J_SRC_2017A 01/20/2017 12:00 PM Committee Summary

Date:	01/20/2017	ATTENDANCE
Time:	12:10 PM to 01:34 PM	Arndt	X
		Hooton	X
Place:	SCR 352	Kerr	X
		Martinez Humenik	X
This Meeting was called to order by		Nordberg	X
	Senator Moreno	Tate	X
		Thurlow	X
This Report was prepared by		Brad Ramming, Esq.	X
	Jessica Wigent	Patrice Bernadette Collins, Esq.	E
		Moreno	X
		X = Present, E = Excused, A = Absent, * = Present after roll call

Bills Addressed:		Action Taken:
1. Selection of chair and vice-chair 2a. Uniform Trust Decanting Act correction 2b. List of reports in Legislative Council Staff database 2bi. Education and Higher Education 2bii. Secretary of State 2bix. Revenue 3. Next meeting?		Committee Vote - Final Action Failed Recommendation(s) Approved Witness Testimony and/or Committee Discussion Only Witness Testimony and/or Committee Discussion Only Recommendation(s) Approved Recommendation(s) Approved -

12:10 PM -- 1. Selection of chair and vice-chair

Senator Moreno nominated Senator Martinez Humenik to be chair of the Committee.

BILL:	1. Selection of chair and vice-chair
TIME:	12:11:01 PM
MOVED:
MOTION:	Senator Moreno nominated Senator Martinez Humenik to be chair of the Committee.
SECONDED:
		VOTE
	Arndt
	Hooton
	Kerr
	Martinez Humenik
	Nordberg
	Tate
	Thurlow
	Brad Ramming, Esq.
	Patrice Bernadette Collins, Esq.	Excused
	Moreno
YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection

12:11 PM -- 1. Selection of chair and vice-chair

Senator Martinez Humenik nominated Senator Moreno to be chair of the Committee.

BILL:	1. Selection of chair and vice-chair
TIME:	12:11:59 PM
MOVED:
MOTION:	Senator Martinez Humenik nominated Senator Moreno to be chair of the Committee.
SECONDED:
		VOTE
	Arndt
	Hooton
	Kerr
	Martinez Humenik
	Nordberg
	Tate
	Thurlow
	Brad Ramming, Esq.
	Patrice Bernadette Collins, Esq.	Excused
	Moreno
YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection

12:13 PM -- 2a. Uniform Trust Decanting Act correction





12:13 PM -- Kristen Forrestal, Office of Legislative Legal Services, introduced the issue, a one-word mistake in the Uniform Trust Decanting Act (Act), which was drafted by the Uniform Law Commission. She also explained that while the change, replacing the word "second" with "first", seems like it might fit under the Revisor's Bill, it is a substantive change. A memo setting forth staff's position was provided to the Committee (attached).DecantingMemo_OLLS.pdf



12:14 PM -- Leticia Maxfield, an attorney representing the Trust and Estates section of the Colorado Bar Association, testified that Colorado was one of the first states in the country to adopt the Act. Subsequently, the Uniform Law Commission noted that there was an error in the tax savings section of the Act; the law refers to a "second trust" when it should've referred to the "first trust". Ms. Maxfield explained that the error makes the language nonsensical and not in compliance with IRS rules and regulations.

*Committee member Patrice Collins also prepared a memo explaining why the change was needed (attached).Collins_UTDAMemo.pdf

BILL:	2a. Uniform Trust Decanting Act correction
TIME:	12:17:14 PM
MOVED:	Senator Moreno
MOTION:	Senator Moreno moved that LLS 17-801.01 be introduced as an SRC bill. The motion passed without objection.
SECONDED:
		VOTE
	Arndt
	Hooton
	Kerr
	Martinez Humenik
	Nordberg
	Tate
	Thurlow
	Brad Ramming, Esq.
	Patrice Bernadette Collins, Esq.	Excused
	Moreno
YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection

12:26 PM -- 2b. List of reports in Legislative Council Staff database



Ms. Forrestal noted the first ten reporting bills that had been approved by the Committee in the December meeting. Since 1996, reports to the General Assembly made by executive branch agencies or the judicial branch automatically expire on their third anniversary, pursuant to section 24-1-136 (11)(a)(I), C.R.S. (reporting statute). She explained that a large number of reporting requirements in the Colorado Revised Statutes are in conflict with the reporting statute, because they have continued long past their third anniversary, and that, pursuant to the Committee's charge, the reporting bills drafted for this meeting are meant to bring the reporting requirements in alignment with the reporting statute.





12:43 PM -- 2bi. Education and Higher EducationEducationReports_DraftBill.pdf





12:46 PM -- Jennifer Mello, from Brandeberry-Mckenna, a contract lobbying firm representing the State Board of Education and the Department of Education, walked the Committee through a spreadsheet of the reporting requirements included in the draft bill, as well as the Board and the Department's perspective on those requirements. After Representative Thurlow moved to introduce the bill, the Committee members continued their discussion and decided to table the discussion on the draft bill until the next meeting, when the draft bill would be amended to include the recommendations of the Board and the Department. DeptofEdSpreadsheet.pdf



1:13 PM -- Kachina Weaver, legislative liaison for the Department of Higher Education, then testified before the Committee concerning the reporting requirements included in the draft bill relating to higher education and which requirements the department believed would be important to continue. The Committee also asked for the draft bill to be split into two draft bills: One for the Department of Education and one for the Department of Higher Education. The decision then was made to table the discussion on the Department of Higher Education draft bill, and that staff would return at the next meeting with a new draft, which would be amended to include the recommendations of the Department of Higher Education.

HigherEd_DecemberMemo.pdf

BILL:	2bi. Education and Higher Education
TIME:	12:51:17 PM
MOVED:	Thurlow
MOTION:	Representative Thurlow moved to introduce LLS 17-0266 as an SRC bill. After a discussion among Committee members, he withdrew his motion.
SECONDED:
		VOTE
	Arndt
	Hooton
	Kerr
	Martinez Humenik
	Nordberg
	Tate
	Thurlow
	Brad Ramming, Esq.
	Patrice Bernadette Collins, Esq.	Excused
	Moreno
YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION:

01:22 PM -- 2bii. Secretary of State





01:23 PM -- Tim Griesmer, legislative liaison for the Department of State, testified that the Secretary of State's office supported repealing the reporting requirement in the draft bill. He explained that when doing rule-making regarding Uniform Commercial Code filings, the state is required to consider harmonizing the state's rules with other jurisdictions and the best practices of the International Association of Commercial Administrators. The section marked for indefinite continuation in the bill draft requires the Secretary of State to report on that consideration. He explained that the report is a one-page memorandum, a conceptual report, with no data in it, and that every year it essentially says the same thing: That the state's rules are substantially in harmony with everyone else's rule. If this reporting requirement was repealed, the office is still obligated by law to make the aforementioned considerations in rule-making, which is still public and is subject not only to public comment but to legislative review. Mr. Griesmer contacted the Governor's Office and the said they support the repeal.SOSReports_DraftBill.pdf

BILL:	2bii. Secretary of State
TIME:	01:24:46 PM
MOVED:	Moreno
MOTION:	Senator Moreno moved to introduce LLS 17-0282 as an SRC bill. The motion passed without objection.
SECONDED:
		VOTE
	Arndt
	Hooton
	Kerr
	Martinez Humenik
	Nordberg
	Tate
	Thurlow
	Brad Ramming, Esq.
	Patrice Bernadette Collins, Esq.	Excused
	Moreno
YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection

BILL:	2bii. Secretary of State
TIME:	01:26:45 PM
MOVED:	Moreno
MOTION:	Senator Moreno moved to amend LLS 17-0282 by repealing the reporting requirement in section 1 of the draft bill. The motion passed without objection.
SECONDED:
		VOTE
	Arndt
	Hooton
	Kerr
	Martinez Humenik
	Nordberg
	Tate
	Thurlow
	Brad Ramming, Esq.
	Patrice Bernadette Collins, Esq.	Excused
	Moreno
YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection

01:30 PM -- 2bix. Revenue



Jean Robinson confirmed for the Committee that the recommendations in the Department of Revenue memo reflected the concerns of the department.DORMemo.pdfDORReports_DraftBill.pdf

BILL:	2bix. Revenue
TIME:	01:31:08 PM
MOVED:	Thurlow
MOTION:	Representative Thurlow moved to introduce LLS 17-0281 as an SRC bill. The motion passed without objection.
SECONDED:
		VOTE
	Arndt
	Hooton
	Kerr
	Martinez Humenik
	Nordberg
	Tate
	Thurlow
	Brad Ramming, Esq.
	Patrice Bernadette Collins, Esq.	Excused
	Moreno
YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection

BILL:	2bix. Revenue
TIME:	01:31:29 PM
MOVED:	Moreno
MOTION:	Senator Moreno moved to accept the Department of Revenue's recommendations for amendments, which are included in the department's memo. The motion passed without objection.
SECONDED:
		VOTE
	Arndt
	Hooton
	Kerr
	Martinez Humenik
	Nordberg
	Tate
	Thurlow
	Brad Ramming, Esq.
	Patrice Bernadette Collins, Esq.	Excused
	Moreno
YES: 0 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: Pass Without Objection

01:33 PM -- 3. Next meeting?

The Committee agreed to meet again during the session, but did not determine a date.