AttachC.pdf

11:24 AM -- R.J. Hicks, representing the Colorado Motor Carriers' Association, testified in support of the bill with an amendment. Mr. Hicks spoke about the Funding Advancements for Surface Transportation and Economic Recovery Act (FASTER) and how it affects motor carriers. He discussed a possible amendment that would allow an exemption from late fee after a review process. He responded to questions from the committee.

11:37 AM -- Mizraim Cordero, representing the Colorado Competitive Council, testified in opposition to the bill. Mr. Cordero discussed the importance of infrastructure investment to keep up with ongoing population growth in Colorado.

11:39 AM -- Mark Radtke, representing the Colorado Municipal League, testified in opposition to the bill. Mr. Radtke discussed current exemptions to the FASTER late fee. He expressed his opinion that the grace period for registering a vehicle is adequate. He responded to questions from the committee.

11:43 AM -- Mark Ruzzin, representing Boulder County, testified in opposition to the bill. Mr. Ruzzin spoke about Boulder County transportation infrastructure that has been improved with FASTER funding.

11:45 AM -- Andy Karsian, representing the Colorado Department of Transportation, testified in opposition to the bill. Mr. Karsian expressed his opinion that any reduction in transportation funding should be balanced with an equal increase. He discussed bridge enterprise funding that would be affected by the bill. He responded to questions from the committee.

11:48 AM

Representative Neville wrapped up his presentation of the bill and asked for a favorable recommendation.


BILL:	SB15-018
TIME:	11:54:27 AM
MOVED:	Neville P.
MOTION:	Refer Senate Bill 15-018 to the Committee on Finance. The motion failed on a vote of 4-7.
SECONDED:	Tate
		VOTE
	Foote	No
	Humphrey	Yes
	Lontine	No
	Neville P.	Yes
	Primavera	No
	Tate	Yes
	Thurlow	No
	Tyler	No
	Willett	Yes
	Salazar	No
	Ryden	No

YES: 4 NO: 7 EXC: 0 ABS: 0 FINAL ACTION: FAIL


BILL:	SB15-018
TIME:	11:54:43 AM
MOVED:	Salazar
MOTION:	Postpone Senate Bill 15-018 indefinitely. The motion passed on a vote of 7-4.
SECONDED:	Foote
		VOTE
	Foote	Yes
	Humphrey	No
	Lontine	Yes
	Neville P.	No
	Primavera	Yes
	Tate	No
	Thurlow	Yes
	Tyler	Yes
	Willett	No
	Salazar	Yes
	Ryden	Yes

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

11:55 AM -- SB15-080

Representative Lundeen, sponsor, presented Senate Bill 15-080. Under current law, the Public Employees' Retirement Association (PERA) administers a defined benefit (DB) retirement plan and a defined contribution (DC) retirement plan. Only some employees from the state division may elect to join the DC plan. The bill removes this restriction, allowing all eligible individuals employed by any PERA affiliate to join the DC plan, effective January 1, 2016. These individuals will have the ability to join during the initial retirement benefit election period and thereafter are subject to the existing laws concerning participation and the termination of membership.

On January 1, 2016, the bill also permits all existing PERA members currently in the DB plan to opt into the DC plan. These existing PERA members must make an irrevocable written election during the annual open enrollment period and DC plans will be effective the first day of the annual state employees' group benefit plan year. Employees who switch to the DC plan from the DB plan must specify whether they want to:

terminate future DB contributions while maintaining their rights relative to any contributions or benefits accrued prior to such election; or

terminate membership in the DB plan and require PERA to pay all member contributions, accrued interest, and matching employer contributions to the DC plan.

11:59 AM -- Ben Moultrie, representing American Association of Retired Persons (AARP), testified in opposition to the bill. Mr. Moultrie expressed his opinion that the bill would make it more difficult for retired individuals to secure their future by increasing risk. He cited his experience as a financial planner. He responded to questions from the committee.

12:11 PM -- Greg Smith, representing PERA, testified in opposition to the bill. Mr. Smith spoke about the recent history of changes to PERA laws. He indicated that the bill amends one small portion of a very complex system without taking into consideration many other portions. He responded to questions from the committee.

12:21 PM

Mr. Smith continued to discuss PERA benefits in response to questions from the committee.

12:30 PM -- Mark Ruzzin, representing Boulder County, testified in opposition to the bill. Mr. Ruzzin stated that Boulder is the only county member in PERA and is the largest member in the local government division. He indicated that current law is working and does not need to be changed. He expressed his opinion that the bill would increase risk for retirees. He brought up future evaluations of PERA that he believes will help PERA make positive choices for the future.

12:34 PM -- Lauren Schreier, representing Legislative Council Staff, responded to questions from the committee about the fiscal note.

12:44 PM

Representative Lundeen wrapped up his presentation of the bill and asked for a favorable recommendation.


BILL:	SB15-080
TIME:	12:52:11 PM
MOVED:	Neville P.
MOTION:	Refer Senate Bill 15-080 to the Committee on Finance. The motion failed on a vote of 4-7.
SECONDED:	Humphrey
		VOTE
	Foote	No
	Humphrey	Yes
	Lontine	No
	Neville P.	Yes
	Primavera	No
	Tate	Yes
	Thurlow	Yes
	Tyler	No
	Willett	No
	Salazar	No
	Ryden	No

YES: 4 NO: 7 EXC: 0 ABS: 0 FINAL ACTION: FAIL


BILL:	SB15-080
TIME:	12:52:51 PM
MOVED:	Salazar
MOTION:	Postpone Senate Bill 15-080 indefinitely. The motion passed on a vote of 6-5.
SECONDED:	Foote
		VOTE
	Foote	Yes
	Humphrey	No
	Lontine	Yes
	Neville P.	No
	Primavera	Yes
	Tate	No
	Thurlow	No
	Tyler	Yes
	Willett	No
	Salazar	Yes
	Ryden	Yes

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

12:53 PM

The committee adjourned.