Draft Only

Approval Pending

S UMMARY of

P ROCEEDINGS

J OINT CORPORATIONS, ELECTIONS & POLITICAL SUBDIVISIONS COMMITTEE

COMM ITTEE M EETING I NFORMATION September 15-16, 2016 Platte Valley Convention Center Saratoga,

COMM ITTEE M EM BERS PRESENT Senator Cale Case, Co-chairman Representative , Co-chairman Senator Larry Hicks Senator Curt Meier Senator Stephan Pappas Senator Charles Scott Representative Jim Blackburn Representative James Byrd Representative Roy Edwards Representative Mark Jennings Representative Dan Kirkbride Representative Tyler Lindholm Representative

COMM ITTEE M EM BERS NOT PRESENT Representative Gerald Gay

LEGISLATIVE SERVICE OFFICE STAFF Anna Mumford, Staff Attorney Kelley Shepp, Research Analyst Ted Hewitt, Staff Attorney Heather Jarvis, Staff Attorney

OTHERS PRESENT AT M EETING Representative

Please refer to Appendix 1 to review the Committee Sign-in Sheet for a list of other individuals who attended the meeting.

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 15

EXECUTIVE SUMMARY The Joint Corporations, Elections and Political Subdivisions Interim Committee met for two days in Saratoga. The Committee heard testimony and considered legislation on a number of topics, including liquor laws, certificates of authentication, business entities' designated communications contacts, administrative duties of the Secretary of State's Office, recall of elected officials, statewide mail ballot elections, the presidential selection process, principle-based reserving, credit for reinsurance, the State Board of Insurance Agent Examiners, Wyoming's Insurance Code, electricity issues including net metering, licensed speech pathologists and audiologists, and depositories for public funds. The Committee also received testimony from the State Engineer's Office regarding recodification and received reports from the Task Force on Special Districts and the Subcommittee on Municipal Powers and Other Issues.

CALL TO ORDER Co-Chairman Case called the meeting to order at 8:00 a.m. on September 15, 2016. The following sections summarize the Committee proceedings by topic. Please refer to Appendix 2 to review the Committee Meeting Agenda.

APPROVAL OF MINUTES Minutes from the May 2016, Committee meeting were approved.

MOTION TO RECONSIDER Co-chairman Case discussed the Committee's action at its last meeting to table the discussion on statewide mail ballot elections to next interim. Co-chairman Case explained the process for reconsidering the issue and noted the Committee had been informed fifteen days prior to this meeting that there may be a motion to reconsider. Senator Meier moved the Committee reconsider statewide mail ballot elections this afternoon. The motion passed by voice vote.

LIQUOR LAWS 17LSO-0030 – Manufactured alcoholic beverages Dan Noble, Director of the Department of Revenue, discussed the bill draft on manufactured alcoholic beverages, Appendix 3. Mr. Noble discussed the specifics of the bill draft including requirements for a manufacturer’s license and specifying that only those products manufactured at the site on the manufacturer's license shall be dispensed at satellite distillery and winery locations. Mr. Noble explained that the bill draft was to ensure tasting rooms and satellite operations are offering Wyoming manufactured products. Tom Montoya, Chief of Enforcement Revenue, Liquor Division, and Greg Cook, Division Administrator, Liquor Division, discussed the inspection process for tasting rooms and satellite operations and the Liquor Division's response to manufacturers violating State law. The Committee extensively discussed the State's process of licensing and inspecting distilleries and wineries and the comparable requirements under federal law.

Mike Moser, Wyoming State Liquor Association, Amber Pollock, Wyoming Distillers Guild, and Chas Marsh, Jackson Hole Still Works, spoke in support of the bill draft. Mr. Moser urged the Committee to sponsor the bill draft as it ensures compliance with federal law. Ms. Pollock said the bill draft clarifies the process to obtain a manufactures license in Wyoming.

John Stang, private citizen, testified that the Department of Revenue should not be involved in the inspection process for manufacturers.

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 3 OF 15

Representative Lindholm moved the Committee sponsor the bill draft. The motion passed by roll call vote with Co-chairman Case abstaining due to conflict, Representatives Edwards and Jennings voting no and Representative Gay excused. The Committee adopted a motion to create the definition of "in operation" in W.S. 12-2-203(h) and adopted the following amendments:

Page 2-line 17 After "division" insert ".". Page 2-lines 18 through 22 Delete entirely. Page 3-line 8 Strike "two (2)" insert "three (3) ounces of".

17LSO-0031 – Inoperative liquor licenses The Committee discussed the bill draft on inoperative liquor licenses, Appendix 4. Mr. Moser explained the bill draft modifies requirements on liquor licenses to demonstrate that a business or enterprise will be operational or open for business. Mr. Moser said the intent of the bill draft was to ensure liquor licenses are operational and not being held by non-operational businesses. Mr. Moser also provided the Committee with the Liquor Division's report on non-operational businesses, Appendix 5.

Karl Allred, Uinta County GOP, questioned the current limitation on the number of liquor licenses available in the State. Mr. Allred said liquor licenses should fall under a general business license.

Representative Lindholm moved the Committee sponsor the bill draft. The motion passed by roll call vote with Co-chairman Case abstaining due to conflict, Representatives Edwards and Jennings voting no and Representative Gay excused. The following amendments were adopted:

Page 2-line 9 Delete "with recreational". Page 2-line 10 Delete "facilities". Page 3-line 12 After "paragraph" insert "without the consent of the local licensing authority due to extraordinary circumstances".

17LSO-0032 – Alcoholic beverages revisions Mr. Moser discussed the bill draft that amends and repeals several provisions in Wyoming's alcoholic beverages title, Appendix 6. Mr. Moser explained the bill draft repeals the following: suspect restrictions on license and permit holding by certain individuals, special permits for public auditoriums, exemptions on hours of operations for certain clubs and obsolete provisions. Mr. Moser also said the bill draft modifies minimum purchase requirements and application of population formulas.

Shelley Simonton, Wyoming Association of Municipalities, and Carol Intlekofer, Wyoming Association of Municipal Clerks and Treasurers, expressed support for the bill draft.

The Committee considered four amendments to the bill draft including changes to catering permits, payment of fees, hours of sale and resort liquor licenses, Appendices 7, 8, 9 and 10. In response to questions by the Committee, Mr. Moser opined that an amendment repealing the prohibition on sale of certain beverages by resort liquor licenses was not necessary.

After additional discussion, the Committee voted to consider the bill draft at the next meeting. The Committee adopted two of the proposed amendments, Appendices 7 and 10, and the following amendments:

Page 1-line 8 After "modifying" insert "clarifying".

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 4 OF 15

Page 3-line 11 After "then" insert all stricken language. Page 3-lines 12 and 13 Reinsert all stricken language. Repeal W.S. 12-5-101(a) through (c) and create new subsection (d) which authorizes local licensing authorities to set hours of operation for alcohol sales provided that the hours are uniformly applied to establishments similarly situated.

Public Comment – Liquor Laws Mr. Moser presented to the Committee proposed legislation related to liquor dispensing rooms, Appendix 11. Mr. Moser explained the proposed legislation repeals the restriction on the number of dispensing rooms for all liquor licenses other than a restaurant liquor license and authorizes the sale of alcoholic and malt beverages anywhere in a licensed building. Senator Scott moved LSO draft a bill for consideration at the next meeting. The motion passed by voice vote.

STATE ENGINEER’S OFFICE Pat Tyrrell, State Engineer, provided the Committee with background information on the Board of Professional Engineers and Professional Land Surveyors. Mr. Tyrrell discussed proposed changes to the statutes governing the Board, such as modifying the number of Board members required for a quorum, revising licensing requirements and specifying evidence that can be required by the Board in disciplinary proceedings. Senator Meier moved LSO work with the State Engineer's Office and draft a bill for consideration at the next meeting. The motion passed by hand vote.

SECRETARY OF STATE’S OFFICE 17LSO-0026 – Certificates of authentication The Committee discussed the bill draft which authorizes the Secretary of State's Office to issue certificates of authentication, Appendix 12. Tom Cowan, Administrative Services Division, Secretary of State's Office provided the Committee background information on certificates of authentication and apostilles. Mr. Cowan discussed the specifics of the bill draft including the use of the state seal, fee structure and the appropriation to develop a system to track and verify seals and signatures. Karen Wheeler, Deputy Secretary of State, discussed the Office’s revenue and the cost of a system to verify seals and signatures. Ms. Wheeler noted the Office generates 43 million dollars per biennium and the proposed increase in fees for certificates of authentication will increase that amount by 2 million dollars over the next biennium. Ms. Wheeler added this increase would go to the general fund.

Mr. Allred commented that the current process for verifying signatures and seals was efficient and new legislation was not necessary.

Representative Byrd moved the Committee sponsor the bill draft. The motion passed by roll call vote with Representative Edwards voting no and Representative Gay excused. The following amendments were adopted:

Page 1-line 5 Delete "providing an appropriation;". Page 3-lines 17 through 23 Delete entirely. Page 4-lines 1 through 5 Delete entirely. Page 4-line 7 Delete "4" insert "3".

17LSO-0027 – Business entities-communications contact Kelly Janes, Compliance Division Director, Secretary of State discussed the bill draft which modifies the persons authorized to be a business entities' designated communications contact, Appendix 13. Ms. Janes

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 5 OF 15

explained the reasons for the bill draft and proposed amendments to clarify language in the bill draft and to require the physical address of the communications contact be maintained by a business entities' registered agent, Appendix 14.

Representative Byrd moved the Committee sponsor the bill draft. The motion passed by roll call vote with Representative Gay excused. The following amendments were adopted:

Page 2-line 3 Strike "business" insert "mailing"; after "address" insert "and physical address, if different,". Page 2-line 16 After "company" insert "member or". Page 3-line 18 After "name," insert "physical".

17LSO-0124 – Secretary of state’s office-amendments Ms. Wheeler gave an overview of the bill draft which amends several statutory requirements on the Secretary of State's Office to serve notices and publications by certified mail, Appendix 15. Ms. Wheeler added the bill draft modifies time periods, publication, notice and other administrative requirements on the Secretary of State's Office in regards to business entities. Ms. Wheeler explained the reason for the bill draft and in particular the recent 8% budget cuts required by the Governor in all state agency budgets.

Mr. Allred commented he would like to see notices and publications placed on the Secretary of State's website. Mr. Allred expressed concern about sending notices and publication by first class mail.

After additional discussion, the Committee voted to consider the bill draft at the next meeting.

ELECTION ISSUES Extraterritorial jurisdiction of municipalities Senator Meier and Representatives Byrd and Lindholm discussed the recommendations of the Subcommittee on Municipal Powers and Other Issues. Representative Lindholm said the Subcommittee met at the beginning of the month and considered four bill drafts on a municipality's extraterritorial authority and municipal elections. Representative Lindholm explained the Subcommittee voted to recommend two bill drafts to the Committee for consideration. The first bill draft, 17LSO-0142, expands voting rights in municipal elections to persons residing outside of the corporate boundaries of the municipality and who are subject to extraterritorial authority of the municipality, Appendix 16. The second bill draft, 17LSO-0143, restricts extraterritorial jurisdiction asserted by a municipality, Appendix 17. LSO staff then discussed municipal voting in other states, Appendix 18.

Lloyd Wiggam, Wyoming Liberty Group, expressed concern with the bill draft that expands voting rights and commented a municipality should not have any authority over persons residing outside the corporate boundaries of a municipality. Mary Lankford, Wyoming County Clerks Association, presented the Committee with a handout which highlighted issues with allowing nonresidents to vote in municipal elections, Appendix 19. Ms. Lankford expressed concern with how such elections would be administered. Ms. Simonton expressed concern with both bill drafts and the unintended consequences associated with each. Brian Dickson, Wyoming Association of Municipalities, expressed concern with a municipality's assertion of extraterritorial authority and added the bill drafts need to be reconsidered and reworked.

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 6 OF 15

Senator Hicks presented the Committee with a bill draft which repeals the one-half mile extraterritorial jurisdiction asserted by municipal ordinance, Appendix 20. After additional discussion, the Committee voted to consider 17LSO-0143 and Senator Hick's bill draft at the next meeting.

17LSO-0029 – Recall of elected officials-constitutional amendment The Committee discussed the bill draft proposing to amend the Wyoming Constitution to authorize the recall of elected public officers, Appendix 21. Senator Hicks questioned why the bill draft did not provide for the recall of judicial officers. LSO staff provided information on recalls of state and local officials in other states, Appendix 22.

Mr. Allred commented the bill draft should provide the specific procedures and grounds for recall. Ms. Simonton expressed concern with the bill draft and said it may disenfranchise voters.

After additional discussion, the Committee decided to take no action on the bill draft.

Statewide mail ballot elections Julie Freese, County Clerks Association, expressed concerns with current election practices, including old and outdated equipment, difficulty finding individuals to act as election judges and adding districts to election ballots. Ms. Freese encouraged the Committee to consider legislation authorizing statewide mail ballot elections. Gwen Bartlett, Carbon County Clerk, explained the advantages and disadvantages of statewide mail ballot elections and how such elections would work in the State, Appendix 23. Ms. Bartlett also discussed the costs of equipment for conducting elections and the potential savings for conducting all mail ballot elections.

LSO staff discussed constitutional considerations with statewide mail ballot elections, Appendix 24.

Briana Jones, Equality State Policy Center, and Paul Scherbel, Lincoln County Republican Party, expressed support for statewide mail ballot elections. Ms. Jones opined mail ballots increase voter turnout and accessibility to elections and makes elections more economical to administer. Mr. Scherbel added mail ballots are a beneficial extension of absentee voting. Pete Obermueller, Executive Director, Wyoming County Commissioners Association expressed interest in all mail ballot elections as it may provide cost savings to counties.

Mr. Allred voiced opposition to a bill draft authorizing statewide mail ballot elections due to the propensity for voting fraud in such elections.

Presidential selection process and alternatives Ana Cuprill, Wyoming Democratic Party State Chair, discussed the caucus process and provided the Committee with a handout, Appendix 25. Ms. Cuprill stated the goal of the Wyoming Democratic Party is to provide a voting system which would give all voters a voice in selecting the Democratic presidential candidate. Ms. Cuprill noted such a system should include the ability to vote early, to walk in on primary day, and to be involved in a caucus meeting. Ms. Cuprill said the State should commit funds to help create a more inclusive option for voters with a presidential primary. Due to the current budgetary restraints, however, Ms. Cuprill stated the party would be willing to provide funds to hold a caucus.

Matt Micheli, Chairman, discussed the process of selecting delegates. Mr. Micheli explained the Republican party rules and the federal rules that must be followed during the process of choosing delegates. Mr. Micheli discussed both the caucus and primary process for the Wyoming Republican Party and commented the caucus process allows voters to be more involved in

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 7 OF 15

choosing delegates. In response to questions by the Committee, Mr. Micheli noted the presidential selection process would be a good interim topic for the Committee to consider next year.

Representative Sommers expressed support for a presidential primary and for scheduling the primary in such a way as to help ease the cost burden to the parties.

Paul Serbil, Lincoln County Republican Party, expressed concern that voters are not involved in the primary process. Mr. Serbil said the caucus process was a good approach to help get people involved in the presidential selection process.

Kai Schon, Elections Director, Secretary of State's Office commented his office has received numerous calls regarding a presidential primary process. Mr. Schon expressed concern that citizens moving into Wyoming are confused about the caucus process and added that a presidential primary may help to increase voter turnout.

TASK FORCE ON SPECIAL DISTRICTS Senator Case, Chairman of the Task Force on Special Districts, presented the Task Force's report to the Committee as required by 2016 Session Laws Chapter 80, Appendix 26. Buck McVeigh, Wyoming Taxpayers Association and member of the Task Force, discussed concerns with accountability and transparency in special districts. Bobby Rolston, Anadarko and member of the Task Force, provided the Committee overview and background information on the make-up of the Task Force. Julie Freese, Fremont County Clerk and member of the Task Force, discussed training components that special districts need to consider to help be more transparent. Jeffrey O’Holleran, Secretary of State's Office and member of the Task Force, commented special districts generally work well but the recommendations from the Task Force would help simplify the statutes governing special districts.

Senator Case presented the four bill drafts recommended by the Task Force to the Committee for consideration. 17LSO-0110 creates new requirements to help standardize the special district budgeting process, Appendix 27. Senator Case explained the bill draft attempts to clarify ambiguity and provides a uniform procedure for all special districts formed under principal acts which are silent on budget requirements.

Bobbie Frank, Wyoming Association of Conservation Districts, Nita Werner, NEW BOCES, Eric Boley, Wyoming Hospital Association, and Mr. Wiggam expressed concern with 17LSO-0110. Ms. Frank was concerned with the training process and commented that conservation districts already follow the Department of Audit's process for budgeting. Ms. Werner voiced opposition to the budget requirements in the bill draft and urged the Committee to amend those requirements. Mr. Boley opined the bill draft was not necessary. Mr. Wiggam said there were transparency issues with the bill draft and commented that he would like to see public records related to special districts maintained online.

17LSO-0130 allows county commissioners to initiate the dissolution process of the Special District Elections Act for special districts that fail to comply with statutory requirements, Appendix 28. Ms. Frank expressed concerns with 17LSO-0130 and discussed funding and oversight of special districts.

17LSO-0134 amends specified special districts elections laws to create more uniformity between different types of elections and allows fire protection districts to be initially formed with five member boards if the district meets certain size requirements, Appendix 29. Ms. Freese noted that currently fire districts are formed with three member boards and this would allow qualifying boards to be formed with a five member board.

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 8 OF 15

17LSO-0159 removes Boards of Cooperative Educational Services from the list of special districts in W.S. 16-12-103(a), Appendix 30. Senator Case explained the Boards would no longer be required to comply with certain special district reporting requirements. Dave Throgmorton, Carbon County Higher Education Center, and Carolyn Conner, Northwest Wyoming BOCES, both expressed support for 17LSO-0159.

Senator Case also noted the Task force created a working group to develop a training manual that can be utilized by the public, county commissioners and special district board members seeking information about the operations of special districts.

In response to questions by the Committee, Richard Cummings, Department of Audit, explained there is no streamlined process to decide which special districts are audited. Mr. Cummings noted there is a general lack of understanding of the governance of special districts. Harriet Hageman, Hageman Law firm, expressed concern that the bill drafts may inadvertently apply to irrigation districts. Ms. Hageman recommended the language be clarified before the Committee decides whether to sponsor such the bill drafts. Mr. Obermueller said the bill drafts will provide an avenue for counties having problems with special districts.

The Committee decided to consider the four bill drafts at the next meeting.

MEETING RECESS The Committee recessed at 8:25 p.m. on September 15, 2016. Co-chairman Zwonitzer called the meeting to order at 8:00 a.m. on September 16, 2016.

DEPARTMENT OF INSURANCE 17LSO-0019 – Principle based reserving Linda Johnson, Wyoming Department of Insurance, discussed the bill draft on principle based reserving, Appendix 31. Ms. Johnson explained the bill draft modifies the life insurance reserves from a formula based approach to a principle based approach. Ms. Johnson explained the bill draft also modifies reserve requirements for specified insurers, provides confidentiality for specified documents, requires the use of certain mortality tables under specified conditions and defines the nonforfeiture interest rates for specified insurance policies. Ms. Johnson said forty-six states have adopted legislation on principle based reserving. Ms. Johnson presented a proposed amendment to the Committee for consideration, Appendix 32.

In response to questions by the Committee, Larry Bruning, Wyoming Department of Insurance, National Association of Insurance Commissioners, discussed the operative date in the bill draft and the three year transition period.

Senator Meier moved the Committee sponsor the bill draft. The motion passed unanimously by roll call vote with Representative Gay excused. The Committee adopted the proposed amendment, Appendix 32, and the following amendments:

Page 12-line 13 Delete "such". Page 15-line 14 Delete "such" insert "the". Page 16-line 6 After "materials" insert ", digital or electronic documents". Page 16-line 16 Delete "such" insert "the".

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 9 OF 15

Page 17-line 1 After "materials" insert ", digital or electronic documents". Page 17-line 9 After "materials" insert ", digital or electronic documents". Page 17-line 16 After "data" insert ", digital or electronic documents". Page 17-line 21 After "data" insert ", digital or electronic documents". Page 18-line 3 After "datum" insert ", digital or electronic document".

17LSO-0020 – Credit for reinsurance Ms. Johnson discussed the bill draft on credit for reinsurance, Appendix 33. Ms. Johnson explained the bill draft revises reinsurer requirements and establishes procedures relating to reinsurer suspension and revocation. Ms. Johnson said the bill draft would allow insurance companies to reduce liabilities on their balance sheets for risks to reinsurance companies. Ms. Johnson added credit for reinsurance is an international trade issue and implementing the bill draft is a necessity. Lastly, Ms. Johnson discussed the ratings process for reinsurers, Appendix 34.

Matt Wulf, Reinsurance Association of America, provided a handout to the Committee in support of the bill draft, Appendix 35. Mr. Wulf commented the bill draft is important and a much needed update to State law and that the bill draft provides incentives to financially sound reinsurers to do business in the State. Dan Bleak, Farmers West Insurance, explained the bill draft creates consistency with other states and stabilizes reinsurance programs.

Representative Kirkbride moved the Committee sponsor the bill draft. The motion passed unanimously by roll call vote with Representative Gay excused. The Committee adopted the following amendments:

Page 14-line 14 Delete "such" insert "any". Page 15-line 18 Delete "such" insert "the". Page 22-line 13 Delete "Such" insert "Any".

17LSO-0021 – Insurance licensing examination oversight Tom Glause, Department of Insurance Commissioner, discussed the bill draft which repeals the State Board of Insurance Agent Examiners and establishes a review panel to assist in the Insurance Commissioner's review of licensing exam procedures, Appendix 36. Mr. Glause explained the bill draft was a result of the Governor’s initiative for state agencies to reduce administrative rules. Mr. Glause said the State Board of Insurance Agents Examiners has become obsolete and does not serve the purpose it did in the past. Mr. Glause added the bill draft gives the Commissioner the authority and obligation to review the procedures for administering examinations every three years with the assistance of a review panel. Mr. Glause presented to the Committee proposed amendments, Appendix 37.

Chuck Brewer, Director of the Board of Insurance Agents Examiners, explained the Board currently manages vendors, tests facilities and conducts reviews every three years. Mr. Brewer commented replacing the Board with a review panel was the best way for the State to move forward.

Representative Paxton moved the Committee sponsor the bill draft. The motion passed unanimously by roll call vote with Representative Gay excused. The Committee adopted the proposed amendments, Appendix 37, and the following amendment:

Page 1-line 5 After "procedures;" insert "authorizing reimbursement of expenses;".

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 10 OF 15

17LSO-0022 – Insurance Code Amendments Jeff Rude, Department of Insurance, discussed the bill draft which amends several statutory provisions in the Insurance Code, Appendix 38. Mr. Rude explained the bill draft requires the registration of third party administrators and establishes a fee for licensing third party administrators. Mr. Rude said the bill draft also amends licensing provisions and insurance producer continuing education requirements.

Mr. Allred expressed concern with funeral contracts being licensed by the Insurance Department. Mr. Allred commented these were not service contracts and should not be regulated by the Department.

Senator Meier moved the Committee sponsor the bill draft. The motion passed unanimously by roll call vote with Representative Gay excused. The Committee adopted the following amendments:

Page 6-line 24 Delete "subsizided" insert "provided". Page 6-line 25 After "crop" insert "and protection of revenue from adverse market fluctuation". Page 11-line 1 After "W.S." delete balance of the line and insert "26-9-221 is".

UTILITIES Kristin Lee, Century Link, generally discussed the status of broadband in the State. Ms. Lee explained communities and customers are demanding more capacity and Century Link is working to make this happen. Ms. Lee noted broadband is important to economic development. Ms. Lee also discussed how to fund the expansion of broadband.

Stephanie Kessler, Wyoming Outdoor Council, presented to the Committee proposed amendments to the State's net metering laws, Appendix 39. Ms. Kessler said the current net metering laws are outdated and updating the statutes would remove barriers and encourage the growth of solar power in Wyoming. Ms. Kessler commented the growth of solar power has the potential to grow and diversify the economy. Scott Kane, Wyoming Outdoor Council, added the amendments would incentivize commercial solar projects and help with job creation. Mr. Kane also discussed other states' net metering policies for system sizes, Appendix 40.

Larry Pardee, resident, discussed solar projects and sustainability goals in Jackson. Mr. Pardee encouraged the Committee to increase the kilowatt cap on systems to allow for larger scale projects moving forward.

Shawn Taylor, Wyoming Rural Electric Association, and Jim Beck, Saratoga Electric, spoke against amending net metering laws. Jody Levin, Rocky Mountain Power, and Joe Milczewski, Power, expressed concern that amending the net metering laws could shift costs to non-solar customers.

Shannon Anderson, Powder River Basin Resource Council, voiced support for removing regulatory barriers to solar power and net metering. Ms. Anderson said amending the net metering laws would encourage commercial development and job creation.

SPEECH PATHOLOGY AND AUDIOLOGY Carole Martin, Wyoming Board of Speech Pathology and Audiology discussed the bill draft which amends various provisions in the License Act for Speech Pathologists and Audiologists, Appendix 41. Ms. Martin also provided the Committee with a handout summarizing the bill draft and reasons for the amendments, Appendix 42. Ms. Martin explained the bill draft modifies requirements for licensure and

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 11 OF 15

provisions related to the Board of Speech Pathology and Audiology. Ms. Martin opined the bill draft would help provide job and career opportunities for individuals in this State to work in public schools.

Sue Tourney, Wyoming Board of Speech Pathology and Audiology, expressed support for the bill draft. Ms. Tourney commented the bill draft would allow licensed assistants in rural parts of the State and would provide quality service to students in our schools.

The Committee decided to consider the bill draft at the next meeting.

PUBLIC DEPOSITORIES 17LSO-0023 – Approved depositories for public funds Mike Geesey, Wyoming Bankers Association, discussed the bill draft which provides for the deposit of public funds in banks other than state and national banks, Appendix 43. Mr. Geesey explained the bill draft was necessary to ensure the statutes comply with the current practice regarding public depositories. The Committee discussed constitutional concerns with authorizing the deposit of state and local funds in institutions other than national banks or banks incorporated under Wyoming law.

Dave Pickard, Mountain West Credit Union Association, spoke in support of the bill draft. Mr. Pickard noted depositing public funds in banks chartered under the laws of the U.S. or under the law of any state if the bank is conducting business in Wyoming is the current practice in the State.

Senator Hicks moved the Committee sponsor the bill draft. The motion passed unanimously by roll call vote with Representative Gay excused.

17LSO-0025 – Deposits in credit unions Mr. Pickard explained the bill draft would allow credit unions to accept the deposit of public funds, Appendix 44. Mr. Pickard said the bill draft authorizes the state, political subdivisions and other public entities to deposit public funds in federal credit unions. Kim Withers, Meridian Trust Federal Credit Union, said the bill draft promotes growth in communities, creates a competitive advantage and provides more liquidity and availability for entities to deposit public funds. In response to questions by the Committee, Ms. Withers discussed the differences in tax status of banks and credit unions. Ms. Withers noted that credit unions want to serve smaller communities in more rural areas of the State. Austin DeBey, Mountain West Credit Union Association, discussed the credit union share insurance program.

Mark Gordon, State Treasurer, discussed with the Committee the impact on economic development of allowing credit unions to accept public deposits.

Mr. Geesey provided the Committee with a handout and expressed concerns with allowing credit unions to accept public deposits, Appendix 45. Mr. Geesey spoke against the bill draft because credit unions are tax exempt, do not register with the Secretary of State and are exempt from the Uniform Consumer Credit Code.

After additional discussion, the Committee decided to take no action on the bill draft.

17LSO-0024 – Deposits by political subdivisions Mr. Pickard discussed the bill draft which provides for the deposit of public funds by political subdivisions in institutions other than banks when it is not practicable and a bank is not available within 10 miles of the principle place of business of the political subdivision, Appendix 46. The Committee

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 12 OF 15

generally discussed Article 15, Section 7 of the Wyoming Constitution which specifies public funds shall, whenever practicable, be deposited in a national bank or in a bank incorporated under the laws of the State.

Mr. Geesey spoke against the bill draft and Brian Rohrabacher, Atlantic City Federal Credit Union, spoke in support of the bill draft.

Senator Scott moved the Committee sponsor the bill draft. The motion passed unanimously by roll call vote with Co-chairman Zwonitzer and Representative Gay excused.

MEETING ADJOURNMENT There being no further business, Co-Chairman Case adjourned the meeting at 4:35pm.

Respectfully submitted,

Senator Cale Case, Co-chairman

File Storage: F:\AA\Committees\CORPORATIONS\2015 MEETING MINUTES\2015 Meeting Minutes Template.docx

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 13 OF 15

Committee Meeting

Materials Index

Appendix Agenda Item Appendix Description Appendix Provider

1 Committee Sign-In Sheet Lists meeting attendees Legislative Service Office

2 Committee Meeting Provides an outline of the topics the LSO Agenda Committee planned to address at meeting

3 Liquor Laws 17LSO-0030-Manufactured alcoholic LSO beverages

4 Liquor Laws 17LSO-0031-Inoperative liquor licenses LSO

5 Liquor Laws Wyoming Liquor Division Reports Wyoming Liquor Division

6 Liquor Laws 17LSO-0032-Alcholic beverages revisions LSO

7 Liquor Laws Amendments to 17LSO-0032 Senator Case

8 Liquor Laws Amendments to 17LSO-0032 Senator Case

9 Liquor Laws Amendments to 17LSO-0032 Representative Zwonitzer

10 Liquor Laws Amendments to 17LSO-0032 Mike Moser, State Liquor Association

11 Liquor Laws Dispensing Room Draft Legislation Mike Moser

12 Secretary of State’s Office 17LSO-0026-Secretary of state-certificates LSO of authentication

13 Secretary of State’s Office 17LSO-0027-Business entities- LSO communications contact

14 Secretary of State’s Office Amendment to 17LSO-0027 Kelly Janes, Secretary of State's Office

15 Secretary of State’s Office 17LSO-0124-Secretary of state’s office- LSO amendments

16 Election Issues 17LSO-0142-Municipal election LSO

17 Election Issues 17LSO-0143-Municipal jurisdiction LSO

18 Election Issues LSO Fact Sheet – Nonresident voting LSO

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 14 OF 15

19 Election Issues Handout on municipal elections Mary Lankford, Clerks Association

20 Election Issues 17LSO-0014 – Municipal jurisdiction- LSO extraterritorial authority repeal

21 Election Issues 17LSO-0029-Recall of elected officials- LSO constitutional amendment

22 Election Issues LSO Fact Sheet – Recalls for state and LSO local officials

23 Election Issues Mail Ballot Elections County Clerks’ Association

24 Election Issues LSO Memo on statewide mail ballot LSO elections

25 Election Issues Legislative report on presidential selection Ana Cuprill, Wyoming process and alternatives Democratic Party

26 Task Force on Special Task Force Report on Interim Study of Task Force on Special Districts Special Districts Districts

27 Task Force on Special 17LSO-0110-Special district budget LSO Districts amendments

28 Task Force on Special 17LSO-0130-Special districts-dissolution LSO Districts by commissioners

29 Task Force on Special 17LSO-0134-Special districts elections LSO Districts

30 Task Force on Special 17LSO-0159-Special district applicability- LSO Districts boces

31 Department of Insurance 17LSO-0019-Principle based reserving LSO

32 Department of Insurance Amendment to 17LSO-0019 Linda Johnson, Department of Insurance

33 Department of Insurance 17LSO-0020-Credit for reinsurance LSO

34 Department of Insurance Credit for Reinsurance Ratings Linda Johnson

35 Department of Insurance Statement in Support of Credit for Reinsurance Association Reinsurance of America

36 Department of Insurance 17LSO-0021-Insurance licensing LSO examination oversight

37 Department of Insurance Amendments to 17LSO-0021 Tom Glause, Department

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov PAGE 15 OF 15

of Insurance

38 Department of Insurance 17LSO-0022-Insurance code-amendments LSO

39 Utilities Proposed draft legislation on net metering Stephanie Kessler, Wyoming Outdoor Council

40 Utilities State net metering policies Scott Kane, Wyoming Outdoor Council

41 Speech Pathology and 17LSO-0096-Speech pathology and LSO Audiology audiology

42 Speech Pathology and Proposed Speech/Language Pathology Carole Martin, Board of Audiology Changes Handout Speech Pathology and Audiology

43 Public Depositories 17LSO-0023-Approved depositories for LSO public funds

44 Public Depositories 17LSO-0025-Deposits in credit unions LSO

45 Public Depositories Credit Union Handout Mike Geesey, Wyoming Banking Association

46 Public Depositories 17LSO-0024-Deposits by political LSO subdivisions

JOINT CORPORATIONS, ELECTIONS, & POLITICAL SUBDIVISIONS COMMITTEE 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] • WEB SITE www.wyoleg.gov