2019 house government and veterans affairs … · -grp-nola house government & veterans affairs...

2019 HOUSE GOVERNMENT AND VETERANS AFFAIRS COMMITTEE

HB 1036

2019 HOUSE STANDING COMMITTEE MINUTES

Government and Veterans Affairs Committee Fort Union Room, State Capitol

HB 1036 1/31/2019

31926

☐ Subcommittee

☐ Conference Committee

Committee Clerk Signature Carmen Hart

Explanation or reason for introduction of bill/resolution:

Relating to fiscal impacts of referred measures

Minutes: Attachments 1-3

Chairman Kasper opened the hearing on HB 1036. Claire Ness, Legislative Council, appeared. HB 1036 is somewhat related to HB 1035. The legislative council prepares fiscal impact statements for initiated measures by gathering information from the relevant state agencies and basically compiling it. However, there is not a provision for the legislative council to undertake that process for referred measures. Under HB 1035 those initiated and referred measures’ fiscal impact statements would be placed on the ballot. Under HB 1036, the legislative council would be required to prepare those statements for the referred measures in addition to initiated measures. Chairman Kasper: This is a companion to 1035? If 1035 occurs, 1036 is needed? Claire Ness: Correct. Vice Chair Steiner: Could Claire provide us with the votes from that commission so people can see that it was actually citizens that were the majority? Attachments 1-3. Rep. Louser: I looked up the makeup of the committee. There were 3 house members, 3 senate members, 7 governor-appointed members of the public that represented some different entities, 12 citizen members, and 6 legislators. That includes the secretary of state. Rep. Vetter: What is the difference between the two of these? Claire Ness: Under 1036 the legislative council would prepare the fiscal impact statements for referred measures which is something that we don’t currently do. Under 1035 the fiscal impact statements for initiated and referred measures would be printed on the ballot. Chairman Kasper closed the hearing.

House Government and Veterans Affairs Committee HB 1036 1/31/19 Page 2

Chairman Kasper opened the meeting on HB 1036 a little later to take action. (3:41) The referral is repealing a current statue that the legislature passed, and, therefore, the fiscal impact should be apparent from the history of that bill or that law we passed. This would be an easier decision for the secretary of state and those who are going to come up with the fiscal note, because it will be in the record of what we had done. Rep. Karls: I remember the tax referrals in the late 80s. The _ administration’s point of view was that the state was going bankrupt, so people who referred the tax measures had quite a different idea. It would have been interesting to see the fiscal note on that. Rep. Rohr made a motion for a DO PASS. Rep. Vetter seconded the motion. Rep. Louser: Looking at Line 21, this does also change the reporting from legislative management to legislative council. He read this. (5:32-5:52) It felt to me as we were in the commission that was repetitive. I struggle with the language. A roll call vote was taken. 10-3, 1 absent. Rep. Vetter will carry the bill.

2019 HOUSE STANDING COMMITTEE MINUTES

Government and Veterans Affairs Committee Fort Union Room, State Capitol

HB 1036 1/31/2019

31930

☐ Subcommittee


Committee Clerk Signature Carmen Hart


Relating to fiscal impacts of referred measures

Minutes:

Chairman Kasper opened a meeting on HB 1036. He asked if there is a motion for them to reconsider their action on 1036 this morning, or if everyone was happy? Rep. Schauer moved for reconsideration. Rep. Karls seconded the motion. Voice vote. Motion carries. Rep. Louser: I was able to get in touch with Claire Ness from legislative council and had this discussion with her. The process according to this bill would be that the fiscal year after a measure is in place, the entity that provided the fiscal note would have to provide to council the actual implementation of that measure and how it compared to what the estimate was going to be prior. By taking legislative management out of this process, we are providing to council after the fact what would have been given to council in an estimate in advance. I did clarify that legislative management rules could request that this report be given to management anyway, so we are not necessarily taking the legislators out of this process. I am more comfortable now. My motion would be to end discussion. Vice Chair Steiner seconded the motion. Voice vote. Motion carries.

2019 HOUSE STANDING COMMITTEE ROLL CALL VOTES

BILURESOLUTION NO. / 0 3 (a

House Government and Veterans Affairs

0 Subcommittee

Amendment LC# or Description:

Date: I - 5 I - ( c; --------Roll Call Vote#: --

Committee

----------------------Recommendation: O Adopt Amendment

�Do Pass O Do Not Pass 0 As Amended 0 Place on Consent Calendar

Other Actions: 0 Reconsider

0 Without Committee Recommendation 0 Rerefer to Appropriations

0

Motion Made By �- Ci? .,..Juv,-seconded By

Representatives Yes No Representatives Yes No Chairman Jim Kasper ')(, Rep. Pamela Anderson � Vice Chair Vicky Steiner y., Rep. Mary Schneider � Rep. Jeff Hoverson "I-Rep. Craig Johnson H Rep. Daniel Johnston )(_ Rep. Karen Karls 'I., Rep. Ben Koppelman ....L Rep. Vernon Laning -..../....

Rep. Scott Louser '!--' Rep. Karen Rohr )(j

Rep. Austen Schauer -f-. Rep. Steve Vetter �

Total (Yes) ____ ..........,/Q_ No ---=3 _____ _ Absent

Floor Assignment 112;. udk If the vote is on an amendment, briefly indicate intent:

Date: __ /_ ...... _"-3_/ -'_/7-'--


BILURESOLUTION NO. IO 3 �


D Subcommittee


Roll Call Vote #: l

Committee

-----------------------Recommendation: D Adopt Amendment

D Do Pass D Do Not Pass D As Amended D Place on Consent Calendar

Other Actions: _?£Reconsider

D Without Committee Recommendation D Rerefer to Appropriations

D

Motion Made By �. �

Seconded By

Representatives Yes No Chairman Jim Kasper Vice Chair Vicky Steiner Rep. Jeff Hoverson Rep. CraiQ Johnson Rep. Daniel Johnston Rep. Karen Karls Rep. Ben Koppelman Rep. Vernon Laning Rep. Scott Louser Rep. Karen Rohr Rep. Austen Schauer Rep. Steve Vetter

No Total

Absent

(Yes) -----------

Floor Assignment

If the vote is on an amendment, briefly indicate intent:

Representatives Yes No Rep. Pamela Anderson Rep. Mary Schneider

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BILL/RESOLUTION NO. � 3 b


D Subcommittee


v

Committee

-----------------------Recommendation: D Adopt Amendment

D Do Pass D Do Not Pass D As Amended

D Without Committee Recommendation D Rerefer to Appropriations

Other Actions: D Place on Consent Calendar

M ::! � 0 Reconsider /' ��

Motion Made By (1�, £�Seconded By � � . �

Representatives Yes No Representatives Yes No Chairman Jim Kasper Rep. Pamela Anderson Vice Chair Vicky Steiner Rep. Mary Schneider Rep. Jeff Hoverson Rep. Craig Johnson Rep. Daniel Johnston ' Rep. Karen Karls ' ..I�

Rep. Ben Koooelman I Ju � Rep. Vernon Laning � -J..._j_) Rep. Scott Louser I ) CJ Rep. Karen Rohr V'

xx-f' Rep. Austen Schauer -A � ,..:(2/-) Rep. Steve Vetter Y''-- �"JV V

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No Total

Absent

(Yes) ----------- ---------------

Floor Assignment

If the vote is on an amendment, briefly indicate intent:

Com Standing Committee Report February 1, 2019 2:52PM

Module ID: h_stcomrep_20_015 Carrier: Vetter

REPORT OF STANDING COMMITTEE HB 1036: Government and Veterans Affairs Committee (Rep. Kasper, Chairman)

recommends DO PASS (10 YEAS, 3 NAYS, 1 ABSENT AND NOT VOTING). HB 1036 was placed on the Eleventh order on the calendar.

(1) DESK (3) COMMITTEE Page 1 h_stcomrep_20_015

2019 SENATE GOVERNMENT AND VETERANS AFFAIRS

HB 1036

2019 SENATE STANDING COMMITTEE MINUTES

Government and Veterans Affairs Committee Sheyenne River Room, State Capitol

HB1036 3/8/2019 # 33430

☐ Subcommittee


Committee Clerk: Pam Dever


Relating to fiscal impacts of referred measures.

Minutes:

Chairman Davison: Let’s open the hearing. Any one in support? Claire Ness, Legislative Council (LC): I am here in a neutral capacity to explain this bill. This originated from the initiated/referral measure study commission. This is the statute that talks about the legislative management hearing for fiscal impact statements and the development of fiscal impact statements for initiated measure by L.C. This bill would require those fiscal impact statements to be developed for referred measures as well. (1.08) Chairman Davison: Any more testimony? Any against? Hearing is closed. Sen. Erin Oban: This bill is not a big deal no matter what we do on the last bill. (2.21) Chairman Davison: What are the committee wishes? Sen. Erin Oban: I move a DO PASS on HB1036. Sen. Kristin Roers: I second. Chairman Davison: Discussion? Take the roll: YES -- 7 NO -- 0 -0-absent. HB1036 PASSED. Sen. Kristin Roers will carry the bill. Done (3.21)

Date: Roll Call Vote#: /

2019 SENATE STANDING COMMITTEE

ROLL CALL VOTES /JRJ J j3� BILURESOLUTION Nd. ·-

Senate Government and Veterans Affairs

D Subcommittee


Committee

----------------------Recommendation: D Adopt Amendment

�o Pass D Do Not Pass D Without Committee Recommendation - d As Amended D Rerefer to Appropriations

D Place on Consent Calendar Other Actions: D Reconsider D

Motion Made By � • 06 � Seconded By � • �

Senators Yes No Senators Yes No

Chair Davison ----- Sen. Oban --Vice Chair Meyer ,..-- Sen. Marcellais ,,--Sen. Elkin --Sen. K. Roers --Sen. Vedaa -

Total

Absent

(Yes) _____ ....__ ___ No __ C) _________ _ -{)

Floor Assignment s� • � If the vote is on an amendment, briefly indicate i::

Com Standing Committee Report March 8, 2019 11 :49 AM

Module ID: s_stcomrep_ 41_002 Carrier: K. Roers

REPORT OF STANDING COMMITTEE HB 1036: Government and Veterans Affairs Committee (Sen. Davison, Chairman)

recommends DO PASS (7 YEAS, 0 NAYS, 0 ABSENT AND NOT VOTING). HB 1036 was placed on the Fourteenth order on the calendar.

(1) DESK (3) COMMITTEE Page 1 s_stcomrep_ 41_002

2019 TESTIMONY

HB 1036

NOLA, H GVA - Hart, Carmen

From:

Sent:

To:

Cc:

Subject:

Good morning,

Ness, Claire J.

Thursday, January 31, 2019 9:38 AM

-Grp-NOLA House Government & Veterans Affairs

NOLA, H GVA - Hart, Carmen; NOLA, Intern 09 - O'Neill, Seth

requested information

#1

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Per the requests from Representatives Anderson and Steiner during this morning's hearings on House Bill Nos. 1035,

1036, and 1037, I have attached two documents. The first is a copy of the minutes for the May 22, 2018, meeting of the

Initiated and Referred Measures Study Commission during which the votes to recommend House Bill Nos. 1035, 1036,

and 1037 were taken. I have highlighted the roll call votes on pages 2 and 3 of the minutes. The second is a page from

the minutes of the March 20, 2018, meeting of the commission during which information regarding the accuracy of fiscal

impacts was provided. I have highlighted the relevant portion of the minutes.

If you need additional information, please let me know.

Kind regards,

Claire

votes.pdf impacts.pdf

Claire J. Ness Counsel Legislative Council 600 East Boulevard A venue Bismarck, ND 58505 (701) 328-3208

1

19.5128.03000

NORTH DAKOTA LEGISLATIVE MANAGEMENT

Minutes of the

§ (, �) (:;

1 - :i-> I - I I

INITIATED AND REFERRED MEASURES STUDY COMMISSION

Tuesday, May 22, 2018 Roughrider Room, State Capitol

Bismarck, North Dakota

Surrogate Judge William A. Neumann, Chairman, called the meeting to order at 9:00 a.m.

Members present: Chairman Surrogate Judge William A. Neumann; Senators David Hogue, Gary A. Lee, Erin Oban; Representatives Scott Louser, Vicky Steiner; Citizen Members Nick Archuleta, Brent Bogar, Ellen Chaffee, Kirsten Diederich, Robert Hale, Pete Hanebutt, Alvin A. Jaeger, Jack McDonald, Sara Meier, Kayla Pulvermacher, Jonathan Sickler

Members absent: Representative Jim Kasper and Citizen Member Conner Swanson

Others present: Representative Corey Mock, Grand Forks, member of the Legislative Management See appendix for additional persons present.

It was moved by Senator Lee, seconded by Mr. McDonald, and carried on a voice vote that the minutes of the March 20, 2018, meeting be approved as distributed.

Resolution Draft Regarding Measures for Constitutional Amendments Requiring a Threshold Amount of Spending

Chairman Neumann called on Senator Hogue to present a resolution draft [19.3023.02000] for a constitutional amendment that would require biennial legislative approval of expenditures necessitated by approved initiated measures that amended the constitution, provided the expenditures exceed an amount equal to 1 percent of the general fund revenue for the previous biennium. Senator Hogue said, under the current laws for initiated measures, a nonresident can come into North Dakota and turn the state's budget and economy upside down permanently by putting large spending provisions in the state constitution. He said the system is vulnerable to this misuse, and his proposal would eliminate the vulnerability. He said large budget decisions should be addressed biennially as economic conditions and priorities change.

In response to a question from Mr. McDonald, Senator Hogue said the current process for determining fiscal impacts would be used to determine whether the 1 percent threshold is met.

Ms. Chaffee said the resolution draft would be contrary to the constitution.

Chairman Neumann said the resolution draft, if approved by voters, would become part of the constitution.

Mr. Hale said the people of North Dakota are capable of deciding what is good for them and should be able to place any provision they choose in the constitution. He said the resolution draft should include an amendment to Section I of Article Ill of the Constitution of North Dakota to make the impact of the resolution clear.

Ms. Pulvermacher said she opposes the resolution draft because North Dakotans can vote down measures they think are bad.

Senator Oban said she opposes the resolution draft. She said there is a legitimate concern about putting spending measures in the constitution, but the Legislative Assembly should not have veto authority over measures approved by the public.

In response to a question from Senator Oban, Senator Hogue said he would be willing to add the phrase "or identified cuts in current spending" to the draft so sponsoring committees could identify a funding cut rather than a new funding stream to pay for their measures.

Senator Lee said Senator Hogue's resolution draft would protect against some vulnerabilities for initiated measures. He said our government is not a direct democracy but rather a representative republic that gives the Legislative Assembly the authority to make budgeting decisions.

North Dakota Legislative Council May 22, 2018

1 9 .5128.03000 I nitiated and Referred Measures Study Commission

Mr. Jaeger said he had concerns about mandating spending in the constitution because the constitut ion can be changed only by a vote of the electorate. He said problems that arise by putting spending in the constitution may take years to correct.

In response to a question from Mr. Jaeger, Senator Hogue said the resolution draft would not change the Secretary of State's process for reviewing proposed petit ions.

It was moved by Senator Lee, seconded by Senator Hogue, and failed on a roll call vote that the committee approve the resolution draft requiring legislative approval of expenditures mandated by measures and recommend to the Legislative Management. Chairman Neuman ; Senators Hogue and Lee; Representative Louser; and Cit izen Members Bogar, Jaeger, and Meier voted "aye." Senator Oban; Representative Steiner; and Citizen Members Archuleta, Chaffee, Diederich, Hale, Hanebutt, McDonald, Pulvermacher, and Sickler voted "nay."

Bil l Draft Requiring Fiscal Impacts for Initiated Measures to be Pri nted on Bal lots Chairman Neumann called on Ms. Me ier to describe a b i ll draft [19,0055,01000] , which would requ ire the fiscal

impact statements to be printed on ballots to g ive voters add it ional information when they vote . Ms. Meier said fiscal impact statements m ust be determ ined for initiated measures under current law.

It was moved by Ms. Diederich, seconded by Mr. Hale, and carried on a roll call vote that the bill draft requiring fiscal impacts for initiated measures to be printed on ballots be approved and recommended to the Legislative Management. Chai rman Neumann; Senators Hogue , Lee, and Oban; Representat ives Louser and Steiner; and Citizen Members Jaeger, Archuleta, Bogar, Chaffee, Diederich, Hale , Hanebutt, McDonald, Me ier, Pulvermacher, and Sickler voted "aye." No negative votes were cast.

B i l l Drafts Requiring Fiscal Impact Statements for Referred Measures Chairman Neumann called on M r. Hale to describe a b i ll draft ( 1 9.0058,01000] that would requi re the Legislative

Cou ncil to coordinate the determination of a fiscal impact for each referred measure. He said the Legislative Cou ncil currently performs this function for initiated measu res only.

It was moved by Ms. Chaffee and seconded by Mr. Hale that the bill draft to require fiscal impact statements for referred measures be approved and recommended to the Legislative Management .

Mr. Jaeger said some overstruck l ines, especially l ines 9 through 1 8 on page 1 in the bill draft affect dut ies of the Secretary of State's office.

Ms. Chaffee withdrew her motion.

It was moved by Mr, Hale, seconded by Ms. Chaffee, and carried on a roll call vote that the bill draft be amended to eliminate the overstrike from lines 9 through 18 on page 1 . Chairman Neumann; Senators Hogue, Lee , and Oban; Representat ives Louser and Steiner; and Citizen Members Archuleta, Bogar, Chaffee , Dieder ich , Hale, Hanebutt, Jaeger, McDonald, Meier, Pulvermacher, and Sickler voted "aye." No negative votes were cast .

It was moved by Ms. Diederich, seconded by Mr. Hale, and carried on a roll call vote that the bill draft be amended to eliminate the overstri ke from line 24 on page 1 and line 1 on page 2 to retain the requirement the Legislative Council compare the original fiscal impact statement for a measure with the fiscal impact calculated for the first fiscal year after the measure was approved. Chairman Neumann; Senators Hogue , Lee , and Oban; Representatives Louser and Ste iner; and Citizen Members Chaffee, Diederich , Hale , Hanebutt , Jaeger, Meier, Pulvermacher, and S ickler voted "aye ." Citizen Member McDonald voted "nay. "

It was moved by Mr. Hale, seconded by Ms. Chaffee, and carried on a roll call vote that the bill draft relating to fiscal impact statements, as amended, be approved and recommended to the Leg islative Management. Chai rman Neumann; Senator Oban ; and Citizen Members Chaffee, Diederich, Hale, Jaeger, McDonald, Meier, Pulvermacher, and S ickler voted "aye . " Senators Hogue and Lee ; Representatives Louser and Steiner; and Citizen Member Hanebutt voted "nay."

Bi l l Draft Requiri ng Equal Reporti ng of Contributions from In-State and Out-of-State Contributors

Chairman Neumann called on Mr. Hale to present a b ill draft [19.0059,01 000] relating to e l im i nating the additional reporting requ i rements mandated for contributions to campaigns from out-of-state contr ibutors. Mr. Hale sa id the commiss ion may want to change the bill d raft to make the add it ional requirements apply to a l l contributions. He said doing so would requ ire campaign f inance reports to include the additional information for contributions from in-state and out-of-state contributors.

North Dakota Legis lative Council 2 May 22, 2018

Ff i H- B 1o� t::

, - � l · 1 9 1 9.51 28 .03000 I n itiated and Referred Measures Study Commission

Mr. Sickler said he was concerned about the impact that change would have on in-state contributors.

It was moved by Mr. Hale, seconded by Mr. Archuleta, and carried on a roll call vote that the bil l draft be amended by replacing the phrase "an out-of-state" with "any." Cha irman Neumann and Citizen Members Archuleta, Bogar, Chaffee, Diederich, Hale, Jaeger, McDonald , Meier, and Pulvermacher voted "aye . " Representatives Louser and Ste iner; Senators Hogue, Lee , and Oban; and Cit izen Members Hanebutt and Sickler voted "nay."

It was moved by Mr. Hale, seconded by Ms. Chaffee, and carried on a roll call vote that bil l draft relating to measure campaign contribution reports, as amended, be approved and recommended to the Leg is lative Management. Cha i rman Neumann; Senators Hogue, Lee , and Oban; and Cit izen Members Archuleta, Chaffee, D iederich, Hale, Jaeger, and McDonald voted "aye." Representatives Louser and Steiner and Citizen Members Meier, Pu lvermacher, and Sickler voted " nay. "

Bill Draft Regarding Petition Tit le and Ballot Language Requirements Chairman Neumann cal led on Ms. Chaffee to describe a bill draft [1 9 .0 100 . 0 1 000] to limit the petition title to

1 00 words. Ms. Chaffee said 1 00 words is sufficient to describe a measure . She said the bill draft also would requ ire the ballot language for a measure to be identical to the petition title. She said the goal of the bill draft is to provide clarity because ballot language is the most s ign if icant factor affecting the success or failure of a measure.

Mr. Jaeger said he strongly opposes this bill draft. He said the 1 00 -word l imit will create s ign ificant challenges, and the current system is working fine . He said his office has only 5 to 7 days to draft a petition title , and sometimes changes need to be made to that language before it is printed on the ballot.

Senator Hogue said the current process works and subjects the petition title and ballot language to the j udgment of two constitutional officers, the Attorney General and Secretary of State.

It was moved by Mr. Jaeger and seconded by Representative Steiner to not approve the bill draft relating to the petition title.

It was moved by Ms. Chaffee, seconded by Mr. Hale, and carried on a roll call vote to amend the motion not to approve the bill draft so that the rejection would apply only to line 14 of page 1 of the bil l draft, which would remove from the bill draft only the 100-word limit for petition titles and ballot language. Representatives Louser and Ste i ner; Senator Oban ; and C i tizen Members Archuleta, Bogar, Chaffee, D iederich, Hale , Meier, and Pulvermacher voted "aye." Chairman Neumann ; Senators Hogue and Lee; and Cit izen Members Hanebutt, Jaeger, and McDonald voted "nay. "

The amended motion to eliminate the 100-word limitation from the bill draft was carried on a roll cal l vote. Chairman Neumann ; Representatives Louser and Steiner; Senators Hogue, Lee , and Oban ; and Citizen Members Archuleta, Bogar, Chaffee, Diederich, Ha le, Jaeger, McDonald , Meier, Pulvermacher, and Sickler voted "aye." C itizen Member Hanebutt voted " nay. "

It was moved by Mr. Hale and seconded by Ms. Chaffee to approve the bill draft, as revised, and recommend the bil l draft to the Legislative Management.

Senator Hogue sa id l i nes 1 9 through 20 of page 2 of the b ill draft would confl ict with approved b ill draft [ 1 9.0055.01 000] which would requ ire f iscal impacts to be printed on ballots. He said the language on l ines 1 9 through 20 of page 2 would prohib i t any in formation about the measure other than the ballot la nguage to be printed on the ballot.

It was moved by Mr. Archuleta, seconded by Ms. Meier, and carried on a rol l cal l vote to amend Mr. Hale's motion so h is motion would be to approve the bill draft, as revised, with an additional change to remove the underscored language on lines 1 9 through 20 of page 2. Chai rman Neumann ; Representatives Louser and Ste ine r; Senators Hogue, Lee, and Oban ; and Cit izen Members Archuleta, Bogar, Chaffee, Diederich, Hale, Jaeger. McDonald, Meier, Pulvermacher, and Sicker voted "aye . " No negative votes were cast.

The amended motion to approve the revised bill draft, relating to petition titles, and recommend the bill draft to the Legislative Management fai led on a roll call vote. Senator Oban and Citizen Members Archuleta, Chaffee, Diederich, Hale, Meier, and Pulvermacher voted "aye ." Cha irman Neumann; Representatives Louser and Ste iner ; Senators Hogue and Lee: and C itizen Members Bogar, Jaeger, McDona ld , and S ickler voted "nay. "

North Dakota Legislative Counc i l 3 May 22, 201 8

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19.5128 .03000

l -7:> t - 1 9 I n itiated and Referred Measures Study Commission

Bill Draft Providing for Mediation for Disputes Over Petition Titles Chairman Neumann called on Ms. Chaffee to describe a bill draft [1 9.0101 .02000) to provide for binding

mediation by an administrative law judge if there are disag reements between a sponsoring committee and the Secretary of State over the petition title language for an initiated measure. Ms . Chafee sa id the bill draft would require the administrative law judge to issue a decision within 7 days after the Secretary of State informs the sponsoring committee of the petit ion title language.

Mr. Jaeger said he is concerned a bout the fast timing of the mediation schedule and cannot support the b ill draft.

Ms . Chaffee said a sponsoring commi ttee should not have to appeal to the North Dakota Supreme Court if it does not like the Secretary of State's language.

Mr. McDonald said the mediat ion timeline is not practi cal . He said the administrative law judges would have to be paid, and the b ill draft is not workable. He said there should be trust in the state's constitutional officers.

Senator Hogue said the bill draft likely would require a constitutional a mendment creating an exception to the requirement any decision by the Secretary of State concerning an initiated measu re be appealed to the Supreme Court.

Cha i rman Neumann said administrative law judges likely are not trained to serve as mediators .

It was moved by Mr. Sickler, seconded by Ms. Pu lvermacher, and failed on a rol l cal l vote that the bil l draft re lating to mediation of petition titles be approved and recommended to the Legislative Management. Citizen Members Chaffee , Diederich, Hale , Pulvermacher, and Sickler voted "aye . " Chairman Neumann ; Representatives Louser and Steiner; Senators Hogue, Lee , and Oban; and Citizen Members Boga r, Jaeger, McDonald, and Meier voted "nay."

Resolution Draft Permitting Sponsoring Committees to Obtain Drafting Assistance from the Legislative Council

Chairman Neumann said this resolution draft [1 9,3022,02000] would amend the constitution to give sponsoring committees the option to obta in drafting assistance from the Legislative Council staff.

Mr. Jaeger said the language of the resolution draft should be placed in North Dakota Century Code, not the state constitution.

It was moved by Mr. Hale, seconded by Senator Oban, and carried on a rol l cal l vote to request the Legislative Council staff to develop statutory language to accomplish the goal of the reso lution draft. Chairman Neumann; Representative Louser; Senators Hogue, Lee , and Oban; and Citizen Members Chaffee, Diederich, Hale, Jaeger, McDonald, Meier, Pulvermacher, and Sickler voted "aye." Representative Steiner and Citizen Member Hanebutt voted "nay."

The Legislative Council staff said the statutory language could be "Pursuant to guidelines provided by the legislative management, the leg islat ive council may provide drafting services for an init iated measure sponsoring committee to ensure the initiated measure conforms to legislative council form and style d rafting gu idelines. The legislative council may not a lter the intent of the sponsoring committee of a proposed init iated measure." The Legislative Council staff said the language could be placed at the end of Chapter 1 6.1 -0 1 .

It was moved b y Senator Oban, seconded b y Mr. Archu leta, and carried o n a rol l cal l vote that a bi l l draft al lowing the Legislative Council to provide drafting assistance to an initiated measure sponsoring committee be approved and recommend to the Legislative Management. Chairman Neumann; Representatives Louser and Ste iner; Senators Hogue, Lee, and Oban; and Citizen Members Archuleta, Chaffee, Diederich , Hale , Jaeger, McDonald , Meier, Pulvermacher, and Sickler voted "aye ." No negative votes were cast.

Resolution Draft Revising the Process for Initiated Measures Representative Louser said he would withdraw his resolution draft [1 9.30 1 9.0 1 000] . which the commission had

discussed in its March 20, 20 1 8 , meeting . from consideration .

Bill Draft and Resolution Draft to Revise Initiated Measure Process Chairman Neumann called on Ms. Me ier to present a bill draft [ 1 9.01 50.01000] and its companion resolution

draft (19 3036 01 000] to amend Centu ry Code and the state constitut ion to make severa l changes to the in itiated measure process. The Legislative Council staff distributed a memorandu m entitled Timeline for Process in Bill Draft

{19 0150.010001 setting out the steps in the new process that the drafts would create .

North Dakota Legislative Council 4 May 22, 2018

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1 9.51 28.03000 . '3 1 - 1 7

I n itiated and Referred Measures Study Commission

Ms. Meier said her goal i n request ing the drafts was to have the Legislative Council staff involved earlier and more often in the draft ing of measures and preparation of fiscal impact statements . She sa id she also wanted to allow public comments on the content and fiscal impact of measures early in the process.

Mr. McDonald sa id public comments would not sway the sponsoring committees, and the public would not know the fiscal impact on governmental entities. He also said he d id not think constitutional changes were necessary to effectuate the statutory changes in the b i ll draft.

Resolution Draft Allowing Nonresident Petition C ircu lators Chairman Neuman n called on Mr. Hale to present a resolution draft [ 19,3008.0 1 000) to allow nonresidents to

circulate petitions for i n it iated measures if the circulators agreed to be subject to jurisd iction in North Dakota courts.

Mr. Jaeger sa id the Eighth Circuit Court of Appeals upheld the current state law prohibit ing nonresident ci rculators, and there have been problems with nonresident circulators in the past.

Representative Steiner said she agrees with Mr. Jaeger, and North Dakotans need to protect the state constitution from interference by nonresi dents.

It was moved by Senator Oban, seconded by Representative Steiner, and carried on a rol l cal l vote that the resolution draft relating to nonres ident petition circulators not be approved. Chairman Neumann ; Representatives Louser and Steiner; Senators Hogue, Lee, and Oban ; and C it izen Members D iederich, Jaeger, McDonald, Meier, Pulvermacher, and Sickler voted "aye." Citizen Members Chaffee and Hale voted "nay. "

Resolution Drafts Requ iring Constitutional Amendments to be Voted on at General Elections Chairman Neumann called on Mr. Hale to present two resolution drafts [1 9,3018,01 000] and [19,3024,01000] .

Mr. Hale said both drafts would require measures to amend the state constitution to appear on the ballot at general elections. He withdrew resolution draft [19,3024.01 000] .

Ms. Diederich withdrew a resolution d raft [19.3021.01000) because the draft would accomplish the same thing as a resolution draft presented by Mr. Hale (19,30 1 8 . 0 1 000] .

I t was moved by Senator Oban, seconded by Ms. Pulvermacher, and carried on a rol l cal l vote that resolution draft [19.3018.01 000] not be approved. Chairman Neumann ; Representatives Louser and Steiner ; Senators Hogue, Lee, and Oba n ; and Citizen Members Chaffee, Diederich, Jaeger, McDonald, Meier, Pulvermacher, and S ickler voted "aye." C it izen Members Hale and Hanebutt voted "nay. "

Resolution Drafts Changing Requirements for Constitutional Amendments Chairman Neuman n called on Mr. Sickler to present three resolution drafts [1 9,3037.01000] . [19,3038.01000] .

and [19.3039,01 000]. Mr. Sickler sa id the first resolution draft (19.3037.01000] would increase the number of petit ion signatures required to place a constitutional amendment on the ballot. He said the goal of the resolution draft was to provide more permanence and stabil ity to the state constitution .

Ms. Chaffee said the proposal wou ld violate the provision in Article Ill of the Constitution of North Dakota that says the right to i n it iate measures will not be impaired or restricted .

Cha irman Neumann sa id Mr. S ickler's proposal is for a constitutional amendment and would not violate that provision .

Mr. Hale said legislators can put a constitut ional measure on the ballot with about 1 00 votes.

Mr. Jaeger sa id the threshold number of petition signatures has been changed in the past.

Mr. Sickler said another resolution d raft [19.3038 .0 1 000] would require at least 60 percent of the votes on a constitutional amendment to be affirmative for the amendment to become effective. He said current law requ i res only a majority of affirmative votes. He sa id it is not uncommon for other states to require a supermajority to pass a constitutional amendment. He said doing so helps d iscern voters' i ntentions, requires more voter consensus, supports the stab ility of the state constitution , and makes it less likely the amendment will be reversed in a later election .

Mr. Sickler sa id the third resolution d raft [19,3039,01000] would impose a "single subject" rule on measures for constitutional amendments. He sa id the resolution draft is based on language from a provision in Colorado, but is simllar to provis ions in several states that requ i re measures for constitut ional amendments to address on ly one subject.

North Dakota Legis lative C ouncil 5 May 22, 2018

ft_ � H t'"?) I v � I,&' t- � ' - ' c,

19.5128.03000 In itiated and Referred Measures Study Commiss ion

I n response to a question from Mr. Jaeger, Mr . Sickler said the resolution draft would likely require lit igation to define the terms "subject" and "clearly expressed." He said constitutional amendments that cover several subjects are confusing to voters and make it difficult to gauge voters' intentions.

SUMMARY OF VOTES In response to a request from members of the commission , the Legislative Council staff identified which drafts

had been approved, withdrawn, or defeated during the meeting. She said the following drafts had been approved--1 9 .0055 .01 000, 1 9 .0058.02000 as amended, 1 9 .0059.02000 as amended, and 1 9 . 3022.02000 as amended. She said the following drafts had been withdrawn-- 1 9 .3019.0 1 000, 1 9 . 302 1 . 0 1 000, and 1 9 . 3024 .0 1 000. She said the following drafts had failed or been not approved on roll call votes-- 1 9 .0 1 00 . 0 1 000, 1 9 .0 1 0 1 .02000 , 1 9 .3008 .01 000, 1 9 .30 1 8 .0 1 000, and 1 9.3023.02000 . She said no motions were made to approve the remain i ng drafts d iscussed at the meeting were made.

It was moved by Mr. Archuleta, seconded by Ms. Steiner, and carried on a voice vote that the Chairman and the Legislative Counci l staff be requested to prepare a report and the bi l l drafts and resolution drafts recommended by the commission and to present the report and recommended drafts to the Leg islative Management.

It was moved by Mr. Archuleta, seconded by Senator Oban, and carried on a voice vote that the commission be adjourned sine die.

No further business appearing, Chairman Neumann adjourned the commiss ion sine die at 3:30 p.m .

Claire Ness Counsel

ATTACH: 1

North Dakota Legislative Council 6 May 22, 2018

;- ; t:· 19.5119.03000

I Init iated and Referred Measures Study Commission

It was moved by Mr. Hale, seconded by Mr. Swanson, that the resolution draft to require the Legislative Council to draft measures requested by sponsoring committees be approved and recommended to the Leg islative Management.

Ms. Chaffee sa id she would li ke sponsoring committees to have the option of using the Leg islative Council's draft ing services rather than being requi red to use them.

Mr. Bogar said he wonders what the amended resolution draft would accomplish because sponsoring committees already have this option.

Mr. Jaeger said he agrees with Mr. Bogar, but the public may not know about th is option. However, he said, he is concerned about amending the constitution to address this issue.

After this discussion, the motion was withdrawn.

It was moved by Ms. Chaffee , seconded by M r. Archuleta, and carried on a roll call vote that the Legislat ive Council staff be requested to amend the resolution by removing "as drafted by the legislative council" on line 20 of page 1 , changing "shall" to "may" on line 2 of page 2, and changing "drafting committee" to "sponsoring committee" on the same line . Citizen Member Neumann; Senators Hogue, Lee, and Oban ; Representatives Kasper, Louser, and Steiner; and Citizen Members Archuleta , Bogar, Chaffee, Hale, Hanebutt, Jaeger, McDonald, Meier, Pulvermacher, Sickler, and Swanson voted "aye." No negative votes were cast.

Bill Drafts Regarding Fiscal Impact Notes for Initiated and Referred Measures Chairman Neumann called on Mr. Hale to present bill drafts (19,0055.01 000] and [19.0058 .01 000] regarding

fiscal i mpact notes for initiated and referred measures. Mr. Hale presented an alternative b ill draft (Appendix B) to ( 1 9.0058.01000] which he prepared. He said the alternative b ill draft would repeal North Dakota Century Code Section 1 6. 1 -0 1 -1 7 . which requires the Leg islative Council to coordinate the development of fiscal impact notes for initiated measures. He said fiscal impact notes only are estimates and should be developed by experts h ired by proponents and opponents of init iated measu res to provide information to voters.

Representative Kasper said the Appropriations Committee and the Legislative Council a re the only experts when it comes to a proposal that affects spending and budgeting.

Mr. Hale said the Leg islative Council and Legislative Management cannot determine a fiscal impact for most initiated measures, but, when they do, the estimate is g iven the imprimatu r of bein g official. He sa id fiscal impact notes prepared by North Dakota universities should have the same credib il ity as estimates coordinated by the Legislative Management.

Chairman Neumann requested the Leg islative Council staff to present information on fiscal notes for initiated measures prepared s ince Section 1 6.1 -0 1 - 1 7 was enacted. The Leg islative Council staff said actual fiscal impacts could not be determined for most initiated measures approved by voters . She said the estimated fiscal impact of a 2008 initiated measure that established a tobacco prevention and control advisory committee and fund was $ 1 3 .8 m illion , and the actual cost was calculated after the measure had been in effect for a year to be $ 1 4 . 1 million.

Resolution Draft and Bil l Draft Regard ing Out-of-State Contributions To Measure Committees and Nonresident Petition Ci rculators

Cha irman Neumann called on Mr. Hale to present a resolution draft [ 1 9,3008.01 000] regard ing nonres ident petition circulators and a bill draft [19.0059.01 000] regarding reporting requirements for contributions to measure committees from out-of-state contributors. Mr. Hale said the bill draft was intended to remove language requir ing special reporting for out-of-state contributions wh ich likely would be struck down by a court as unconstitutional. He said out-of-state contributions should be subject to the same rules as i n -state contributions. He sa id North Dakota should allow non resident petition c irculators because it is hard to find residents who can take time off from work to circulate petitions. He said the nonresident petition circulators would have to agree to be subject to the jurisdiction of North Dakota courts .

Senator Oban said in-state and out-of-state contributions should be treated the same.

Mr. Jaeger said the Eighth Circuit Cou rt of Appeals has upheld the requirement that petition circulators be res idents . and he is concerned about non residents who make a l iv ing c i rculating petitions.

North Dakota Legislative Council March 20, 2018

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