House Committee on Business Affairs and Labor (01/27/2009)

Final
STAFF SUMMARY OF MEETING

HOUSE COMMITTEE ON BUSINESS AFFAIRS AND LABOR

Date:	01/27/2009	ATTENDANCE

Time:	09:49 AM to 11:49 AM	Balmer	X
		Bradford	X
Place:	HCR 0112	Gagliardi	X
		Liston	X
This Meeting was called to order by		Priola	*
	Representative Rice	Ryden	X
		Scanlan	X
This Report was prepared by		Soper	X
	Christie Lee	Stephens	X
		Casso	X
		Rice	X
		X = Present, E = Excused, A = Absent, * = Present after roll call

Bills Addressed:		Action Taken:
HB09-1091 HB09-1052 HB09-1053		Amended, Referred to the Committee of the Whole Amended, Referred to the Committee of the Whole Amended, Referred to Appropriations

09:52 AM -- House Bill 09-1091

Representative Soper and Representative Court, prime sponsors, presented House Bill 09-1091 concerning a requirement that carbon monoxide alarms be installed in residential properties that was previously heard on January 13, 2009. This bill requires that all single and multi-family dwellings sold after July 1, 2009, be equipped with carbon monoxide alarms near bedrooms if the dwelling has:

a fuel burning heater or appliance;
a fireplace; and/or
an attached garage.

Further, the bill requires that any building permit issued for new construction of a single or multi-family dwelling, including rental properties, be subject to the same provisions.

The bill establishes requirements for the maintenance and installation of alarms in rental properties and requires that prior to renting to a new tenant a landlord must replace or repair an existing alarm, as needed. A multi-family rental building may be installed with an alarm near the central heating unit in the building if the alarm is able to notify a responsible person. The bill permits a local government to set more stringent requirements for the installation of alarms. Finally, the bill grants immunity from liability to any person who properly installs or maintains a carbon monoxide alarm.

09:54 AM

Representative Balmer asked the sponsors to address his concern of having a state building code law. Representative Soper stated that some of the amendments address that concern.


BILL:	HB09-1091
TIME:	09:57:24 AM
MOVED:	Soper
MOTION:	Moved amendment L.006 (Attachment A). The motion passed without objection.
SECONDED:	Balmer
		VOTE
	Balmer
	Bradford
	Gagliardi
	Liston
	Priola
	Ryden
	Scanlan
	Soper
	Stephens
	Casso
	Rice

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB09-1091
TIME:	09:59:36 AM
MOVED:	Soper
MOTION:	Moved amendment L.007 (Attachment B). The motion passed without objection.
SECONDED:	Balmer
		VOTE
	Balmer
	Bradford
	Gagliardi
	Liston
	Priola
	Ryden
	Scanlan
	Soper
	Stephens
	Casso
	Rice

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection

10:00 AM

Representative Liston asked about the International Building Code that is set to adopt a carbon monoxide detector requirement soon. Representative Soper confirmed that rule would come into effect in March.


BILL:	HB09-1091
TIME:	10:02:35 AM
MOVED:	Soper
MOTION:	Moved amendment L.008 (Attachment C). The motion passed without objection.
SECONDED:	Balmer
		VOTE
	Balmer
	Bradford
	Gagliardi
	Liston
	Priola
	Ryden
	Scanlan
	Soper
	Stephens
	Casso
	Rice

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection

10:03 AM

Representative Balmer discussed amendment L.011 which would add dormitories, living halls, or apartments of a state college or university to the carbon monoxide requirements in the bill. A discussion ensued over whether to include state colleges or universities in the bill without talking to them first and the fiscal impact adding them might have on the bill.


BILL:	HB09-1091
TIME:	10:04:56 AM
MOVED:	Balmer
MOTION:	Moved amendment L.011 (Attachment D). The motion failed 6-5.
SECONDED:	Priola
		VOTE
	Balmer	Yes
	Bradford	Yes
	Gagliardi	No
	Liston	Yes
	Priola	Yes
	Ryden	No
	Scanlan	No
	Soper	No
	Stephens	Yes
	Casso	No
	Rice	No

Not Final YES: 5 NO: 6 EXC: 0 ABS: 0 FINAL ACTION: FAIL

10:22 AM

Representative Liston discussed amendment L.009 which would add the Colorado School for the Deaf and the Blind to the carbon monoxide requirements in the bill. A discussion ensued over whether to include the school in the bill without talking to them first and the fiscal impact adding them might have on the bill. Representative Liston withdrew amendment L.009.


BILL:	HB09-1091
TIME:	10:23:06 AM
MOVED:	Liston
MOTION:	Moved amendment L.009 (Attachment E). The motion was withdrawn.
SECONDED:	Balmer
		VOTE
	Balmer
	Bradford
	Gagliardi
	Liston
	Priola
	Ryden
	Scanlan
	Soper
	Stephens
	Casso
	Rice

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: WITHDRAWN

10:24 AM

Representative Liston talked about amendment L.010 that he said he will not offer in committee which would add state nursing homes to the bill as well. Representative Balmer said there are five state nursing homes in the state for veterans and that he feels that should be looked at that in the future. Representative Balmer expressed concerns that the bill allows local governments to only pass a more stringent carbon monoxide laws, but not a less stringent. Representative Soper stated that one of the earlier amendments that passed addressed this issue and said the amendment changed the bill to say "or local government ordinance" on page six. Representative Balmer felt that page nine should be changed as well. A discussion ensued about whether page 9 needs to be changed to be consistent with page 6. Representative Court said she asked the drafter to look into it. Representative Liston discussed adding the additional entities that were brought up earlier in amendments L.009, L.010, and L.011 to the bill later in the process. Representative Scanlan pointed out that the bill in meant to be a starting place. Representative Stephens said she believes the bill can be funded to accommodate adding the entities provided in amendments L.009, L.010, and L.011. Representative Rice thanked the witnesses that presented to the committee at the January 13 meeting.


BILL:	HB09-1091
TIME:	10:49:01 AM
MOVED:	Soper
MOTION:	Moved to refer House Bill 09-1091, as amended, to the Committee of the Whole. The motion passed 9-2.
SECONDED:	Casso
		VOTE
	Balmer	No
	Bradford	No
	Gagliardi	Yes
	Liston	Yes
	Priola	Yes
	Ryden	Yes
	Scanlan	Yes
	Soper	Yes
	Stephens	Yes
	Casso	Yes
	Rice	Yes

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

10:49 AM -- House Bill 09-1052

Representative Waller, prime sponsor, presented House Bill 09-1052 concerning limitations on the solicitation of donated items that will be sold for profit. HB09-1052 requires a for-profit entity who places a bin in a public place for the collection of donated items that will later be sold for profit to affix a disclosure label on the bin that states that items left in the bin will be sold for profit and are not tax-deductable. Representative Waller explained that people will donate items to these for-profit bins thinking that they donated them to a nonprofit. He said that Goodwill Industries has stated that these unmarked bins have adversely affected their donations. Representative Waller responded to questions about the number of bins that exist and what types of items are placed in the bins.

10:56 AM -- Lorrie Molli, representing Good Will Industries of Colorado Springs, testified in support of the bill. She said they have noticed these for-profit bins that are unmarked or marked asking for donations for charitable purposes. Ms. Molli said they do not want to remove these bins, they just want to inform the public and keep them from being misled. Representative Gagliardi asked whether the bill would effect bake sales or fund-raisers. Representative Waller explained that the bill only effects donation bins and does not remove them, it just requires them to be marked. Representative Ryden said she noticed that most of these bin owners are fraudulent companies and whether the bill will help regulate those companies. Representative Waller said it will not curb fraudulent companies, but it will protect the nonprofit companies. Representative Liston asked what some of the for-profit companies are and how big the sign would be required to be. Representative Waller said the bill requires the label to be conspicuously displayed in a typed or printed clearly legible form.

11:07 AM -- Richard Berninzoni, representing Good Will Industries of Denver, testified in support of the bill. He talked about the effect the economy has on donations. Mr. Berninzoni said the bill gives a level playing field for all organizations. He talked about the for-profit bins and what happens to the donated goods and explained that some of the for-profit companies rent a charity name and only give about four percent to the charity. Representative Ryden asked whether those organizations that give only four percent to charity would fall under the bill since they do give a certain amount to the charity. Representative Waller responded stating that the bill states that all the items must go to the charity.


BILL:	HB09-1052
TIME:	11:13:41 AM
MOVED:	Balmer
MOTION:	Moved amendment L.001 (Attachment F). The motion passed without objection.
SECONDED:	Stephens
		VOTE
	Balmer
	Bradford
	Gagliardi
	Liston
	Priola
	Ryden
	Scanlan
	Soper
	Stephens
	Casso
	Rice

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection

11:15 AM

Representative Waller gave some closing remarks on the bill and talked about the importance of charitable organizations in this economy.


BILL:	HB09-1052
TIME:	11:17:33 AM
MOVED:	Balmer
MOTION:	Moved to refer House Bill 09-1052, as amended, to the Committee of the Whole. The motion passed 10-0.
SECONDED:	Liston
		VOTE
	Balmer	Yes
	Bradford	Yes
	Gagliardi	Yes
	Liston	Yes
	Priola	Yes
	Ryden	Yes
	Scanlan	Yes
	Soper	Yes
	Stephens	Yes
	Casso	Yes
	Rice	Excused

Final YES: 10 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS

11:18 AM -- House Bill 09-1053

Representative Balmer, prime sponsor, presented House Bill 09-1053 concerning the regulation of financial institutions under the authority of the banking board. This bill repeals the "Colorado Foreign Capital Depository Act" which regulates how a financial institution can conduct business in Colorado as a foreign capital depository (FCD). In addition, the bill replaces the executive officer of an industrial bank with the executive officer of a licensed money transmitter, on the banking board.

An FCD in the United States is a financial institution chartered by the state to provide financial services to citizens and corporations of foreign countries. In November 2007, the banking board ordered the involuntary liquidation of American Intercapital Holding, LLC, the only FCD operating in Colorado. The board found that an emergency existed that could result in serious losses to depositors. There are no FCDs chartered in Colorado at this time. Representative Balmer talked about the issues that have come up with FCDs and noted that there has only been one FCD in Colorado and discussed the problems they have faced. He offered the following amendments:

Amendment L.001 (Attachment G);

Amendment L.002 (Attachment H);

Amendment L.003 (Attachment I);

Amendment L.004 (Attachment J);

11:26 AM -- Fred Joseph, Colorado Bank Commissioner, explained what an FCD is, and that it is similar to an offshore bank, but in the United States. He walked the committee through the amendments and explained what each one does.

11:36 AM -- Jery Payne, drafter of the bill from the Office of Legislative Legal Services (OLLS), responded to a question from Representative Gagliardi about why the word "regulations" was struck on page 8 of the bill. Representative Balmer explained that OLLS has a charge to update statutes as they write bills and that is just an update to the statute. Mr. Payne explained that in Colorado we use rules and the federal level uses regulations.

11:36 AM

Mr. Joseph continued discussing the amendments.

11:37 AM -- Barbara Walker, representing the Independent Bankers of Colorado, testified on the amendments. She explained that amendment L.002 clarifies the procedure of how safe deposit boxes are garnished to creditors and requires creditors go through the courts and obtain a court order rather than through the bank. Ms. Walker talked about the other amendments.


BILL:	HB09-1053
TIME:	11:43:47 AM
MOVED:	Balmer
MOTION:	Moved amendment L.001 (Attachment G). The motion passed without objection.
SECONDED:	Stephens
		VOTE
	Balmer
	Bradford
	Gagliardi
	Liston
	Priola
	Ryden
	Scanlan
	Soper
	Stephens
	Casso
	Rice

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB09-1053
TIME:	11:44:22 AM
MOVED:	Balmer
MOTION:	Moved amendment L.002 (Attachment H). The motion passed without objection.
SECONDED:	Stephens
		VOTE
	Balmer
	Bradford
	Gagliardi
	Liston
	Priola
	Ryden
	Scanlan
	Soper
	Stephens
	Casso
	Rice

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB09-1053
TIME:	11:44:43 AM
MOVED:	Balmer
MOTION:	Moved amendment L.003 (Attachment I). The motion passed without objection.
SECONDED:	Stephens
		VOTE
	Balmer
	Bradford
	Gagliardi
	Liston
	Priola
	Ryden
	Scanlan
	Soper
	Stephens
	Casso
	Rice

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB09-1053
TIME:	11:45:04 AM
MOVED:	Balmer
MOTION:	Moved amendment L.004 (Attachment J). The motion passed without objection.
SECONDED:	Stephens
		VOTE
	Balmer
	Bradford
	Gagliardi
	Liston
	Priola
	Ryden
	Scanlan
	Soper
	Stephens
	Casso
	Rice

Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB09-1053
TIME:	11:47:54 AM
MOVED:	Balmer
MOTION:	Moved to refer House Bill 09-1053, as amended, to the Committee on Appropriations. The motion passed 10-0.
SECONDED:	Stephens
		VOTE
	Balmer	Yes
	Bradford	Yes
	Gagliardi	Yes
	Liston	Yes
	Priola	Yes
	Ryden	Yes
	Scanlan	Yes
	Soper	Yes
	Stephens	Yes
	Casso	Yes
	Rice	Excused

Final YES: 10 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS

11:49 AM

The committee adjourned.