D r a f t O n l y A p p r o v a l P e n d i n g SUMMARY of PROCEEDINGS M A N A G E M E N T C O U N C I L

COUNCIL MEETING INFORMATION February 10, 2018 Jonah Business Center, Room L54 Cheyenne,

COUNCIL MEMBERS PRESENT Senator , Chairman Representative , Vice Chairman Senator John Hastert Senator Senator R. Ray Peterson Senator Senator Representative , Jr. Representative James Byrd Representative Representative John Freeman Representative Representative David Miller

OTHER LEGISLATORS PRESENT Senator Liisa Anselmi-Dalton Senator Henry H.R. “Hank” Coe Representative Representative Representative Representative Patrick Sweeney

LEGISLATIVE SERVICE OFFICE STAFF Matt Obrecht, Director Torey Racines, Legislative Counsel Ian Shaw, Legal Administrator

The Committee Meeting Summary of Proceedings (meeting minutes) is prepared by the Legislative Service Office (LSO) and is the official record of the proceedings of a legislative committee meeting. This document does not represent a transcript of the meeting; it is a digest of the meeting and provides a record of official actions taken by the Committee. All meeting materials and handouts provided to the Committee by the Legislative Service Office, public officials, lobbyists, and the public are on file at the Legislative Service Office and are part of the official record of the meeting. An index of these materials is provided at the end of this document and these materials are on file at the Legislative Service Office. For more information or to review meeting materials, please contact the Legislative Service Office at (307) 777-7881 or by e-mail at [email protected]. The Summary of Proceedings for each legislative committee meeting can be found on the ’s website at www.wyoleg.gov. PAGE 2 OF 8

Anna Mumford, Operations Administrator Jamie Schaub, Information Technology Manager Anthony Sara, Legislative Support Manager Heather Kammerman, Executive & Fiscal Assistant

OTHERS PRESENT AT MEETING Please refer to Appendix 1-02 to review the Council Sign-in Sheet for a list of other individuals who attended the meeting.

EXECUTIVE SUMMARY The Management Council met to consider legislation related to the Government Efficiency Commission, Public Purpose Investments, ENDOW and Statewide Lodging Tax for the 2018 Budget Session. Council also considered livestreaming and archiving of legislative committee meetings and discussed changes to the Legislature’s anti-discrimination and sexual harassment policy and trainings.

CALL TO ORDER Chairman Eli Bebout called the meeting to order at 7:32 a.m. The following sections summarize the Council’s proceedings by topic. Please refer to Appendix 1-01 to review the Council Meeting Agenda.

APPROVAL OF MINUTES Senator Von Flatern moved the approval of the December 19, 2017 meeting minutes. (Appendix 1-03) The motion was unanimously adopted.

UPDATE/BILL DRAFT FROM SUBCOMMITTEE ON GOVERNMENT SPENDING & EFFICIENCY Mr. Ian Shaw, Legislative Service Office Legal Administrator, and Senator Drew Perkins provided an overview of 18LSO-0337 v0.7-Government Efficiency Project (Appendix 2-01) and told the Council that the legislation was a result of the work by the Government Efficiency Commission during the 2017 interim. Council inquired about how new initiatives would be measured to ensure they were working the way the Legislature intended them to. Senator Perkins indicated that in some cases that was already happening in Enterprise Technology Services and that it would be the task of the project management office to measure the outcomes of any project initiatives. Council also asked if there was any discussion about whether a quarterly report was necessary or if a report could be submitted less frequently. Senator Perkins indicated that the report didn’t need to be extensive and that frequent reporting would be important until the program was fully established. Council asked Senator Perkins how he anticipates the work of the Efficiency Commission for the 2018 interim progressing if the bill were to pass the Legislature. He indicated that it is up to the Legislature to appropriate the money and place restrictions on how those funds can be spent. He also told Council that it will be the job of the executive branch and the Governor to get the project management office up and running, whether through hiring a new position in the Governor's office or retaining consultants.

Mr. Buck McVeigh, Wyoming Taxpayers Association commended the Efficiency Commission for its work and spoke in favor of the project. Rebecca Bextel, Jackson resident, expressed concern about the amount of money being paid to consultants and said she would like to see the State use strategic sourcing when making purchases statewide, rather than for each agency. Cindy Delancey, Wyoming Business Alliance and Brett Moline, Wyoming Farm Bureau Federation also spoke in favor of the commission’s efforts and

MANAGEMENT COUNCIL Summary of Proceedings

WYOMING LEGISLATIVE SERVICE OFFICE • 213 State Capitol • Cheyenne, Wyoming 82002 TELEPHONE (307) 777-7881 • FAX 307-777-5466 • E-MAIL [email protected] • WEBSITE www.wyoleg.gov PAGE 3 OF 8 believed it was helpful to receive outside perspective when looking for efficiencies. Council tabled the discussion and planned to work the bill at its next meeting.

UPDATE/BILL DRAFT FROM SUBCOMMITTEE ON PUBLIC PURPOSE INVESTMENTS Mr. Dave Gruver, LSO Attorney, provided an overview of 18LSO-0068 v1.2-Build Wyoming Loan Program (Appendix 3-01) and explained that the legislation was a result of the work by the Subcommittee on Public Purpose Investments. The bill draft creates a loan program from the Permanent Wyoming Mineral Trust Fund to political subdivisions of the state for infrastructure projects and highway projects. Total aggregate loans for each of the programs totaled $250,000,000 respectively. The interest rate for each of the two programs was 0.1% for each year of the loan terms not to exceed a 25 year term. The bill also includes a requirement that the political subdivision impose a certain level of their property assessment before being eligible for a loan under the programs. Council expressed concern about sacrificing income from the Permanent Mineral Trust Fund, but stated the importance of investing in local infrastructure. During public comment, Bridget Hill, Director of the Office of State Lands and Investments Board told the Council that her office would be administering this program if it passes, and asked the Council for some clarification on the bill. Rick Kaysen, Wyoming Association of Municipalities encouraged the Council to move the bill forward and told the members that this is another tool in the toolbox for those communities that don’t have money for infrastructure projects. Joe Spiering, Wyoming Contractor Association also expressed support for the bill because of its ability to provide additional money into the State’s communities. Lastly, Pete Obermuller, Wyoming County Commissioners Association voiced support on behalf of his members for the bill.

After further discussion, Senator Perkins moved to work the bill. Representative Burkhart moved on page seven, line 18, under section (D), to amend .1 percent to .2 percent. After discussion, the motion failed. Mr. Gruver told Council that there was a need for a technical correction on page eight, section (C), and that the word “or” after project needed to be inserted. Senator Rothfuss moved to amend and the motion was adopted. Senator Von Flatern further moved to amend page 12, section (f) line 16, to insert “of the project” after the word “progress” and that motion was adopted. Senator Perkins moved to replace audit with the word “review” on page 12, line 20. After discussion, the motion was adopted. Representative Miller moved on page 13, line 21, section 16-1-113, to strike “demonstrated.” After discussion, the motion failed. After further discussion, Council voted to sponsor 18LSO-0068 v1.2 by a vote of 11 ayes and one nay.

STATEWIDE LODGING TAX Matt Obrecht, LSO Director, provided an overview of 18LSO-0474 v1.2-Statewide lodging tax (Appendix 5-01) and Mr. Dean Temte, LSO Senior Fiscal Analyst provided the Council with an overview of the bill’s fiscal note. (Appendix 5-02) During discussion, Mr. Obrecht provided the committee with four flow charts outlining the Wyoming lodging tax distributions based on the current law and under the proposed legislation. (Appendix 5-03) During discussion, Council asked if any county has raised more than $2 million in revenue from the lodging tax. Mr. Dan Noble, Wyoming Department of Revenue indicated one county in the State had and that he would confirm there weren’t any others. Council asked what the lowest rate currently being imposed in a town or county is and the number of beds in the state for which no lodging tax is imposed. Mr. Noble indicated that the lowest rate imposed right now is two percent and that he would need to get back to the Council on the number of beds currently not taxed. After further discussion Chairman Bebout told the Council that there wasn’t enough agreement on version 1.2 of the bill and that if Council elected to work a bill, members would likely need to work version 1.3. (Appendix 5-04) Chairman Bebout then opened the discussion for public comment. Mr. Noble told members that on page two, line four the bill references the lodging tax like it is a sales tax and he proposed that the remainder of line four through the word “services” on line eight be deleted.

MANAGEMENT COUNCIL Summary of Proceedings

WYOMING LEGISLATIVE SERVICE OFFICE • 213 State Capitol • Cheyenne, Wyoming 82002 TELEPHONE (307) 777-7881 • FAX 307-777-5466 • E-MAIL [email protected] • WEBSITE www.wyoleg.gov PAGE 4 OF 8

Mr. Chris Brown, Wyoming Lodging and Restaurant Association, told Council that his organization shares the desired goal to get the Wyoming Office of Tourism off the general fund. He also told the Council that any tax rate needed to be kept low enough to allow Wyoming businesses to stay competitive compared to surrounding states and provided a map illustrating state tourism office budgets and the total tax on oversight accommodations. (Appendix 5-05) Lastly, he told members that it is important for communities to have the ability for a local tax option to promote their own counties. Mr. Brown also went on to say that Wyoming ranks 31st for tourism funding and that industry input remains the same, in that the two percent tax puts the Office of Tourism funding at about the same level and the hope was to increase funding to make Wyoming more competitive. Mr. Brown said though his organization did not currently have a position on the bill, there is a potential to support an increase of 2.5 percent. He also added that when industry met over the summer, a $17 million funding level was agreed on as an ideal funding level, which is what a one percent leisure tax would have generated. Council told Mr. Brown that they would like to see included on the map how tourism ranks as an economic driver for each State and how it compares to the tourism funding levels. Council also asked whether the lodging tax would affect those that stay for longer than 30 days and what percentage of people paying the tax are from out of state. Mr. Brown indicated that the lodging tax does not apply for stays over 30 days and that his data indicates 80 to 85 percent of the tax would be paid for by out- of-state travelers. During discussion, Senators Anselmi-Dalton and Coe and Representative Sweeney told the committee that although the majority of the tax is paid for by out-of-state travelers, it would have a varying effect on Wyoming residence and could also affect motor coaches in and around Yellowstone that are scheduled years in advance. Brett Moline, Wyoming Farmer Bureau Association also voiced opposition to the tax and asked why 100 percent of the funds do not go into the general fund. Representative Allen added that although hunting outfitters would be paying the statewide tax, they wouldn’t receive any of the benefits. Mr. Noble also voiced concerns about the effective date, because of the changes necessary to the Department’s accounting systems. Representative Madden voiced concern about version 1.3 of the bill and said it would affect local residence more who stay multiple nights in a hotel room. Following public comment, Council tabled action on the bill until its February 13 meeting.

LIVESTREAMING OR BROADCASTING OF LEGISLATIVE MEETINGS Director Obrecht provided Council with an overview of the four livestreaming or broadcasting recommendations from the Select Committee on Legislative Technology and Process, which included: amending Council policy to allow livestreaming whenever a meeting is held in a room that is equipped with the proper equipment in the Jonah building or the Capitol; secondly, consider a modified version of a house bill that was presented last year requiring LSO to post recordings of all interim committee meetings without requiring staff to redact anything picked up by the audio; third, begin a pilot project to livestream selected interim committee meetings by WyomingPBS and Wyoming Enterprise Technology Services (ETS); and lastly, to allow livestreaming in the public decorum policy. Ms. Anna Mumford, LSO Operations Administrator provided an overview of the MOUs LSO plans to execute with WyomingPBS and ETS to livestream 20 meetings during the 2018 interim. (Appendix 6-01 & 6-02) Council asked what percentage of interim committee meetings would be streamed if these recommendations are implemented and Mr. Obrecht said he believed it would be around 70 percent, although the numbers are somewhat skewed, because of how often the Capitol Oversight Group and Health Facilities Committees meet. Council also inquired why ETS needed two staff at each of these meetings. Mr. Dan Young, Wyoming ETS said that in order to properly meet the needs of the Legislature, two staff are necessary to manage the equipment and that ETS is only requesting travel and per diem reimbursement.

After further discussion, Council approved both MOU’s. Ms. Mumford then provided Council with an overview of 18LSO-0320 v1.1-Legislator communications on recordings and broadcasts. (Appendix 6-03) After discussion, Senator Perkins moved to sponsor 18LSO-0320 v1.1 by a vote of 13 ayes.

MANAGEMENT COUNCIL Summary of Proceedings

WYOMING LEGISLATIVE SERVICE OFFICE • 213 State Capitol • Cheyenne, Wyoming 82002 TELEPHONE (307) 777-7881 • FAX 307-777-5466 • E-MAIL [email protected] • WEBSITE www.wyoleg.gov PAGE 5 OF 8

Ms. Mumford walked the Council through Management Council Policy 17-01-Recording and Broadcasting Interim Committee Meetings and how it relates to 18LSO-0320 v1.1. (Appendix 6-05) After explanation, the policy was adopted. Ms. Mumford went on and explained Management Council Policy 17-01- Streaming of Legislative Meetings. (Appendix 6-04) During discussion, Phoebe Stoner, Equality State Policy Center thanked the Council for their leadership and efforts to livestream interim meetings and making the audio recordings available. Ms. Marguerite Herman asked the Council why the joint conference committees were not included in the policy. Council reminded Ms. Herman that joint conference committees are not staffed by LSO, and as a result, cannot be streamed. She also expressed a desire to post archived audio even when livestreaming isn’t possible. Terry Dugas, WyomingPBS thanked the Council for including WyomingPBS. He said that at some point the livestream will fail, but the meeting will still be recorded and the archived video will be made available after the meeting. Senator Perkins moved to adopt Management Council Policy 17-01-Streaming of Legislative Meetings and that motion carried. Lastly, Ms. Mumford provided an overview of the changes to Management Council Policy 12-04-Public Decorum in Galleries, Lobbies and Committee Rooms (Appendix 6-06) and the intent of the Select Committee was to clarify that individuals may livestream a meeting with advanced approval from the chairmen. Vice- Chairman Harshman moved for the adoption of the policy and that motion carried.

ANTI-DISCRIMINATION & SEXUAL HARASSMENT POLICY & TRAINING UPDATE Director Obrecht provided Council with an overview of Management Council Policy 02-02-Anti- Discrimintation and Sexual Harassment (Appendix 7-01) and told members that LSO staff received feedback about changes to the policy from lobbyists and interested legislators. Mr. Obrecht also told Council that the updated policy was a clarification of the previous Council policy. (Appendix 7-02) Director Obrecht distributed versions of the current policy with versions of the new policy so Council could compare the changes. Council asked what actions would require a complaint to go from being kept private to becoming public. Director Obrecht explained that at the time a full reprimand was necessary, the complaint would be taken to the floor. Council also asked what would keep a member from acting in their role as a legislator from bring the details of a complaint to the floor, even before a public reprimand and Mr. Obrecht said that the body would decide whether that behavior was appropriate and that individual would be gaveled down and a rules committee meeting could be held to determine whether that action was appropriate or not. Jodi Levin, President of Wyoming Capital Club spoke in support of the updated policy and appreciated the opportunity to be involved in the process. She also spoke in appreciation for including third parties, such as lobbyists. Cindy DeLancey, Wyoming Business Alliance, Marguerite Herman, Wyoming League of Women Voters and Chesie Lee, Wyoming Association of Churches also spoke in support of Council’s efforts and the changes to the policy. After further discussion, Senator Perkins moved to work the policy. Representative Connolly moved on page one, in the second paragraph after “across the State” add “, and public forums,”. After discussion, the motion failed. Representative Connolly moved on page three, in A2, after “any person” add in “listed in 4A1” to make it clear any person is the supervisor, presiding officer or chief clerk. After discussion, the motion was adopted. Representative Connolly moved on page four, in A3, before “three members” add “up to.” After discussion, the motion failed. Representative Miller moved in A3 to reduce the number of House members participating in the investigation from seven members to three. After discussion, the motion was adopted. After discussion, Senator Perkins moved to adopt the policy and the motion was adopted by a vote of 13 ayes.

ENDOW BILL DRAFTS Mr. Dave Gruver, LSO staff provided an overview of 18LSO-0478 v0.3-Economic diversification and development (Appendix 4-01) and Mr. Jerimiah Rieman, Wyoming Governor’s Office outlined the ENDOW Executive Council findings and recommendations spreadsheet and report (Appendix 4-03 & 4-

MANAGEMENT COUNCIL Summary of Proceedings

WYOMING LEGISLATIVE SERVICE OFFICE • 213 State Capitol • Cheyenne, Wyoming 82002 TELEPHONE (307) 777-7881 • FAX 307-777-5466 • E-MAIL [email protected] • WEBSITE www.wyoleg.gov PAGE 6 OF 8

04). During discussion, Representative Sommers provided background information on the Agriculture ENDOW initiative and said the objective was to look at how Wyoming beef is marketed not only nationally but internationally, particularly in China. Council inquired about how the $2 million appropriation was developed and Representative Sommers said that Appropriations needed a cost estimate fairly quickly and some of the funding would be used to develop a Wyoming beef and agriculture marketing Website. Council also asked about progress to develop a large packinghouse in the State and whether there are enough animals to support such an operation. Shawn Reese, Wyoming Business Council told Council that a company remains interested in a large-scale packing facility in southeast Wyoming, but that standing up such a large operation is a complicated process, particularly with the cuts of beef needed in Asian markets. After further discussion, Chairman Bebout moved to work the bill draft. Representative Miller asked that the Business Council conduct a brief study regarding who the current competitors are in the United States, such as Idaho. Representative Burkhart then moved on page nine, line 18 reduce the appropriation to $500,000. After discussion, the motion failed. Senator Rothfuss moved to strike page nine line 20 through the end of line two on page 10. After discussion, the motion was adopted. Council then approved the bill draft by a vote of 12 ayes and one nay.

Mr. Gruver then provided Council with an overview of 18LSO-483 v0.4-Economic diversification- telecommunication services and explained that a large part of the bill is from the border to border program administered in Minnesota. (Appendix 4-02) Council expressed a concern about targeting under-served areas, while not doing anything for areas that are properly served and asked if a special district could be established to raise funds. Mr. Gruver explained that the bill does not currently do that, but that the Legislature could establish a special district for telecommunications services. Council also inquired about what could be put into statute that doesn’t include specific broadband speeds that will likely be obsolete in the next few years. Mr. Dan Young, ETS told Council that he recommended not hardcoding specific speeds and follow a “fiber first initiative.” During public testimony, Ms. Liz Zerga, Mr. Jason Hendricks, Ms. Jodi Levin, Ms. Beth Lance and Ms. Gale Geringer all stated they have appreciated being at the table with the ENDOW initiative and supported the concept, however they are concerned about the concept of allowing local governments to apply for their own funding, and stressed the importance of a private-public partnership. Council then reiterated the importance of getting service to smaller communities, even when the private industry chooses not to. Mr. Bruce Asay told Council that changes need to be made to the legislation, but that he supported the Advisory Council’s work and that the FCC guidelines could define what the speed requirements should be. Mr. Pete Obermueller requested that Council keep the unified network language in the draft bill so that it could be discussed at a future meeting.

Chairman Bebout then moved to work the bill. Representative Greear moved that on page one, the description be broadened and to remove the word “marching” on line three. After discussion the motion was adopted. On page 23, ii. line 14 Chairman Bebout moved to reduce $12 million to $10 million. After discussion, the motion was adopted. Lastly, Senator Rothfuss moved to delete telecommunication from the catch title and insert broadband and the motion was adopted. Council then voted by a roll call vote of 12 ayes and one nay.

MEETING ADJOURNMENT There being no further business, Chairman Bebout adjourned the meeting at 3:30 p.m.

Respectfully submitted, Eli Bebout, Chairman

MANAGEMENT COUNCIL Summary of Proceedings

WYOMING LEGISLATIVE SERVICE OFFICE • 213 State Capitol • Cheyenne, Wyoming 82002 TELEPHONE (307) 777-7881 • FAX 307-777-5466 • E-MAIL [email protected] • WEBSITE www.wyoleg.gov PAGE 7 OF 8 Committee Meeting Materials Index

Index Agenda Item Document Description Document Provider Number

1-01 Agenda LSO

1-02 Sign-in Sheet LSO

1-03 Call to order December 19, 2017 Meeting Minutes LSO

Update/Bill draft from Subcommittee for 2-01 18LSO-0337 v0.7 Government efficiency project LSO Government Spending and Efficiency

Update/Bill Draft from 3-01 Subcommittee on Public 18LSO-0068 v1.2 Build Wyoming loan program. LSO purpose investments

18LSO-0478 v0.3 Economic diversification and 4-01 ENDOW Bill draft LSO development.

18LSO-0483 v0.4 Economic diversification- 4-02 ENDOW Bill draft LSO telecommunication services.

ENDOW Council Finding and Recommendations 4-03 ENDOW Bill draft LSO Spreadsheet

ENDOW Preliminary Finding and 4-04 ENDOW Bill draft LSO Recommendations

5-01 Statewide lodging tax 18LSO-0474 v1.2 Statewide lodging tax. LSO

5-02 Statewide lodging tax Fiscal Note for 18LSO-0474 v1.2 LSO

5-03 Statewide lodging tax Wyoming Lodging Tax Distributions LSO

MANAGEMENT COUNCIL Summary of Proceedings

WYOMING LEGISLATIVE SERVICE OFFICE • 213 State Capitol • Cheyenne, Wyoming 82002 TELEPHONE (307) 777-7881 • FAX 307-777-5466 • E-MAIL [email protected] • WEBSITE www.wyoleg.gov PAGE 8 OF 8

5-04 Statewide lodging tax DRAFT 18LSO-0474 v1.3 LSO

5-05 Statewide lodging tax Total Tax on Accommodations LSO

Livestreaming or 6-01 Broadcasting of Legislative MOU - ETS Livestreaming LSO Meetings

Livestreaming or 6-02 Broadcasting of Legislative MOU - PBS Live Streaming LSO Meetings

Livestreaming or 18LSO-0320 v1.1 Legislator communications on 6-03 Broadcasting of Legislative LSO recordings and broadcasts. Meetings

Livestreaming or 6-04 Broadcasting of Legislative Livestream Policy DRAFT LSO Meetings

Livestreaming or 6-05 Broadcasting of Legislative Draft MC Policy - Record & Broadcast Meetings LSO Meetings

Livestreaming or 6-06 Broadcasting of Legislative Public Decorum Draft Policy LSO Meetings

Anti-discrimination and 7-01 sexual harassment policy Final Draft MC Policy LSO and training update

Anti-discrimination and 7-02 sexual harassment policy Previously Adopted MC Policy LSO and training update

MANAGEMENT COUNCIL Summary of Proceedings

WYOMING LEGISLATIVE SERVICE OFFICE • 213 State Capitol • Cheyenne, Wyoming 82002 TELEPHONE (307) 777-7881 • FAX 307-777-5466 • E-MAIL [email protected] • WEBSITE www.wyoleg.gov