Final
STAFF SUMMARY OF MEETING

HOUSE COMMITTEE ON FINANCE
Date:03/03/2005
ATTENDANCE
Time:09:32 AM to 11:19 AM
Benefield
X
Cloer
X
Place:HCR 0107
Crane
X
Frangas
X
This Meeting was called to order by
Garcia
X
Representative Vigil
Jahn
X
Marshall
X
This Report was prepared by
Massey
*
Ron Kirk
May M.
E
McCluskey
X
Witwer
X
Judd
X
Vigil
X
X = Present, E = Excused, A = Absent, * = Present after roll call
Bills Addressed: Action Taken:
SB05-159
SB05-172
SB05-073
HB05-1299
Referred to the Committee of the Whole
Referred to the Committee of the Whole
Referred to Committee on Appropriations
Amended, Referred to Committee on Appropriations


09:33 AM -- Senate Bill 05-159 - Concerning Fitzsimons Nursing Home

Representative Plant, prime sponsor, explained that Senate Bill 05-159 is a Joint Budget Committee (JBC) bill which authorizes the Department of Human Services to use General Fund moneys to cover any operational shortfall incurred by the Fitzsimons Nursing Home. Representative Plant closed by saying that the bill would allow the JBC to approve a supplemental appropriation for operational expenses for the center and that the bill addresses the on-going quality-care issues at the nursing home resulting from revenue shortfalls.

The committee discussed state nursing home facilities and their general operating costs. Representative Vigil commented that all state nursing homes are operating with a deficit.












BILL:SB05-159
TIME: 09:40:37 AM
MOVED:McCluskey
MOTION:Refer SB 05-159, to the Committee of the Whole. The motion passed on a 12-0-1 vote.
SECONDED:Marshall
VOTE
Benefield
Yes
Cloer
Yes
Crane
Yes
Frangas
Yes
Garcia
Yes
Jahn
Yes
Marshall
Yes
Massey
Yes
May M.
Excused
McCluskey
Yes
Witwer
Yes
Judd
Yes
Vigil
Yes
Final YES: 12 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS


09:42 AM -- Senate Bill 05-172 - Concerning Group Benefit Plans

Representative Plant, prime sponsor, began by discussing two group benefits plans. He explained that Senate Bill 05-172 specifies that the moneys in the Group Benefit Plans Reserve Fund and the Premium Stabilization Reserve Account are not general assets of the state. The bill restricts the purposes for which moneys in the Reserve Fund may be expended in the event the Department of Personnel and Administration enters into or renews contracts for self-funded group benefit plans. The bill clarifies that moneys in the Reserve Account, as an account within the Reserve Fund, shall not be included in state revenues. Representative Plant commented that the bill prohibits moneys in the Reserve Fund and the Reserve Account from being appropriated by the General Assembly or expended by the department for any other purpose.

















BILL:SB05-172
TIME: 09:43:54 AM
MOVED:Cloer
MOTION:Refer SB 05-172, to the Committee of the Whole. The motion passed on a 12-0-1 vote.
SECONDED:Marshall
VOTE
Benefield
Yes
Cloer
Yes
Crane
Yes
Frangas
Yes
Garcia
Yes
Jahn
Yes
Marshall
Yes
Massey
Yes
May M.
Excused
McCluskey
Yes
Witwer
Yes
Judd
Yes
Vigil
Yes
Final YES: 12 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS


09:46 AM -- Senate Bill 05-073 - Concerning Work After Retirement By PERA Retirees For PERA Employers

Representative Jahn, prime sponsor, explained the provisions of the bill and gave the committee a packet of handouts on the PERA reform provisions in Senate Bill 05-073. The handout package included three news articles on events that led to the legislation (Attachments A, B, and C) and a PERA handout stating its support for Senate Bill 05-073 (Attachment D). She explained that the reengrossed bill revises statutes governing the Public Employees' Retirement Association (PERA) by:

The following persons testified:

09:49 AM --
Mr. Ben Stein, Deputy State Treasurer, testified in support of the legislation and gave the committee an overview of the events that led to the legislation. Mr. Stein distributed a handout to the committee (Attachment E) and commented that the legislation was in response to the State Treasurer's concern about the unfunder status of the state employee retirement plan.

10:00 AM -- Mr. Rob Gray, PERA, testified in support of the bill and commented on the amortization equalization disbursement under the bill. Mr. Gray commented that the bill would be good legislation even if PERA did not have an unfunded liability. Mr. Gray commented that the bill expands the type of work that retirees engage in which employers must make an employer contribution for PERA purposes.
BILL:SB05-073
TIME: 10:11:05 AM
MOVED:Jahn
MOTION:Refer SB 05-073, to the Committee on Appropriations. The motion passed on a 12-0-1 vote.
SECONDED:Garcia
VOTE
Benefield
Yes
Cloer
Yes
Crane
Yes
Frangas
Yes
Garcia
Yes
Jahn
Yes
Marshall
Yes
Massey
Yes
May M.
Excused
McCluskey
Yes
Witwer
Yes
Judd
Yes
Vigil
Yes
Final YES: 12 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS

















10:12 AM -- House Bill 05-1299 - Concerning the Colorado State Income Tax Checkoff Program


Representative Vigil, prime sponsor, discussed the provisions of House Bill 05-1299 relating to the Colorado state income tax checkoff programs. He began by explaining that the bill eliminates the current provisions which require a committee of reference in each house of the General Assembly to hold a hearing prior to the termination, continuation, or reestablishment of a voluntary contribution program. Representative Vigil continued by saying that current law requires each voluntary contribution program to receive at least $150,000 for each income tax year that the program appears on the state income tax form in order to remain on the form in the following income tax year. House Bill 05-1299 changes the $150,000 threshold or the minimum requirement in the bill. Representative Vigil closed by saying that under current law, no more than a maximum of 12 voluntary contributions can appear on the state income tax return. He stated that the bill changes this requirement as well.

Representative Vigil commented that he would recommend that the qualifying threshold be changed from $150,000 to $50,000 and the cap be expanded from 12 to 15 programs. The committee discussed Representative Vigil's recommendations. Representative Witwer commented on whether the fixed list of checkoff programs on the state income tax form needs to be rotated each year to determine whether the order of the checkoffs influences contribution amounts.

The following person testified:

10:40 AM -- Ms. Janet Stephens, Family Resources Centers, responded to committee questions and discussed the history of the checkoff program that led to the $150,000 statutory threshold.
BILL:HB05-1299
TIME: 10:49:45 PM
MOVED:Vigil
MOTION:Moved a conceptual amendment that would change the $150,000 threshold for program continuation to $50,000. (The following substitute motion by Representative Cloer passed on a 7-5-1 vote.)
SECONDED:McCluskey
VOTE
Benefield
Cloer
Crane
Frangas
Garcia
Jahn
Marshall
Massey
May M.
Excused
McCluskey
Witwer
Judd
Vigil
Not Final YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: TIE







BILL:HB05-1299
TIME: 10:50:36 AM
MOVED:Cloer
MOTION:Moved a substitute conceptual amendment that would change the $150,000 threshold for program continuation to $75,000. The motion passed on a 7-5-1 vote.
SECONDED:Benefield
VOTE
Benefield
Yes
Cloer
Yes
Crane
No
Frangas
No
Garcia
No
Jahn
Yes
Marshall
Yes
Massey
Yes
May M.
Excused
McCluskey
No
Witwer
Yes
Judd
Yes
Vigil
No
Not Final YES: 7 NO: 5 EXC: 1 ABS: 0 FINAL ACTION: PASS
BILL:HB05-1299
TIME: 11:13:31 AM
MOVED:Vigil
MOTION:Moved a conceptual amendment that would cap the number of checkoff programs at 15 rather than 12. After the substitute motion by Representative Garcia failed, this motion passed on a 8-4-1 vote.
SECONDED:Benefield
VOTE
Benefield
Yes
Cloer
No
Crane
No
Frangas
Yes
Garcia
No
Jahn
Yes
Marshall
Yes
Massey
No
May M.
Excused
McCluskey
Yes
Witwer
Yes
Judd
Yes
Vigil
Yes
Not Final YES: 8 NO: 4 EXC: 1 ABS: 0 FINAL ACTION: PASS



BILL:HB05-1299
TIME: 11:14:16 AM
MOVED:Garcia
MOTION:Moved a substitute conceptual amendment that would cap the number of checkoff programs at 10 rather than 12 programs. The motion failed on a 9-3-1 vote.
SECONDED:Cloer
VOTE
Benefield
No
Cloer
Yes
Crane
Yes
Frangas
No
Garcia
Yes
Jahn
No
Marshall
No
Massey
No
May M.
Excused
McCluskey
No
Witwer
No
Judd
No
Vigil
No
Not Final YES: 3 NO: 9 EXC: 1 ABS: 0 FINAL ACTION: FAIL
BILL:HB05-1299
TIME: 11:17:26 AM
MOVED:Vigil
MOTION:Refer HB 05-1299, as amended, to the Committee on Appropriations. The motion passed on a 9-3-1 vote.
SECONDED:McCluskey
VOTE
Benefield
Yes
Cloer
No
Crane
No
Frangas
Yes
Garcia
No
Jahn
Yes
Marshall
Yes
Massey
Yes
May M.
Excused
McCluskey
Yes
Witwer
Yes
Judd
Yes
Vigil
Yes
Final YES: 9 NO: 3 EXC: 1 ABS: 0 FINAL ACTION: PASS


11:19 AM

Adjourn.