COMMITTEE WORKBOOK - National Conference of State Legislatures
Transcript of COMMITTEE WORKBOOK - National Conference of State Legislatures
STANDING COMMITTEE on COMMUNICATIONS, FINANCIAL
SERVICES and INTERSTATE COMMERCE
COMMITTEE WORKBOOK
LEGISLATIVE SUMMIT AUGUST 6 – 9, 2012
CHICAGO, ILLINOIS
STANDING COMMITTEE on COMMUNICATIONS, FINANCIAL
SERVICES and INTERSTATE COMMERCE
TABLE of CONTENTS
COMMITTEE AGENDA…………………….…………………..…..3
COMMITTEE DESCRIPTION……………………………………..13
COMMITTEE OFFICERS AND STAFF CONTACTS…...................14
COMMITTEE ROSTER…........................................................16
RULES AND BYLAWS…….……………..……….….……...…...22
POLICY DIRECTIVES TRANSITION CHART…………...…………25
POLICY DIRECTIVES FOR CONSIDERATION…………………….26
Banking & Financial Services (p. 26)
Corporate Formations (p. 33)
Cradle to Grave Electronics Management (p.34)
Insurance (p. 35)
Internet & Electronic Commerce (p. 41)
Remote Commerce (p. 47)
RESOLUTIONS FOR CONSIDERATION……………………..…...49
State Sovereignty in Online Gaming (p. 49)
Supports and Urges Enactment of the Marketplace Fairness Act (p. 50)
Supports Intellectual Property (IP) Rights and Protections to Promote Productivity, Competitiveness, Jobs, and Public Health (p. 52)
Opposes Federal Contactless Technology Mandates For State Issued Identification Documents (p. 54)
Support of State Public Affairs Networks (Memorial Resolution) (p. 57)
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2012 NCSL Legislative Summit August 6-9, 2012 Chicago, Illinois
Communications, Financial
Services and Interstate Commerce
Committee Agenda
Items in bold denote committee activities All sessions will be held in the
McCormick Place Convention Center Co-Chairs: Senator Carol Fukunaga, Hawaii Representative Greg Wren, Alabama
Staff Co-Chairs: Duncan Goss, Legislative Council, Vermont Patricia Murdo, Legislative Services Division, Montana
Vice Chairs: Senator Thomas Alexander, South Carolina Representative Wayne Harper, Utah Representative Ross Hunter, Washington Delegate Susan Lee, Maryland Delegate Joe May, Virginia Representative Chris Perone, Connecticut
Staff Vice Chairs: Karen Cochrane-Brown, Research Division, North Carolina Gary Schaefer, Senate, Louisiana
Past Chair: Senator Delores Kelley, Maryland
Past Staff Chair: Melissa Calderwood, Legislative Research Department, Kansas
Sunday, August 5, 2012
12:30 pm – 7:00 pm International Program 1:00 pm – 2:15 pm W194b - Level 1
NCSL Executive Committee: Outreach and Communications Subcommittee
2:00 pm – 5:00 pm W192b - Level 1
Task Force on State & Local Taxation Presiding:
Senate Minority Caucus Whip Pamela Althoff, Illinois
Delegate Sheila Ellis Hixson, Maryland 2:30 pm – 3:45 pm W194b - Level 1
NCSL Executive Committee: Budget, Finance and Rules Committee
4:00 pm – 5:30 pm W196a - Level 1
Executive Committee
Monday, August 6, 2012
7:30 am – 5:30 pm Registration B - Level 3
Registration
7:30 am – 1:00 pm Pre-Conferences, Task Forces, International Program, Ancillary
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8:00 am – 11:30 am W179b - Level 1
Task Force on State & Local Taxation Hear an update on the Marketplace Equity Act and the Marketplace Fairness Act, which would give states the authority to collect taxes owed on remote sales. Discuss deal-of-the-day vouchers, such as Groupon and LivingSocial, and what to be aware of when determining how to tax discounted products or services. Review a draft statement on principles states should consider when deciding to tax cloud computing services and discuss telecommunications tax reform in the states. Presiding:
Senate Minority Caucus Whip Pamela J. Althoff, Illinois
Delegate Sheila Ellis Hixson, Maryland 9:00 am – 12:00 noon Legislative Staff Coordinating Committee 10:30 am – 11:30 am W184ab - Level 1
Transforming Health Care Through Technology FSL Partners Project Business Meeting Members of the steering committee will review the accomplishments of this Foundation for State Legislatures’ Partners Project. Presiding:
Senator Richard Moore, Massachusetts, NCSL Immediate Past President
Senator Kemp Hannon, New York 11:45 am – 1: 15pm W184cd - Level 1
Mobile Health Technologies Working Lunch Joint with Transforming Health Care Through Technology Partners Project Learn about advancements in home health care and explore the ways that mobile technologies are revolutionizing how health care is delivered. Moderator:
Senator Jeremy Nordquist, Nebraska
Delegate Joe May, Virginia Speakers:
Fred Castillo, Executive Director AT&T Government Education, and Medical Mobility Team, Illinois
Chuck Davidson, Advanced Communications Law and Policy, New York
11:45 am – 1:15 pm W178ab - Level 1
Leveling the Playing Field for Retailers: Fixing a $23 Billion Loophole on Internet Sales Taxes Working Lunch Co-sponsored by the Task Force on State & Local Taxation NCSL gratefully acknowledges the International Council of Shopping Centers and the Retail Industry Leaders Association for supporting this luncheon session. Supreme Court decisions have limited states’ ability to collect taxes on online sales. In FY 2012 this amounted to around $23 billion. This also puts brick and mortar stores who must collect taxes at a disadvantage to their online competitors. Analyze two bills in Congress that would give states authority to collect these taxes and explore the
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options states have to fix this loophole. Presiding:
Senator Deb Peters, South Dakota
Moderator:
Joseph Crosby, Multistate Associates, Virginia Panelists:
Representative John Otto, Texas
David Vite, IRMA, Illinois
Adrielle Churchill, Office of Congressman Steve Womack
Corey Tellez, Office of Senator Dick Durbin 12:30 pm – 1:15 pm W176c - Level 1
New Attendee Orientation If you are attending your first NCSL Legislative Summit, take part in this interactive orientation and learn how to navigate your way through the nation's most substantive public policy meeting. Learn about meetings that will get you more involved with NCSL, including our business meeting, staff sections, standing committees and more.
1:30 pm – 3:00 pm Skyline Ballroom - Level 3
General Session: Diane Swonk Diane Swonk, chief economist for Mesirow Financial has been named one of the top economic forecasters in the country by the Wall Street Journal. She acts as advisor to Federal Reserve Board and regional Reserve Banks, and is one of the most respected economists in the world and among the most quoted economists in the financial press.
3:15 pm – 5:00 pm W184ab - Level 1
Identity Theft and Privacy in the Online Age Computers and the internet continue to change the way we conduct business, govern and interact with one another. State and federal policymakers grapple with the issues of identity theft and the privacy of online information. Hear about the current state of digital information and examine what issues state lawmakers should be aware of. Moderators:
Duncan Goss, Legislative Council, Vermont
Karen Cochrane-Brown, Research Division, North Carolina
Panelists:
House Assistant Minority Leader James B. Durkin, Illinois
Senator Delores Kelley, Maryland
Senator Ellen Roberts, Colorado Senator Charleta B. Tavares, Ohio
Justin Brookman, Center for Democracy & Technology, Washington, D.C.
Jim Halpert, DLA Piper, Washington, D.C. 3:15 pm – 5:00 pm Staff Sections 5:15 pm – 6:15 pm W183a - Level 1
Steering Committee Meeting The steering committee includes the overall standing committee officers and the legislator and staff chairs of each standing committee. Members will preview policies for
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consideration and decide on joint and re-referrals of policy resolutions as necessary.
5:00 pm – 7:00 pm Gino’s East of Chicago
American Financial Services Association’s Reception for the Communications, Financial Services and Interstate Commerce Committee members Please RSVP by Friday, July 27, to Susan Sullivan at [email protected].
Tuesday, August 7, 2012
7:30 am – 5:30 pm Registration B - Level 3
Registration
8:00 am – 8:45 am Staff Sections Prayer Breakfast
9:00 am – 10:15 am Skyline Ballroom - Level 3
General Session: Peter Hart and Neil Newhouse Peter Hart and Neil Newhouse are two of the nation's leading pollsters. Newhouse is a partner and co-founder of Public Opinion Strategies, a firm that The New York Times describes as "the leading Republican polling company" in the country. Peter Hart is "the foremost Washington pollster for the Democratic Party," according to the National Journal and is chairman of Peter D. Hart Research Associates.
10:30 am – 11:30 am W184ab - Level 1
CFI Committee Business Meeting Members of the committee will discuss and vote on committee business and consider and vote on any new policy resolutions submitted for consideration and review policies. Presiding:
Senator Carol Fukunaga, Hawaii, CFI Co-Chair
Representative Greg Wren, Alabama, CFI Co-Chair Duncan Goss, Vermont, CFI Staff Co-Chair
Patricia Murdo, Montana CFI Staff Co-Chair 10:00 am – 4:00 pm Hall F1 - Level 3
Exhibit Hall
11:45 am – 1:00 pm W184ab - Level 1
Insurance Fraud—If You Don’t Find It, You’re Not Looking Working Lunch Sponsored by the National Insurance Crime Bureau Hear how today’s insurance fraud crimes are much more pervasive than ever costing Americans an estimated $30 billion a year while fraud criminals ply their scams with relative impunity. Moderator:
Senator Thomas Alexander, South Carolina Speaker:
Joseph Wehrle, National Insurance Crime Bureau, Illinois
1:00 pm – 2:15 pm W184ab - Level 1
Revolutionizing Care Through Telehealth Technologies Joint with the Transforming Health Care Through Technology Project With an additional 32 million people estimated to gain health insurance coverage by 2014, states are looking for innovative ways to expand services to underserved and rural areas. Telehealth or telemedicine is emerging as a critical piece in the puzzle. Find out how states are working to
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expand services and hear about state examples. Moderator:
Representative Rosie Berger, Wyoming Speakers:
John D. Blum, John J. Waldon Research Professor of Law, Beazley Institute for Health Law and Policy, Loyola University Chicago School of Law, Illinois
David Johnson, MD, Associate Professor of Pediatrics and Chief, Section of Academic Pediatrics, Comer Children’s Hospital, The University of Chicago Medicine, Illinois
Tom Richards, MD, CEO, Apollo Telemedicine, Wyoming
1:30 pm – 2:45 pm W184cd - Level 1
Building a Better Public Safety Communications Network Joint with the Law and Criminal Justice Committee and Task Force on Homeland Security and Emergency Preparedness Recently approved federal legislation reallocates spectrum and provides funding for states to move forward with the construction of a nationwide interoperable broadband network for first responders. Learn about the nationwide broadband network and important next steps for states. Moderator:
Senator Denton Darrington, Idaho Speakers:
Anna Gomez, Deputy Assistant Secretary, NTIA Michael Balboni, GNYHCFA, New York
Jeffrey Cohen, Law and Policy, APCO International, Virginia
2:15 pm – 3:30 pm W184ab - Level 1
Dodd-Frank and the States States play a significant role in the regulation of financial services. This authority relies on the preservation of a dual-banking system, state regulation of insurance and a state-federal partnership in securities regulation authority. Several provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act, signed into law two years ago, are impacting the regulation of banking and insurance in the states. Discuss these relationships and explore how implementation of Dodd-Frank is shaping states’ responsibilities and authority. Moderator:
Representative Greg Wren, Alabama
Patricia Murdo, Legislative Services Division, Montana
3:15 pm – 4:45pm W470ab - Level 4
Legislative Staff University: Laree Kiely Laree Kiely is an award-winning organizational expert, consultant, educator, and founder of the Kiely Group.
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3:30 pm – 4:30 pm W184ab – Level 1
The Changing Telecommunications Landscape Consumers now have a growing number of choices when selecting communications services. With new options available, several states have considered or enacted legislation to deregulate some services. Legislators and other experts will discuss recent initiatives and what the future holds. Moderators:
Senator Curtis S. Bramble, Utah
House Deputy Majority Leader Chris Perone , Connecticut
Speakers:
Representative Darryl M. Scott, Delaware Representative Mike Hill, Alabama
Chuck Davidson, Advanced Communications Law and Policy, New York
Sherry Lichtenberg, National Regulatory Research Institute, Maryland
4:45 pm – 5:45 pm W183a - Level 1
Steering Committee The steering committee will review the policies reported from the standing committees at the Forum and determine the calendar for the NCSL Business Meeting on Thursday, August 9, at 10:30 am.
4:45 pm – 5:45 pm W184cd - Level 1
Legislating in the Cloud Cloud computing makes it easier to get, store and deliver software and services through the Internet. It also has the potential for saving costs. Learn about cloud computing and discuss the pros and cons, including questions about confidentiality, security and ownership of data. Hear about other state experiences in taking the leap to the cloud. Moderator:
Gary Wieman, Legislative Technology Center, Nebraska
Panelists: Sharon Crouch Steidel, Virginia House of Delegates
Eric Dugger, Legislative Counsel Bureau, Nevada Legislature
Jonathan Palmore, Senate Information Systems, Virginia General Assembly
4:45 pm – 5:45 pm Rooftop Garden - Level 5
Young Professionals’ Networking Reception Join your legislative colleagues for some light appetizers, a drink and a chance to get to know one another at the Convention Center. Hear about the NCSL staff sections available to you, which are professional groups organized around jobs responsibilities.
5:00 pm – 6:00 pm Skyline Pre-function - Level 3
Women’s Legislative Network Reception Join members of the network to honor incoming president Delaware Senator Dori Connor, the executive board, and female lawmakers from around the world.
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6:30 pm – 8:30 pm Museum of Science and Industry
Social Event: Windy City Welcome Chicago stands tall as the city of big shoulders—a city known for its renowned architecture, captivating museums, beloved sports teams, wonderful shopping, great food and beautiful lake shore. At this opening event, you’ll have exclusive access to the largest science center in the Western Hemisphere and experience fascinating, world-class exhibits. During your exploration of the museum, you will get a ―taste‖ of what makes Chicago famous—food, fun and music. A traditional ―Taste of Chicago‖ will showcase all the famous eats and tunes from the Windy City, from deep dish pizza to the classic Chicago style hot dog, from jazz to gospel to rock.
8:30 pm – 11:00 pm The Signature Room, Hancock Building
CTIA-The Wireless Association’s Reception for the Communications, Financial Services and Interstate Commerce Committee members Please RSVP by Monday, July 30, to [email protected]. Shuttle service will be provided from the Museum of Science and Industry.
Wednesday, August 8, 2012
6:00 am – 7:30 am Bipartisan Bike Ride 7:30 am – 5:30 pm Registration B - Level 3
Registration
8:00 am – 9:15 am Staff Section Breakfasts 9:30 am – 10:45 am W180 - Level 1
Taxing the Cloud—Not a Weather Phenomenon (CLE) The development of cloud computing and digital products has put state government in a fog. It is difficult for states to define what a digital product or service is, and whether or not to tax it. Although relatively new, cloud computing has changed the landscape of how businesses operate and has changed the way we live. You'll be able to clarify the hazy definition of "cloud" and explore how some states have taxed digital services and products. Moderator:
Senator Deb Peters, South Dakota Panelists:
Representative Ross Hunter, Washington Stephen Kranz, Sutherland Asbill & Brennan LLP,
Washington, D.C. Scott Mackey, KSE FOCUS, Vermont
Steve Pierce, AT&T, Illinois 10:00 am – 4:00 pm Hall F1 - Level 3
Exhibit Hall
11:00 am – 12:15 pm Issue Forums 12:00 noon – 1:30 pm Hall F1 - Level 3
Atlanta Kick-off Lunch
1:30 pm – 2:45 pm W180 - Level 1
Placing Bets on Gaming: What's on the Screen? (CLE) Some policymakers continue to consider legalized gaming a way to cash in on extra revenue. While states traditionally have determined regulation and taxation of the gaming industry, Congress has introduced legislation regarding
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online gaming that may encroach upon the states' prerogative in this area. Explore state gaming developments, news regarding state legalization of online gaming and the possible fiscal and regulatory impacts on states if the federal bill is enacted. Moderator:
Steve Rauschenberger, Rauschenberger Partners, LLC, Illinois
Panelists:
Margaret Defrancisco, North American Association of State and Provincial Lotteries, Ohio
Frank Fahrenkopf, American Gaming Association, Washington, D.C.
Professor I. Nelson Rose, Gambling and the Law, California
3:00 pm – 4:30 pm W178ab - Level 1
Salute to Legislative Staff: Strong Stewards Mary Crane is a nationally recognized speaker and trainer. She has been featured on "60 Minutes" and "Fox Business News," and her experience includes working in the White House.
3:00 pm – 5:00 pm W184cd - Level 1
Legislators Roundtable
4:30 pm – 5:30 pm W180 - Level 1
Social Media Safety Social networking sites have created new security challenges in legislative and political realms. Hacking, high-jacking and impersonation happen too frequently. Hear about the security and privacy risks of social media, as well as some apps and location check-in tools, and learn some simple steps to keep your accounts secure. Moderator:
Peter Capriglione, North Carolina General Assembly Speaker:
Kevin Haley, Symantec, California States’ Night
Thursday, August 9, 2012
6:00 am – 7:30 am Walk for Wellness Stretch your legs and join your friends at the Walk for Wellness, a 5K walk (or run) along Lake Michigan, to raise awareness of chronic diseases and health disparities. It’s open to all Summit attendees; no preregistration is required. The start/finish location is Arvey Field, near Lake Shore Drive and Roosevelt.
7:30 am – 9:00 am W185d – Level 1
Online Reservations: A Breakfast on the State of Hotel Taxation Co-sponsored by the Task Force on State & Local Taxation Recently, state and local governments around the country have filed law suits against online travel companies (OTCs) claiming they are in violation of hotel occupancy tax ordinances. The suits claim that taxes should be paid on the amount the consumer paid for the room, rather than on the rate the OTC negotiated with the hotel. The travel
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companies contend that they neither operate hotels nor resell the rooms as wholesalers, placing them outside the scope of occupancy taxes. At this breakfast session, hear a discussion of online travel billing practices and how taxes are assessed, collected and remitted to the appropriate government agency. Moderator:
Representative Brian Patrick Kennedy, Rhode Island Panelists:
John Crongeyer, National Online Travel Litigation Group, Georgia
Bob Finnell, National Online Travel Litigation Group, Georgia
Joseph Henchman, The Tax Foundation, Washington, D.C.
Cynthia Ohlenforst, K&L Gates LLP, Texas 7:30 am – 8:45 am W176b - Level 1
NCSL Statehouse Ambassadors’ Breakfast NCSL State Liaisons will have an opportunity to get to know their state’s NCSL Statehouse Ambassadors, who are legislative staff serving as in-state field representatives for NCSL. The Statehouse Ambassador program is designed to energize and sustain participation in NCSL and strengthen the organization’s role as an extension of state legislatures.
7:30 am – 12:00 noon Registration B - Level 3
Registration
9:00 am – 10:15 am Skyline Ballroom - Level 3
General Session on Jobs John Engler, former Michigan governor and current head of the Business Roundtable, and Douglas Oberhelman, CEO of Caterpillar Inc., and Edward B. Rust Jr., CEO of State Farm Mutual and vice-chairman of the U.S. Chamber of Commerce, will participate in a lively discussion on the different roles government and businesses can play in creating jobs.
9:00 am – 12:00 noon Hall F1 - Level 3
Exhibit Hall
10:30 am – 12:15 pm W375e - Level 3
NCSL Annual Business Meeting All legislators and legislative staff are urged to attend the Business Meeting for consideration of policy directives and resolutions that will guide NCSL’s advocacy efforts before Congress and the administration, amendments to the Bylaws and Rules of Procedures, election of NCSL officers and approval of the Conference budget. All other meeting participants are welcome to observe.
12:30 pm – 2:00 pm Skyline Ballroom - Level 3
General Session: Doris Kearns Goodwin Doris Kearns Goodwin, acclaimed historian, Pulitzer Prize winner, prolific author and captivating speaker, has written books on Franklin and Eleanor Roosevelt, the Fitzgeralds and the Kennedys, Lyndon Johnson and Abraham Lincoln. This year, she will be speaking on Teddy Roosevelt—legislator, president, bigger-than-life hero—and the leadership lessons we can learn from a time of economic and political turmoil that reverberate today.
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2:15 pm – 3:30 pm Issue Forums Staff Sections
3:30 pm – 4:45 pm Staff Sections 5:00 pm – 5:45 pm Ancillary 6:30 pm – 9:00 pm Millennium Park
Social Event: Musical Feast What better way to say farewell to the City by the Lake than an evening of great music and fine food in this 25-acre park along Lake Michigan’s shoreline—a center for world-class art, music, architecture, gardens and landscape design? Guests will savor and sip some of Chicago’s best offerings from its many culturally diverse neighborhoods such as Greek Town, Little Italy and Ukrainian Village. While sitting under the stars, listen to an exclusive performance by the toddling town’s best-known musicians. Get ready for an evening of culinary and musical delights set against the picturesque skyline in one of the city’s top tourist attractions.
The NCSL Communications, Financial Services & Interstate Commerce Standing Committee will next meet during NCSL's Fall Forum to be held in Washington, D.C., December 5-7, 2012.
Please plan to attend!
For additional information about the Committee, please contact: Heather Morton (303-856-1475 or [email protected])
Jo Anne Bourquard (303-856-1355 or [email protected]) James Ward (202-624-8683 or [email protected]) Max Behlke (202-624-3586 or [email protected])
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NATIONAL CONFERENCE OF STATE LEGISLATURES 2011 - 2012 STANDING COMMITTEE ON COMMUNICATIONS, FINANCIAL SERVICES & INTERSTATE COMMERCE
The NCSL Standing Committee on Communications, Financial Services and Interstate
Commerce has jurisdiction over state-federal relations with regard to telecommunications,
electronic commerce, banking and financial services, interstate commerce and taxation of
electronic transactions, telecommunications and interstate business activity taxes. Upholding the
sovereignty of the states to regulate intrastate telecommunications and oversee the deregulation
and opening of local exchange markets to competition as well as advocate for regulatory parity of
similar services delivered through different mediums are major state-federal regulatory and
legislative concerns. The Committee also has responsibility to work with Congress and the
Administration to avoid over regulation of the Internet and electronic commerce that could cause
much harm to our nation’s own ability to compete globally while ensuring enhanced marketplace
competition, increased consumer choice and security of personal information of consumers. The
Communications, Financial Services and Interstate Commerce Committee will assume the
jurisdiction over the following issues: regulation of financial services -- including banking,
insurance and securities -- as well as community reinvestment, consumer protection, corporate
governance, credit cards, credit unions, financial privacy, and natural disaster insurance. Its
members have a keen interest in upholding state authority to regulate financial services and to
protect financial consumers. Specific issues include supporting states' role as the sole regulator of
the business of insurance, preserving the dual banking system, and opposing efforts to weaken
state authority to protect individual investors and impose remedies to correct fraudulent activity
by securities analysts.
Issues within the Committee’s Jurisdiction: Banks & Banking
Broadband Technologies
Business Activity Taxes
Cable TV Regulation
Community Reinvestment Act
Computer and Information Systems
Consumer Affairs
Content Regulation
Credit Cards & Bureaus
Credit Unions
Dual Banking System
Dual Chartering of Insurance
Electronic Commerce
Electronic Commerce Sales Tax
Electronic Government
Electronic Records and Information
Financial Institutions
Financial Privacy
Information technology and policy
Insurance
Insurance Fraud
Insurance Redlining
Insurance Solvency/State Guaranty Funds
Internet Gaming
Internet and Electronic Privacy
Internet Regulation
Internet Tax
Interstate Commerce
Natural Disaster Insurance
Securities
Spectrum Allocation
State Internet Networks
State Telecommunications Networks
Telecommunications
Telecommunications Taxes
Wireless Communications
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National Conference of State Legislatures Communications, Financial Services and Interstate Commerce Committee
2011-2012 Officer Directory Co-Chairs
Sen. Carol Fukunaga, Hawaii
State Capitol, Room 216
415 South Beretania Street
Honolulu, HI 96813
Phone: (808) 586-6890
Fax: (808) 586-6899
Rep. Greg Wren, Alabama
Alabama State House, Room 517-B
11 South Union Street
Montgomery, AL 36130
Phone: (334) 242-7764
Fax: (334) 242-4015
Staff Co-Chairs
Duncan Goss, Vermont
Vermont General Assembly
115 State St. State House
Montpellier, VT 05633-5301
Phone: (802) 828-2231
Fax: (802) 828-2424
Vice Chairs
Sen. Thomas C. Alexander, South Carolina
State House
PO Box 142
Columbia, SC 29202-0142
Phone: (803) 212-6220
Fax: (803) 212-6299
Rep. Ross Hunter, Washington
John L O’Brien Building
P.O. Box 40600
Olympia, WA 98504-0600
Phone: (360) 786-7936
Fax: (360) 786-1066
Del. Joe T. May, Virginia
General Assembly Building
PO Box 406
Richmond, VA 23218
Phone: (804) 698-1033
Fax: (804) 698-6733
Patricia Murdo, Montana
Montana Legislature
PO Box 201706
Helena, MT 59620-1706
Phone: (406) 444-3594
Fax: (406) 444-3036
Rep. Wayne Harper, Utah
State Capitol, Suite 350
350 North State Street
Salt Lake City, UT 84114
Phone: (801) 538-1029
Fax: (801) 326-1544
Del. Susan C. Lee, Maryland
Lowe House Office Building, Room 414
6 Bladen Street
Annapolis, MD 21401-1912
Phone: (410) 841-3649
Fax: (410) 841-3424
Rep. Chris Perone, Connecticut
Legislative Office Building, Room 4023
300 Capitol Avenue
Hartford, CT 06106-1591
Phone: (860) 240-8585
Fax: (860) 240-0067
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Staff Vice Chairs
Karen Cochrane-Brown North Carolina General Assembly
300 N. Salisbury St. – 545 LOB
Raleigh, NC 27603
Phone: (919) 733-2578
Fax: (919) 733-5460
Immediate Past Chair
Sen. Delores G. Kelley, Maryland
James Senate Office Building, Room 302
11 Bladen Street
Annapolis, MD 21401-1991
Phone: 410-841-3606
Fax: 410-841-3399
Gary Schaefer, Louisiana
Louisiana Legislature
PO Box 94183
Baton Rouge, LA 70804-9183
Phone: (225) 342-1001
Fax: (225) 342-9736
Immediate Past Staff Chair
Melissa Calderwood, Kansas
Kansas Legislature, Room 68-W
300 SW 10th Avenue
Topeka, KS 66612-1504
Phone: (785) 296-3181
Fax: (785) 296-3824
NCSL Staff Contacts
Denver Office
Heather Morton
Program Principal
Fiscal Affairs Program
Phone: (303) 856-1475
Fax: (303) 364-7700
Jo Anne Bourquard
Senior Fellow
State Services Division
Phone: (303) 856-1355
Fax: (303) 364-7700
Washington, D.C. Office
James Ward
Committee Director
State-Federal Relations Division
Phone: (202) 624-8683
Fax: (202) 737-1069
Max Behlke
Policy Specialist
State-Federal Relations Division
Phone: (202) 624-3586
Fax: (202) 737-1069
NATIONAL CONFERENCE OF STATE LEGISLATURES 2011 - 2012 STANDING COMMITTEE ON COMMUNICATIONS, FINANCIAL SERVICES & INTERSTATE COMMERCE
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Alabama
Rep. Steve Hurst, Republican
Rep. Oliver Robinson, Democrat
Rep. Greg Wren, Republican, Co-Chair
Alaska
Curt Clothier, Legislative Staff
Sen. Dennis Egan, Democrat
Rep. David Guttenberg, Democrat
Arkansas
Rep. John Burris, Republican
Sen. F. Bruce Holland, Republican
Sen. Jeremy Hutchinson, Republican
Roger Norman, Legislative Staff
Rep. Mark Perry, Democrat
Sen. Jason Rapert, Republican
Rep. Henry Wilkins, Democrat
California
Sen. Christine Kehoe, Democrat
Asm. Fiona Ma, Democrat
Colorado
Sen. Greg Brophy, Republican
Sen. Rollie Heath, Democrat
Sen. Evie Hudak, Democrat
Sen. Keith King, Republican
Rep. Kevin Priola, Republican
Sen. Mark Scheffel, Republican
Rep. Amy Stephens, Republican
Connecticut
Melissa Buckley, Legislative Staff
Sen. Bob Duff, Democrat
Katherine Dwyer, Legislative Staff
Sen. L. Scott Frantz, Republican
Connecticut (continued)
Rep. Susan Johnson, Democrat
Sen. Rob Kane, Republican
Sen. Gary LeBeau, Democrat
Sen. Carlo Leone, Democrat
Schuyler Merritt, Legislative Staff
Rep. Selim Noujaim, Republican
Rep. Chris Perone, Democrat, Vice Chair
Delaware
Sen. Catherine Cloutier, Republican
Rep. Deborah Hudson, Republican
Sen. Harris McDowell, Democrat
Rep. Darryl Scott, Democrat
Sen. Robert Venables, Sr., Democrat
District of Columbia
Councilmember Michael Brown, Democrat
Florida
Kara Collins-Gomez, Legislative Staff
Georgia
Rep. Stephen Allison, Republican
Rep. Steve Davis, Republican
Sen. Bill Hamrick, Republican
Brian Johnson, Legislative Staff
Rep. Billy Mitchell, Republican
Rep. Don Parsons, Republican
Sen. Cecil Staton, Republican
Hawaii
Sen. Rosalyn H. Baker, Democrat
Sen. Carol Fukunaga, Democrat, Co-Chair
Rep. Robert Herkes, Democrat
NATIONAL CONFERENCE OF STATE LEGISLATURES 2011 - 2012 STANDING COMMITTEE ON COMMUNICATIONS, FINANCIAL SERVICES & INTERSTATE COMMERCE
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Illinois
Sen. Pamela Althoff, Republican
Sen. Jacqueline Collins, Democrat
Sen. Iris Martinez, Democrat
Rep. Frank Mautino, Democrat
Louie Mossos, Legislative Staff
Rep. Timothy Schmitz, Republican
Maurice Scholten, Legislative Staff
Indiana Rep. Jeb Bardon, Democrat
Rep. C. Woody Burton, Republican
Eric Gonzalez, Legislative Staff
Sen. Travis Holdman, Republican
Rep. Eric Koch, Republican
Sen. Frank Mrvan, Democrat
Sen. Allen Paul, Republican
Sen. Greg Taylor, Democrat
Sen. Brent Waltz, Republican
Iowa
Glen Dickinson, Legislative Staff
Richard Johnson, Legislative Staff
Julie Simon, Legislative Staff
Kansas
Melissa Calderwood, Past Staff Chair
Rep. Nile Dillmore, Democrat
Rep. Stan Frownfelter, Democrat
Rep. Robert Grant, Democrat
David Larson, Legislative Staff
Sen. Ty Masterson, Republican
Rep. Charlotte O'Hara, Republican
Rep. Richard Proehl, Republican
Sen. Allen Schmidt, Democrat
Rep. Clark Shultz, Republican
Rep. Gene Suellentrop, Republican
Sen. Ruth Teichman, Republican
Kentucky
Sen. Tom Buford, Republican
Rep. Dwight Butler, Republican
Sen. Perry Clark, Democrat
Rep. Robert Damron, Democrat
Rep. Jeff Greer, Democrat
Rep. Keith Hall, Democrat
Donna Robinson Holiday, Legislative Staff
Rep. Jimmie Lee, Democrat
Rep. Brad Montell, Kentucky
Sen. Gerald Neal, Democrat
Rep. Tanya Pullin, Democrat
Sen. Dorsey Ridley, Democrat
Rep. Steve Riggs, Democrat
Sen. Daniel Seum, Republican
Sen. Tim Shaughnessy, Democrat
Mike Sunseri, Legislative Staff
Rep. Tommy Thompson, Democrat
Louisiana Sen. A.G. Crowe, Republican
Gary Schaefer, Legislative Staff Vice Chair
Maine
Colleen McCarthy Reid, Legislative Staff
Maryland
Del. Kumar Barve, Democrat
Del. Emmett Burns, Jr., Democrat
Del. Brian Feldman, Democrat
Sen. Delores G. Kelley, Democrat,
Immediate Past Chair
Del. Susan Krebs, Republican
Del. Susan Lee, Democrat, Vice Chair
Sen. C. Anthony Muse, Democrat
Sen. E.J. Pipkin, Republican
Sen. Catherine Pugh, Democrat
Del. Nancy Stocksdale, Republican
Del. Michael Vaughn, Democrat
NATIONAL CONFERENCE OF STATE LEGISLATURES 2011 - 2012 STANDING COMMITTEE ON COMMUNICATIONS, FINANCIAL SERVICES & INTERSTATE COMMERCE
~ 18 ~
Massachusetts
Rep. Paul Adams, Republican
Rep. Brian Ashe, Democrat
Rep. Carlo Basile, Democrat
Rep. Nicholas Boldyga, Republican
Rep. Paul Brodeur, Democrat
Rep. James Cantwell, Democrat
Rep. Gailanne Cariddi, Democrat
Rep. Tackey Chan, Democrat
Rep. Michael Costello, Democrat
Rep. Geraldine Creedon, Democrat
Rep. Mark Cusack, Democrat
Rep. Stephen DiNatale, Democrat
Rep. James Dwyer, Democrat
Rep. Lori Ehrlich, Democrat
Rep. Christopher Fallon, Democrat
Rep. Ryan Fattman, Republican
Rep. Robert Fennell, Democrat
Rep. Sean Garballey, Democrat
Rep. Thomas Golden, Democrat
Rep. Kate Hogan, Democrat
Rep. Russell Holmes, Democrat
Rep. Steven Howitt, Republican
Rep. Donald Humason, Republican
Rep. Randy Hunt, Republican
Sen. Brian Joyce, Democrat
Rep. John Keenan, Democrat
Sen. Michael Knapik, Republican
Rep. Kevin Kuros, Republican
Rep. Marc Lombardo, Republican
Rep. Timothy Madden, Democrat
Rep. John Mahoney, Democrat
Rep. Kevin Murphy, Democrat
Rep. Rhonda Nyman, Democrat
Rep. Jerald Parisella, Democrat
Sen. Anthony Petruccelli, Democrat
Rep. Angelo Puppolo, Democrat
Rep. John Rogers, Democrat
Rep. Theodore Speliotis, Democrat
Rep. Joyce Spiliotis, Democrat
Massachusetts (continued)
Rep. Thomas Stanley, Democrat
Rep. Walter Timilty, Democrat
Rep. Cleon Turner, Democrat
Michigan
Patrick Affholter, Legislative Staff
Sen. Steven Bieda, Democrat
Sen. Darwin Booher, Republican
Julie Cassidy, Legislative Staff
Sen. Joe Hune, Republican
Rep. Martin J. Knollenberg, Republican
Rep. Lisa P. Lyons, Republican
Sen. Michael L. Nofs, Republican
Rep. Amanda Price, Republican
Sen. John M. Proos IV, Republican
Robin Risko, Legislative Staff
Rebecca Ross, Legislative Staff
Sen. Tonya Schuitmaker, Republican
Jim Stansell, Legislative Staff
Steve Stauff, Legislative Staff
Rep. Jimmy Womack, Democrat
Minnesota
Rep. Joe Atkins, Democrat
Rep. Pat Mazorol, Republican
Rep. Tim O’Driscoll, Republican
Troy Olson, Legislative Staff
Thomas Pender, Legislative Staff
Rep. Tim Sanders, Republican
Katherine Schill, Legislative Staff
Rep. Kelby Woodard, Republican
Mississippi
Sen. Nancy Adams Collins, Republican
Mandy Davis, Legislative Staff
Ronald Frith, Legislative Staff
NATIONAL CONFERENCE OF STATE LEGISLATURES 2011 - 2012 STANDING COMMITTEE ON COMMUNICATIONS, FINANCIAL SERVICES & INTERSTATE COMMERCE
~ 19 ~
Missouri Rep. T.J. Berry, Republican
Terri Rademan, Legislative Staff
Rep. Dave Schatz, Republican
Montana
Bart Campbell, Legislative Staff
Rep. Rob Cook, Republican
Rep. Champ Edmunds, Republican
Todd Everts, Legislative Staff
Rep. Galen Hollenbaugh, Democrat
Sen. Cliff Larsen, Democrat
Patricia Murdo, Legislative Staff Co-Chair
Sonja Nowakowski, Legislative Staff
Hope Stockwell, Legislative Staff
Helen Thigpen, Legislative Staff
Nebraska
Sen. Abbie Cornett, Non-Partisan
Sen. Deb Fischer, Non-Partisan
Sen. Pete Pirsch, Non-Partisan
Sen. Paul Schumacher, Non-Partisan
Nevada
Asm. Irene Bustamante Adams, Democrat
Asm. Richard Daly, Democrat
Asm. Pat T. Hickey, Republican
New Hampshire Rep. John Hunt, Republican
Michael Kane, Legislative Staff
Michael J Landrigan, Legislative Staff
Christopher M. Shea, Legislative Staff
Rep. Kathleen Taylor, Democrat
New Jersey
Asm. Upendra Chivukula, Democrat
Asm. Paul Moriarty, Democrat
Asm. L. Grace Spencer, Democrat
New Mexico
Claudia Armijo, Legislative Staff
Sen. William Burt, Republican
Sen. Carlos Cisneros, Democrat
Sen. Phil Griego, Democrat
Sen. Timothy Keller, Democrat
Damian Lara, Legislative Staff
Sen. Lynda Lovejoy, Democrat
Sen. Cisco McSorley, Democrat
Sen. Steven Neville, Republican
Rep. Debbie Rodella, Democrat
Sen. Nancy Rodriquez, Democrat
Sen. John Christopher Ryan, Republican
Sen. Bernadette Sanchez, Democrat
Sen. John Arthur Smith, Democrat
Sen. David Ulibarri, Democrat
North Carolina
Rep. Alma Adams, Democrat
Rep. Harold Brubaker, Republican
Karen Cochrane-Brown, Legislative Staff
Vice Chair
Rep. Jerry Dockham, Republican
Walker Reagan, Legislative Staff
Rep. Mitchell Setzer, Republican
Rep. Joe Tolson, Democrat
Rep. Michael Wray, Democrat
North Dakota
Sen. Larry Robinson, Democrat
Sen. Bob Skarphol, Republican
Ohio
Rep. Richard Adams, Republican
Rep. Peter Beck, Republican
Michael Dittoe, Legislative Staff
Rep. Jay Goyal, Democrat
Sen. Eric Kearney, Democrat
Rep. Peter Stautberg, Republican
NATIONAL CONFERENCE OF STATE LEGISLATURES 2011 - 2012 STANDING COMMITTEE ON COMMUNICATIONS, FINANCIAL SERVICES & INTERSTATE COMMERCE
~ 20 ~
Oklahoma
Sen. Cliff A. Aldridge, Republican
Kim Bishop, Legislative Staff
Sen. Rick Brinkley, Republican
Sen. Bill Brown, Republican
Rep. Mike Brown, Democrat
Rep. David Brumbaugh, Republican
Rep. Larry Glenn, Democrat
Rep. Randy Grau, Republican
Rep. Charles Key, Republican
Rep. Dan Kirby, Republican
Rep. James Lockhart, Democrat
Rep. Steve Martin, Republican
Sen. Mike Mazzei, Republican
Rep. Lewis H. Moore, Republican
Rep. Jason W. Murphey, Republican
Rep. Marty Quinn, Republican
Rep. Seneca Scott, Democrat
Rep. John Trebilcock, Republican
Pennsylvania
Rep. Frank Burns, Democrat
Neil Friedman, Legislative Staff
Rep. Nick Kotik, Democrat
Rep. Mark Longietti, Democrat
Pennsylvania (continued)
Rep. Robert F. Matzie, Democrat
John Raymond, Legislative Staff
Rep. Chris Sainato, Democrat
Puerto Rico
Rep. Jose L. Chico Vega, NPP
Speaker Jenniffer Gonzalez Colon, PDP
Luis Hidalgo, Legislative Staff
Rep. Gabriel Rodriguez Aguilo, NPP
Rep. Paula A Rodriguez Homs, NPP
Rhode Island
Rep. Brian Patrick Kennedy, Democrat
South Carolina
Sen. Thomas Alexander, Republican,Vice Chair
Rep. Kenneth Bingham, Republican
Sen. Glenn Reese, Democrat
Mary Riley, Legislative Staff
Michael Shealy, Legislative Staff
Jane Shuler, Legislative Staff
Sen. David Thomas, Republican
South Dakota Rep. Kristin Conzet, Republican
Sen. Deb Peters, Republican
Rep. Mark K. Willadsen, Republican
Tennessee
Sen. Charlotte Burks, Democrat
Luke Gustafson, Legislative Staff
Sen. Jack Johnson, Republican
Rep. Stephen McManus, Republican
Anna Richardson, Legislative Staff
Sen. Steve Southerland, Republican
Sen. Jim Tracy, Republican
Texas
Rep. Brandon Creighton, Republican
Rep. Dan Flynn, Republican
Sen. Troy Fraser, Republican
Rep. Lance Gooden, Republican
Sen. Chris Harris, Republican
Rep. Harvey Hilderbran, Republican
Rep. Charles Howard, Republican
Rep. Jose Menendez, Democrat
Linda Pittsford, Legislative Staff
Rep. Vicki Truit, Republican
Sen. Leticia Van de Putte, Democrat
Rep. Hubert Vo, Democrat
Sen. Royce West, Democrat
Sen. Tommy Williams, Republican
NATIONAL CONFERENCE OF STATE LEGISLATURES 2011 - 2012 STANDING COMMITTEE ON COMMUNICATIONS, FINANCIAL SERVICES & INTERSTATE COMMERCE
~ 21 ~
Utah
Sen. Curtis Bramble, Republican
Rep. Wayne Harper, Republican,
Vice Chair
Sen. Peter Knudson, Republican
Zackery N. Zing, Legislative Staff
Vermont
StephanieBarrett, Legislative Staff
Rep. Jim Condon, Democrat
Rep. Susan Hatch Davis, Progressive
Duncan Goss, Legislative Staff Co-Chair
Rep. Warren Kitzmiller, Democrat
Rep. William Lippert, Democrat
Rep. Ernest Shand, Democrat
Sara Teachout, Legislative Staff
Virginia
Del. Robert Brink, Democrat
Del. Kathy Byron, Republican
Sen. Adam Ebbin, Democrat
Sen. Mark R. Herring, Democrat
Del. Joe May, Republican, Vice Chair
Sen. Phillip Puckett, Democrat
Sen. Walter Stosch, Republican
Lisa Wallmeyer, Legislative Staff
Sen. John C. Watkins, Republican
Del. Vivian Watts, Democrat
Washington
Sen. Maralyn Chase, Democrat
Rep. Bob Hasegawa, Democrat
Joe Hedegard, Legislative Staff
Rep. Ross Hunter, Democrat, Vice Chair
Rep. Troy Kelley, Democrat
Rep. John McCoy, Democrat
Thomas Osborn, Legislative Staff
West Virginia
Del. Nancy Peoples Guthrie, Democrat
Sen. Walt Helmick, Democrat
Sen. Evan Jenkins, Democrat
Sen. Jeffrey Kessler, Democrat
Del. Cliff Moore, Democrat
Melanie Pagliaro, Legislative Staff
Wisconsin
Margit Kelley, Legislative Staff
Dan Schmidt, Legislative Staff
Wyoming
Rep. John A. Botten, Republican
Sen. Cale Case, Republican
Lynda Cook, Legislative Staff
Senator Floyd A. Esquibel
David Gruver, Legislative Staff
Rep. Kendell Kroeker, Republican
Wisconsin
Margit Kelley, Legislative Staff
Dan Schmidt, Legislative Staff
Wyoming
Rep. John A. Botten, Republican
Sen. Cale Case, Republican
Lynda Cook, Legislative Staff
Senator Floyd A. Esquibel
David Gruver, Legislative Staff
Rep. Kendell Kroeker, Republican
~ 22 ~
New Policy Statements and Resolutions All new policy directives and resolutions must be submitted to the attention of the Washington Office Directors, Neal Osten and Molly Ramsdell ([email protected]) by 5:00 pm (EST) on Monday, July 9. They will submit the policy directives and resolutions to the co-chairs of the Standing Committees, Senator Curt Bramble of Utah and Assemblywoman Fiona Ma of California, for assignment to the appropriate committee(s) of jurisdiction. All policy directives and resolutions to be considered at the 2012 Legislative Summit in Chicago must be posted on NCSL’s web site no later than Monday, July 30, though our intention is to have everything posted by July 20. The list of policy directives and resolutions will be sent to all legislative leaders, NCSL Executive Committee members, and chairs and vice chairs of the NCSL standing committees. Each committee is responsible for making the policy directives and resolutions available to all committee members.
Amendments to Policy Directives and Resolutions NCSL’s Executive Committee has made it a priority to ensure that NCSL’s policy development process is transparent as evidence by the 30 day introduction requirement for policy directives and resolutions. In that same regard, the Executive Committee has approved changes to the NCSL Rules of Procedure that will set guidelines for the introduction of amendments to policy directives and resolutions. These proposed changes will be considered at the Business Meeting in Chicago and therefore will not be in effect for the 2012 Legislative Summit. However, to foster the transparency of NCSL’s policy process, members are encouraged to introduce amendments to policy directives and resolutions no later than July 30, which is ten days before the Legislative Summit Business Meeting.
Voting Members of the Committee The roster of voting members for each standing committee is the roster on file with NCSL as of August 3, 2012. The legislators on that roster have been duly appointed by their appropriate presiding officer in their legislative chamber. Appointments to a committee after August 3 shall be made in writing from the appropriate presiding officer and delivered to Bill Pound, NCSL Executive Director, no later than the start of a committee’s scheduled business meeting. (Please see below.) Committee chairs may want to announce at the beginning of the first committee session that only legislators on the official committee roster (which will include any new appointments made to Bill Pound) will be permitted to vote during the committee’s business meeting. Appointments to a committee cannot be accepted once the FIRST business meeting for that committee starts. For the 2012 Legislative Summit, the scheduled start of the various standing committees is as follows:
~ 23 ~
Committee Date Time Human Services & Welfare Monday, August 6 12:00 pm Law & Criminal Justice Monday, August 6 12:00 pm Agriculture & Energy Monday, August 6 3:15 pm Environment Monday, August 6 3:15 pm Health Monday, August 6 3:15pm Labor & Economic Development Monday, August 6 3:15 pm Transportation Monday, August 6 3:15 pm Budgets and Revenue Tuesday, August 7 10:30 am Communications, Financial Services Tuesday, August 7 10:30 am and Interstate Commerce Education Tuesday, August 7 10:30 am Committee Business Meeting
All committee members to be identified with appropriate table tent name holder,
prepared by NCSL staff.
The presiding legislator co-chair [chair] or one of the legislator vice chairs calls the
meeting to order at the scheduled time.
The presiding legislator co-chair shall establish the presence of a quorum. It is
recommended that the chair call the roll of states to determine the presence of a
quorum. The quorum for the adoption of policy directives and resolutions in a standing
committee shall consist of representation of appointed legislator members from at least
10 states. A quorum call can also be requested by legislator members from 2 states at
any time during the committee business meeting.
A legislator member from a state not present for the most recent quorum call can,
before the start of the next roll call vote, request recognition from the presiding
legislator co-chair and be recorded as present for purposes of the quorum.
Each committee shall review and act on all policy directives or resolutions referred to
the committee. A legislator member who is sponsoring a policy directive, resolution or
amendment may withdraw such policy directive, resolution or amendment at any time
before a vote is called.
If a committee fails to take up any policy directive or resolution on its agenda before the
scheduled time of the committee meeting expires, those policy directives and
resolutions would be considered tabled and held over until the next meeting of the
committee in Washington, D.C., December 6-8, 2012.
A summary of action on all policy directives and resolutions must be kept by NCSL staff
and such summary shall be delivered by the legislator co-chairs or one of the legislator
vice chairs at the appropriate meeting of the Steering Committee.
The legislator chair or one of the legislator vice chairs acting as presiding officer of the
standing committee has the obligation and authority to preserve order and decorum
and have charge of the committee meeting room at all times.
Committee does not need to take any further action to table unfinished business.
~ 24 ~
All standing committee business meeting must end by 3:15 pm on Tuesday, August 7,
2012.
Voting During the Committee Business Meeting
Only duly appointed legislator members of the committee can vote on matters of public
policy.
All voting in the committee shall be by a voice vote, except when a roll call is requested
by at least one legislator from two member states, or is called by the legislator chair.
During a roll call vote on a question, only states that were recorded as present during
the most recent quorum call shall be called on to vote.
The legislator chair may request any delegation from a state to designate a
spokesperson if there are more than two legislators from the state. The spokesperson
would cast the vote for the state on any roll call vote.
The vote by a state shall represent the majority view of all the duly appointed legislator
members from the state present and voting. If the legislator members in a state
delegation are evenly divided, the state vote would be recorded as present.
On matters of public policy an affirmative vote of three-fourths (3/4) of the states
responding to the most recent quorum call shall be required. This means that states
that pass, abstain or vote present would be counted.
For all amendments to policy directives and resolutions, a simple majority of the states
responding to the most recent quorum call shall be required.
A quorum call can be requested at any time by legislator members from two states prior
to the start of a roll call vote.
At such time that the legislator chair announces the vote on a policy directive or
resolution, the vote is final. Motions to reconsider a question can be made by any
legislator member of the committee.
If a policy directive or resolution passes the committee unanimously it will be reported
to the Consent Calendar. Policy directives or resolutions adopted at the previous Fall or
Spring Forum shall also be considered on the Consent Calendar. Any policy statement or
resolution receiving at least one no vote shall be reported to the Debate Calendar.
Post Committee Meeting Responsibilities The legislator chair or a designated legislator vice chair shall make a report to the Steering Committee on Tuesday, August 7 at 4:45 pm on the disposition of all the policy directives and resolutions that were on the committee’s agenda. The legislator chair or a designated legislator vice chair is responsible for making an introductory statement and moving the committee’s policy directives and resolutions that appear on the Debate Calendar on the floor of the NCSL Annual Business Meeting on Thursday, August 9, 2012. The Business Meeting will take place 10:30 am – 12:15 pm.
~ 3 ~
* Incorporated into Environment Committee’s Waste Management Policy Directive
Policy Statements
1. 21st Century Communications
2. Spectrum Management
3. Banking Regulation
4. Corporate Formations
5. Dual Chartering of Credit
Unions
6. Financial Information Security
7. State Sovereignty in Financial
Services
8. Insurance Regulatory
Modernization
9. Insurance Fraud - Federal
Criminalization
10. Equal Access to FBI Crim.
History Recs.
11. Natural Disaster Mitigation &
Insurance
12. Terrorism Risk Insurance
13. The Internet & Electronic
Commerce
14. Cradle to Grave Electronics
Management
15. Nexus in the New Economy
16. Video Franchise Reform
Policy Statements
1. Banking Regulation
2. Corporate Formations
3. Dual Chartering of Credit Unions
4. Financial Information Security
5. State Sovereignty in Financial
Services
6. Insurance Regulatory
Modernization
7. Insurance Fraud - Federal
Criminalization
8. Equal Access to FBI Crim.
History Recs.
9. Natural Disaster Mitigation &
Insurance
10. Terrorism Risk Insurance
11. The Internet & Electronic
Commerce
12. Cradle to Grave Electronics
Management *
13. Nexus in the New Economy
14. Video Franchise Reform
Insurance
(Insurance Regulatory Modernization)
(Insurance Fraud – Federal Criminalization)
(Equal Access to FBI Crim. History Recs.)
(Natural Disaster Mitigation & Insurance)
(Terrorism Risk Insurance)
21st Century
Communications
Resolutions Expiring at the 2012 Legislative Summit in Chicago, Illinois
Opposes the State Video Tax Fairness Act (Consent Calendar)
Supports Federal VoIP Communications Sourcing Act (Consent Calendar)
Supports Public Private Partnerships to Increase Broadband Internet Adoption and Use (Consent Calendar)
Supports and Urges Enactment of the Main Street Fairness Act
Supports Intellectual Property (IP) Rights and Protections to Promote Productivity, Competitiveness, Jobs, and Public Health
Opposes Federal Contactless Technology Mandates For State Issued Identification Documents
21st Century Communications
(21st Century Communications)
(Spectrum Management)
Banking & Financial
Services
Insurance
The Internet &
Electronic Commerce
Banking & Financial Services
(Banking Regulation)
(Dual Chartering of Credit Unions)
(Financial Information Security)
(State Sovereignty in Financial Services)
The Internet & Electronic Commerce
(The Internet & Electronic Commerce)
(Video Franchise Reform)
21st Century
Communications
Current Policy Statements
Fall Forum 2011
Legislative Summit 2012
Policy Directives Post Legislative Summit 2012
Guidance for Transition of Current Communications, Financial Services & Interstate Commerce Committee Policy Statements to Policy Directives
Corporate Formations
(Corporate Formations)
Remote Commerce
(Nexus in the New Economy )
Corporate Formations
Remote Commerce
~ 26 ~
COMMITTEE: COMMUNICATIONS, FINANCIAL SERVICES & 1
INTERSTATE COMMERCE 2
3
POLICY: BANKING & FINANCIAL SERVICES 4
5
TYPE OF POLICY: DRAFT POLICY DIRECTIVE 6
7
STATE SOVEREIGNTY IN FINANCIAL SERVICES 8
The National Conference of State Legislatures (NCSL) is concerned that Congress, the 9
federal financial services regulators, and the federal courts have sought to nationalize 10
control of financial services in Washington, D.C. NCSL has consistently and strongly 11
advocated for state sovereignty in financial services regulation. NCSL has opposed any 12
federal preemption of state legislative or regulatory authority in financial services. A high 13
burden of proof that federal action is necessary, such as a national financial crisis, should 14
be met before any preemption of state financial services laws and regulations is warranted. 15
Preservation of Dual Banking System 16
NCSL is committed to the preservation of the dual banking system. The dual system 17
enables state governments to apply laws and regulations to banks and thrifts that serve 18
the needs of local economies and that respond to the values and concerns of local 19
citizens. In recognition of the advantages of the dual system to the public and to the 20
health of the financial services industry, NCSL opposes any efforts by the federal 21
government to restrict state authority to charter, supervise, or regulate the powers of state 22
chartered banks and thrifts. NCSL opposes any federal attempts to tax state banks for 23
federal oversight services already performed by the appropriate state banking agencies 24
and departments. Nonetheless, NCSL recognizes that the states have a duty to use their 25
powers responsibly and in a way that does not endanger the deposit insurance system 26
and thereby the nation's financial stability. NCSL acknowledges congressional efforts in 27
the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank) to limit 28
the unchecked preemption efforts by the Office of the Comptroller of the Currency (OCC) 29
of state financial consumer protections. NCSL urges continued congressional vigilance of 30
~ 27 ~
the OCC and asks the secretary of the Treasury to ensure that the spirit of the Dodd-31
Frank Act in ensuring the states’ role in protecting consumers is not diminished in 32
regulations establishing the new Consumer Financial Protection Bureau. 33
Federal Regulatory Consolidation 34
NCSL recognizes the need for the federal government to reduce the federal regulatory 35
burden that can impede the economic vitality of our nation's financial services industries. 36
In consolidating the federal banking regulators, Congress must ensure that any 37
consolidation does not invalidate the regulatory independence of the dual banking 38
system. 39
NCSL opposes any federal regulatory consolidation plan that would: 40
Preempt, limit or interfere with the rights of states to regulate state chartered 41
banks; 42
Require federal reporting requirements and examinations that duplicate state 43
efforts; 44
Place state chartered banks at a competitive disadvantage with national banks or 45
federal thrifts; and 46
Grant oversight authority for state chartered banks to the OCC, the regulator of 47
national banks. 48
NCSL supports the continued federal oversight by the FDIC and the Federal Reserve of 49
state chartered banks. It would be detrimental to the well-being of the dual banking 50
system for Congress to tamper with present oversight cooperation between state banking 51
departments, the FDIC and the Federal Reserve. 52
Federal Preemption 53
NCSL strongly believes that a high burden of proof must be established before federal 54
preemption of state banking authority is ever justified and that only Congress—and not 55
federal regulatory agencies—can preempt the actions of elected state leaders. NCSL 56
supports the “prevent or significantly interfere with” standard established by the Supreme 57
~ 28 ~
Court and reiterated in Subtitle D of Title X of the Dodd-Frank Act to govern federal 58
preemption of state laws as those laws apply to national banks. NCSL strongly opposes 59
any effort by the OCC to assert its regulatory authority to weaken the standard of 60
preemption or shield national banks and bank operating subsidiaries from state consumer 61
protection laws and enforcement. Moreover, NCSL encourages Congress to eliminate the 62
judicial deference given to the OCC by federal courts in challenges to state financial 63
services laws and to restrain OCC abuse of its regulatory authority to preempt state laws. 64
Dual Chartering of Credit Unions 65
NCSL believes that state credit union supervisors have the primary responsibility for 66
assuring the safety and soundness of credit unions chartered by and operating under 67
state law and regulation. NCSL supports the authority of state governments to determine 68
how state financial institutions must be insured and opposes any efforts by the federal 69
government to preempt states’ authority to govern state deposit insurance requirements. 70
NCSL also acknowledges that states have a responsibility to provide a credible regulatory 71
environment where powers can be exercised in a way that does not endanger the 72
financial solvency of the National Credit Union Share Insurance Fund (NCUSIF). NCSL 73
additionally acknowledges that federal deposit insurance agencies, like the National 74
Credit Union Administration (NCUA), have a legitimate role to play if state authorized 75
powers lead to unreasonable risks for NCUSIF. However, NCUA regulations and policies 76
should be crafted in a way that minimizes the preemption of state authority. NCSL 77
opposes any effort by the Administration and Congress to erode the dual chartering 78
system for credit unions by preempting state credit union laws and regulations that do not 79
adversely impact the financial well-being of state chartered credit unions and thus the 80
NCUSIF. Any preemption of state credit union laws or regulatory authority must be 81
justified only by a clear and certain threat to the credit unions' share insurance fund by 82
those credit unions that are federally insured. 83
Consumer Protection 84
State legislatures and Congress must periodically consider legislation: to ensure 85
consumer access to basic financial services; to protect the privacy of financial consumers 86
~ 29 ~
and the security of their personal financial information; to provide protection for 87
consumers from abusive lending practices; to ensure disclosure of information about 88
credit terms, interest rates, fees, and balances; to regulate branch closing; and to 89
otherwise protect the consuming public. In recognition that this is an area of overlapping 90
federal and state jurisdiction, NCSL will ordinarily not oppose such federal consumer 91
protection measures, provided that there is no preemption of complementary state 92
consumer protection legislation. Federal legislation should not prohibit state legislatures 93
and state regulators from providing additional protections for consumers of financial 94
services. Furthermore, as the Consumer Financial Protection Bureau established in 95
Dodd-Frank commences its role as the federal agency responsible for regulating 96
consumer protection and enforcing applicable federal laws NCSL opposes any action that 97
preempts state consumer protections law or undermines the principles of federalism. 98
Finally, as online financial services continue to grow, clear rules must be established as to 99
which jurisdiction's consumer protections apply to a given transaction. NCSL believes that 100
any such rules should be crafted through a partnership between state and federal 101
regulators and should not place state chartered financial institutions at a disadvantage in 102
the institution’s ability to provide services over the Internet. 103
Financial Services and Economic Development 104
NCSL recognizes that racial, ethnic, or gender discrimination by financial services 105
institutions may have an impact on the ability of residents in distressed communities to 106
obtain financial assistance. State legislators also recognize the need for financial 107
institutions to make safe, sound and profitable investments. NCSL, recognizing the 108
responsibilities that each state has for financial institution regulation and solvency and for 109
providing for fair lending to their constituents, believes that each state legislature has the 110
responsibility to address the unique needs of its state. Likewise, the federal government 111
as regulator of federal financial institutions must make the same determinations and act 112
accordingly. However, Congress must not mandate federal guidelines that impede the 113
states' abilities to regulate financial services. 114
~ 30 ~
Securities Regulation 115
NCSL recognizes that the federal government has an interest in efficient and fair capital 116
markets. NCSL also acknowledges that the states’ securities agencies are indispensable 117
partners with their federal counterparts engaging in the pursuit of fair and efficient capital 118
markets by protecting local investors, workers, and communities by ensuring compliance 119
with securities laws. 120
NCSL is concerned that the preemption of state securities laws and regulations will serve 121
only to erode investor trust in the capital markets by further weakening a system designed 122
to protect investors and putting the financial well-being of hard-working Americans at risk. 123
NCSL opposes such federal preemption and the creation of self-regulatory organizations 124
that usurp state authority. Instead, NCSL supports congressional efforts to expand the 125
restoration of state securities regulators’ authority. 126
Mortgage Industry 127
Currently states regulate a significant portion of mortgage lending. Federalizing this area 128
of supervision will displace the 50-state regulatory system that has rapidly evolved and 129
could erode, or even eliminate, the current authority the states have to approve, supervise 130
and bar mortgage professionals. The local nature of real estate and consumer protection 131
necessitates direct state authority. 132
States, through the Conference of State Bank Supervisors (CSBS) and the American 133
Association of Mortgage Regulators (AARMR), developed the Nationwide Mortgage 134
Licensing System (NMLS) to improve and coordinate mortgage supervision. This state 135
system enhances consumer protection and streamlines the licensing process for 136
regulators and the industry. NCSL supports the NMLS to encourage a more coordinated 137
system of state and federal supervision. 138
FINANCIAL INFORMATION SECURITY 139
NCSL believes that states should continue to play a vital role in protecting the privacy, 140
confidentiality and security of sensitive nonpublic personal financial information. States 141
~ 31 ~
long have sought to balance the economic value of information sharing with reasonable 142
safeguards against the unnecessary disclosure and inappropriate acquisition of sensitive 143
nonpublic personal financial information, such as credit information, account numbers, 144
account balances, and Social Security numbers. Understanding local and regional 145
economic situations and the unique needs of consumers within these markets, states 146
consistently have ensured the protection of sensitive nonpublic personal financial 147
information. 148
State legislatures recognize that financial information security is an area of overlapping 149
federal and state jurisdiction. Therefore, NCSL does not oppose federal baseline 150
standards for the protection of financial information, provided that these standards 151
generally do not preempt complementary state laws. NCSL believes that states should 152
have the authority and flexibility to adopt standards for the acquisition, retention, 153
disclosure and sharing of financial information by and among financial institutions and 154
nonaffiliated third parties that address local concerns or respond in a timely way to 155
incidences of neglect or abuse that may be local or regional in nature. NCSL specifically 156
believes that Congress should preserve state authority to exceed federal baseline 157
standards for information sharing among nonaffiliated third parties. 158
Credit Reporting 159
NCSL acknowledges the benefit of a uniform national credit reporting system to the 160
nation's economy. Therefore, NCSL does not oppose the limited areas that were subject 161
to federal preemption by the 1996 Amendments of the Fair Credit Reporting Act and 162
made permanent by the Fair and Accurate Credit Transactions Act. In doing so, NCSL 163
supports the continued exemption of the state laws that were in existence prior to the 164
1996 Amendments and thus are currently exempted from the preemption provisions. 165
Data Security Breach Disclosure 166
Consistent with NCSL’s general policy for safeguarding financial information, NCSL does 167
not oppose baseline federal data security breach notification standards, provided that the 168
requirements do not preempt state authority to adopt standards that provide affected 169
~ 32 ~
consumers additional protection and notification. NCSL also supports allowing state 170
financial regulators and attorneys general to enforce any new federal data security breach 171
notification standards 172
In the event that Congress decides to preempt state law, NCSL urges that the preemption 173
be narrowly construed to preempt only state laws that are inconsistent with the federal 174
standard while preserving state laws that apply to entities that may be excluded from the 175
federal act. Additionally, should Congress decide to preempt state data security breach 176
notification laws, NCSL would support a strong federal law that would require notification 177
of the affected consumers when sensitive personally identifiable information has been, or 178
is reasonably believed to have been, accessed or acquired. In this instance, exceptions 179
should be made only when it is concluded that there is no significant risk that the breach 180
has resulted in, or will result in, harm to the individual whose information has been 181
breached. 182
~ 33 ~
COMMITTEE: COMMUNICATIONS, FINANCIAL SERVICES & 1
INTERSTATE COMMERCE 2
3
POLICY: CORPORATE FORMATIONS 4
5
TYPE OF POLICY: DRAFT POLICY DIRECTIVE 6
7
The ability to regulate and set standards for incorporation law resides within the 8
individual states. Many states rely on the revenue generated by incorporation 9
fees, corporate taxes and other fees as a way to fund many of their public 10
needs. States determine requirements regarding the articles of incorporation and 11
have the ability to tighten and lift barriers for corporate formation. The National 12
Conference of State Legislatures opposes any unwarranted effort at the federal 13
level to preempt state incorporation laws.14
~ 34 ~
COMMITTEE: COMMUNICATIONS, FINANCIAL SERVICES & 1
INTERSTATE COMMERCE 2
ENVIRONMENT 3
4
POLICY: CRADLE TO GRAVE ELECTRONICS MANAGEMENT 5
6
TYPE OF POLICY: DRAFT POLICY DIRECTIVE 7
8
The disincentives for reuse and recycling of electronics scrap or e-scrap must be 9
examined and mitigated by all relevant stakeholders. 10
NCSL encourages the full cooperation and assistance of the federal government in 11
state efforts to promote responsible product stewardship and encourage the 12
development of an infrastructure necessary to support the widespread recovery of a 13
broad range of electronic equipment. Any legislative or regulatory action taken at the 14
federal level must recognize the importance of a state-federal partnership in managing 15
the current stream of end-of-life electronics and promote future product stewardship of 16
electronic equipment. 17
~ 35 ~
COMMITTEE: COMMUNICATIONS, FINANCIAL SERVICES & 1
INTERSTATE COMMERCE 2
3
POLICY: INSURANCE 4
5
TYPE OF POLICY: DRAFT POLICY DIRECTIVE 6
7
INSURANCE REGULATORY MODERNIZATION 8
The National Conference of State Legislatures (NCSL) is committed to state regulation 9
of the business of insurance. NCSL acknowledges the responsibility of states to adjust 10
state systems to meet the needs of the modern economy. NCSL opposes any proposal 11
to establish either a federal or a dual system of regulation of insurance, to cede any 12
state authority to regulate financial institutions involved in the business of insurance or 13
to obtain Congressional ratification of trade agreements that preempt state regulation of 14
insurance. 15
States and insurance commissioners continue to develop a shared vision of insurance 16
regulatory reform to meet the needs of the modern marketplace while preserving the 17
advantages of the state system. NCSL supports the efforts of states to streamline and 18
simplify insurance regulation. NCSL endorses state participation in the Interstate 19
Insurance Product Regulation Commission, which creates a national state-based 20
system to make regulatory decisions quickly on life insurance products according to 21
uniform national standards. NCSL endorses state participation in the Surplus Lines 22
Insurance Multi-State Compliance Compact (SLIMPACT), an interstate compact to 23
protect and facilitate the collection of premium tax revenue on surplus lines and 24
independently procured insurance placements by the compacting states. 25
NCSL believes that state efforts to enact significant reforms in critical areas represent 26
tremendous progress, and NCSL will continue to support further efforts as states move 27
forward to achieve widespread reform in all areas in the years ahead. 28
~ 36 ~
State-Federal Partnership 29
Individually and at the national level, states work to modernize insurance regulation. 30
However, state legislatures recognize a legitimate federal role in overseeing and 31
promoting well-functioning insurance markets. 32
Title V of the Dodd-Frank Wall Street Reform and Consumer Protection Act established 33
The Federal Insurance Office (FIO) within the U.S. Department of Treasury. While 34
NCSL and other state groups were successful in limiting the scope of the FIO’s 35
authority, concern remains that the FIO will serve as a vehicle to promote a greater 36
federal role in the historically state-regulated industry of insurance. 37
Therefore, NCSL opposes any administrative action by the FIO or federal legislation 38
that: relies on wholesale preemption of state authority, would compel state compliance 39
with federal standards or those of any non-governmental third party, or conditions, 40
restricts or redirects state insurance revenues, including insurance premium taxes, fees 41
and fines, either directly or as a condition of a state’s refusal to submit to federal 42
standards or federal efforts to commandeer a state executive branch official to 43
participate in a federal regulatory program. 44
Moreover, some in Congress and industry support federal legislation to establish a 45
single federal regulator of insurance or allow for dual federal and state insurance 46
regulation. NCSL opposes any provision of federal legislation that preempts state 47
authority through the creation of a federal insurance official, commission or entity with 48
the authority to regulate insurance, to implement federal standards, to enforce state 49
compliance with federal standards, or to initiate or participate in judicial proceedings to 50
resolve differences between federal standards and state law. 51
State legislators perform a critical role in the development of insurance public policy. 52
However, despite this important function, state legislators are oftentimes overlooked for 53
service on federal advisory boards and committees related to the regulation of the 54
business of insurance. Recognizing this recurring oversight, NCSL requests an 55
~ 37 ~
enhanced effort from the federal government to incorporate state legislators onto 56
associated insurance advisory panels. 57
Insurance Company Solvency 58
The safety and soundness of insurance companies operating in the United States are 59
the prime objective of state insurance regulation. State legislatures have endeavored to 60
strengthen state insurance departments and to create standards for financial regulation 61
that have improved the solvency of insurance companies. 62
NCSL opposes any proposal to establish federal standards for state solvency regulation 63
that cedes any authority to federal agencies to regulate financial institutions involved in 64
the business of insurance, including congressional ratification of trade agreements that 65
would preempt state regulation of insurance for solvency purposes. Although NCSL 66
continues to support the National Association of Insurance Commissioners’ Financial 67
Regulation Standards and Accreditation Program, NCSL acknowledges that state 68
legislatures and governors have the responsibility to enact policy, which state regulators 69
enforce. NCSL recognizes that interstate compact proposals have the potential of 70
addressing binding uniformity and effectiveness in specific areas of regulation. 71
NCSL also objects to actions taken or contemplated by the Internal Revenue Service or 72
other federal agencies to assert priority claims to the assets of failed insurers. The 73
states should first be allowed to distribute an insolvent company's assets to pensioners, 74
family businesses, other policyholders and others protected by the McCarran-Ferguson 75
Act’s delegation of the business of insurance to the states. 76
In the same vein, NCSL is concerned by federal bankruptcy rulings under the federal 77
bankruptcy code that would allow alien insurers and reinsurers to move certain trust 78
fund assets to bankruptcy proceedings in their domicile country. The trust funds 79
established by alien insurers and reinsurers are to serve as collateral for insurance and 80
reinsurance underwriting in the United States. Federal bankruptcy rulings have allowed 81
such alien insurers and reinsurers to be exempt from state solvency regulation and 82
~ 38 ~
have placed these collateral trust funds out of the reach of state insurance departments, 83
which are solely responsible for solvency protection. NCSL urges Congress to rectify 84
this situation by amending federal law to eliminate or limit this exemption for alien 85
insurers and reinsurers under the bankruptcy code. 86
Insurance Information Security 87
NCSL opposes any federal effort to preempt state laws and regulations or to enact 88
federal standards that address the use of financial and credit information in insurance. 89
INSURANCE FRAUD - FEDERAL CRIMINALIZATION 90
NCSL recognizes the toll that policyholder and claimant initiated fraud has on the cost of 91
insurance and the solvency of the insurer. We applaud the action taken in various states 92
to pass laws that make it more difficult to file a false claim, increase the penalties for 93
those who are guilty of fraudulent activities, and expand state insurance department 94
fraud units. 95
NCSL believes that the prosecution of policyholder and claimant fraud should and must 96
remain in the jurisdiction of state and local law enforcement officials. However, in cases 97
of internal insurer fraud that may be the result of interstate and international 98
conspiracies to defraud, loot or plunder an insurance company, states and the federal 99
government should cooperate to prosecute such criminal activity. 100
As a result of financial services modernization, the various federal and state financial 101
institutions regulators need to coordinate anti-fraud activities. However, federal 102
legislation to assist the coordination of state and federal anti-fraud activities should not 103
unnecessarily preempt state anti-fraud laws and regulations nor grant audit or subpoena 104
authority to a federal entity over a state agency operating under appropriate state 105
constitutions and laws. 106
NCSL's endorsement of federal involvement in the criminal prosecution of certain kinds 107
of insurance fraud does not diminish our support for continued state regulation of the 108
~ 39 ~
insurance business. Federal criminal sanctions will assist state regulators in state efforts 109
to prevent future insolvencies. 110
EQUAL ACCESS TO FBI CRIMINAL HISTORY RECORDS 111
State regulators should have efficient access to the Federal Bureau of Investigation’s 112
(FBI) Criminal Justice Information System in order to establish dependable procedures 113
for licensing officers, directors, and agents of insurance companies across the United 114
States. 115
NCSL calls on Congress to give state insurance regulators statutory access to FBI 116
fingerprint files. This information is currently available to federal and state banking and 117
securities regulators. Access will help safeguard insurance consumers from the 118
unnecessary risk of having known fraud artists or violent offenders engaged in the 119
insurance business. 120
NATURAL DISASTER MITIGATION AND INSURANCE 121
NCSL urges Congressional action that would: (a) provide federal grants, tax credits or 122
deductions to assist consumers to strengthen their homes to better withstand 123
catastrophic natural disasters; and (b) create a commission to determine what other 124
action is necessary and appropriate to support and enhance the ability of existing 125
insurance and reinsurance mechanisms to cope with catastrophic natural disasters. 126
However, any such action must not displace private sector risk transfer mechanisms, 127
adversely impact a state's ability to levy premium taxes, regulate the business of 128
insurance and set solvency standards for property and casualty insurers. 129
TERRORISM RISK INSURANCE 130
NCSL requests Congress work with state insurance regulators to ensure that the 131
property and casualty insurance and group life insurance industries develop the 132
products to protect Americans from financial losses associated with terrorism and to 133
ensure an available and affordable insurance market for American consumers and 134
businesses. 135
~ 40 ~
NCSL continues to believe that any reauthorization of the Terrorism Risk Insurance Act 136
should recognize the temporary nature of the program, and therefore encourages efforts 137
to further promote development of the private insurance markets. Any federal plan for a 138
temporary and limited federal backstop for terrorism insurance coverage must not 139
adversely impact a state’s ability to levy premium taxes, regulate the business of 140
insurance and set solvency standards for property and casualty and group life insurers. 141
~ 41 ~
COMMITTEE: COMMUNICATIONS, FINANCIAL SERVICES & 1
INTERSTATE COMMERCE 2
3
POLICY: INTERNET & ELECTRONIC COMMERCE 4
5
TYPE OF POLICY: DRAFT POLICY DIRECTIVE 6
7
THE INTERNET AND ELECTRONIC COMMERCE 8
The Internet defies a detailed one-size-fits-all approach to public policy and regulation. 9
America's federal and state lawmakers, as well as policy makers from other countries 10
should be guided by principles that foster the Internet's development while protecting 11
the security and privacy of individual users. 12
Our nation's state legislatures are well aware of the impact that access to the Internet 13
and electronic commerce have on the economic vitality of our states and communities. 14
State legislatures also recognize that the marketplace for electronic commerce is not 15
just in the United States but is present in the vast global market. State legislatures share 16
the concern of many in Congress that ill-conceived over-regulation and taxation of the 17
Internet and electronic commerce services could harm our nation's ability to compete 18
globally. However, state legislatures also recognize that they have an obligation to act, 19
when and if necessary, to protect the general welfare of their constituents. As the use of 20
the Internet continues to expand, any future or existing regulations must be balanced 21
against market forces in a competitive and technologically neutral manner, as 22
government must not choose the winners or losers of the digital age. 23
Nothing in this policy statement is to be construed as limiting or affecting the right of any 24
state to regulate alcohol according to its local norms and standards pursuant to the 21st 25
Amendment. 26
NCSL opposes unnecessary or unwarranted federal legislation or regulation that would 27
impede efforts by states to promote access to the Internet, enhance competition or 28
~ 42 ~
increased consumer choice or ensure the security of personal information of consumers 29
conducting electronic commerce transactions. 30
The National Conference of State Legislatures (NCSL) supports the following principles 31
in formulating laws and regulations that impact the Internet and electronic commerce: 32
Privacy and Security 33
Every American should be empowered to protect their privacy and personal information 34
from intrusion or piracy. While NCSL recognizes that there is a need for Congress to act 35
to establish a national policy to protect the personal information of Americans, state 36
legislatures, in the absence of any action by Congress and the federal government, 37
have moved to fill the void. NCSL calls upon the Congress to enact federal Internet 38
privacy legislation that ensures the security of Americans’ personal information with the 39
least amount of government regulation as possible. However, NCSL opposes federal 40
legislation that seeks to preempt existing state statutes and regulations governing 41
privacy protections and security for non-Internet based transactions. 42
Free Speech 43
The Internet allows people to communicate and share ideas with others with an ease 44
never before possible. Federal government policy should rigorously protect freedom of 45
speech and expression on the Internet, but not restrict states or local governments from 46
oversight protecting freedom of speech. New technologies should adequately enable 47
individuals, families and schools to protect themselves and students from 48
communications and materials they deem offensive or inappropriate. State law 49
enforcement, with federal assistance and resources, must be able to enforce criminal 50
statutes against predators that use the Internet to harm or abuse children. 51
Self-governance 52
NCSL requests the Congress to maintain the current self-governance approach that 53
allows the competitive marketplace to drive broadband and broadband-related 54
applications development and deployment. Congress should avoid adopting new 55
~ 43 ~
mandates and provide the Federal Communications Commission (FCC) with defined 56
and limited authority to oversee, but not proactively intervene in, the broadband Internet 57
marketplace consistent with principles that focus on assessing whether the market 58
continues to ensure that consumers can: 59
(1) receive meaningful information regarding their broadband service plans; 60
(2) have access to their choice of legal Internet content, subject to the limits on 61
bandwidth and quality of service of their service plan; 62
(3) run applications of their choice, subject to the needs of law enforcement and 63
the limits on bandwidth limits and quality of service of their service plans, as long 64
as they do not harm the provider’s network or interfere with other consumers’ use 65
of the broadband service; and 66
(4) be permitted to attach any devices they choose to their broadband connection 67
at the consumer’s premise, so long as they operate within the limits on bandwidth 68
and quality of service of their service plans and do not harm the provider’s 69
network, interfere with other consumers’ use of the broadband service, or enable 70
theft of services. 71
Consumer Protection 72
Industry self-regulation has made an important contribution to the development of 73
electronic commerce. Industry technologies and best practices, combined with the 74
enactment of strong state laws which outlaw deceptive practices and fraudulent online 75
behavior, are essential elements in promoting electronic commerce and enhancing 76
consumer protection. Privacy and consumer protection continue to be priority issues in 77
state legislatures. 78
NCSL supports the efforts of state legislatures to develop new policy initiatives to 79
protect consumers online, especially when the federal government fails to respond to 80
~ 44 ~
consumers’ concerns. NCSL also recognizes that because of the global nature of the 81
Internet that states must seek cooperative federal action to further enhance consumer 82
protection, privacy and information security. Federal legislation must ensure the 83
authority of state attorneys general to enforce federal statutes protecting consumers. 84
However, NCSL opposes any attempt by Congress to restrict the states’ ability to 85
impose criminal and/or civil penalties for illegal activity that may occur over the Internet. 86
Growth 87
Public policies must be designed to foster continuing expansion of useful and affordable 88
bandwidth, encourage development of innovative technologies and promote broad 89
universal access. Federal and state governments must work together to ensure that all 90
Americans, regardless of where they live, have competitive access to high-speed 91
broadband technologies. Government must work to guarantee open and competitive 92
markets for broadband services. 93
Information Technology 94
Information technology (IT) is a global industry. A strong American IT industry enhances 95
and strengthens the economic well being of our states and nation. 96
States and the federal government must work together to ensure a climate that allows 97
America’s IT companies to continue to perform research and technology development, 98
to generate innovative new products and services and to solve customer problems. 99
States must have the unfettered ability to continue to seek ways to use IT to better the 100
lives of their residents. Therefore, NCSL opposes any attempt by the federal 101
government to restrict or penalize states’ efforts to utilize information technology 102
services and products that allow states to provide more efficient government services to 103
residents at lower costs to taxpayers. 104
Internet Gambling 105
Congress must respect the sovereignty of states to allow or to prohibit Internet gambling 106
by their residents. 107
~ 45 ~
Electronic Commerce and Taxation 108
Government policies should create a workable infrastructure in which electronic 109
commerce can flourish. Policy makers must resist any temptation to apply tax policy to 110
the Internet in a discriminatory or multiple manner that hinders growth. Government tax 111
systems should treat transactions, including telecommunications and electronic 112
commerce, in a competitively neutral and non-discriminatory manner. The federal 113
government and America’s industries should work with state legislatures in ensuring 114
equal tax treatment of all forms of commerce and should encourage state efforts to 115
achieve simplification and uniformity through the streamlining of state and local sales 116
and telecommunications tax systems. 117
NCSL supports the reform of the discriminatory taxation of communications services 118
and believes that if state and local governments were to take such action, the need for 119
the federal moratorium on Internet access would cease to exist. 120
Since 2003 NCSL has maintained a neutral position on the extension of the moratorium 121
and continues to do so. However, should the moratorium be extended, it is consistent 122
with NCSL policy that the moratorium be competitively neutral and apply equally to all 123
media used to access the Internet. 124
VIDEO FRANCHISE REFORM 125
Innovation and convergence of existing technologies are radically expanding 126
communications and information services, blurring distinctions between telephone, 127
Internet services, cable, wireless and satellite. These rapid changes often outpace 128
abilities of federal, state and local regulatory regimes to adapt. It is important that video 129
regulatory policy assure that like services are treated alike, investment is encouraged, 130
and services are in a non-discriminatory manner. 131
State Administration Will Preserve State Authority 132
Local jurisdictions are the creation of either state constitutions or law. The powers that 133
these political subdivisions of the state exercise were granted to them over time by state 134
legislatures. Those local jurisdictions that have franchise authority have it as a result of 135
~ 46 ~
state legislation or the state constitution. Therefore, any attempt by Congress to 136
preempt current local franchise authority is a preemption of state sovereignty. 137
While NCSL rarely advocates the consideration of legislation in state legislatures, NCSL 138
has at times, when states are facing a crisis or a serious threat of federal preemption, 139
urged state legislatures to take action. NCSL endorses efforts that remove barriers to 140
entry for or inequity of regulation among video competitors and foster additional 141
consumer choices in the video marketplace ultimately ensuring competitive neutrality. 142
Government should encourage competition and consumer choices for broadband and 143
video services and promote the deployment of broadband services and technologies. 144
Fees and Taxation of Video Providers 145
Franchise fees today are levied, imposed or collected as a percentage of gross 146
revenues, used for general revenue purposes and not based on the actual direct and 147
identifiable costs of any benefit to the entity that pays the fee. To the extent such fees 148
are intended as payment for use of public rights-of-way, that fee should be limited to the 149
actual, direct and identifiable cost of such use, and that portion of the fee should be 150
applied only to those who use the rights-of-way. Franchise fees should be collected and 151
administered by one central agency per state.152
~ 47 ~
COMMITTEES: EXECUTIVE COMMITTEE TASK FORCE ON STATE & 1
LOCAL TAXATION 2
COMMUNICATIONS, FINANCIAL SERVICES & 3
INTERSTATE COMMERCE 4
5
POLICY: REMOTE COMMERCE 6
7
TYPE: DRAFT POLICY DIRECTIVE 8
9
The 1967 Bellas Hess and the 1992 Quill Supreme Court decisions denied states the 10
authority to collect sales and use taxes by out-of-state sellers that have no physical 11
presence or nexus in the taxing states, holding that legislation by Congress is required 12
to create such authority. One recent report has estimated that states will lose over $23 13
Billion in uncollected sales tax revenues in 2012, of which $11.4 billion is from electronic 14
commerce, and that annual losses will continue to grow as more commerce is 15
conducted online. This disconnect with remote commerce threatens to erode the 16
viability of the sales tax as a revenue source for state and local governments. States 17
have requested Congressional action, but Congress has failed to close this large 18
loophole in the states’ sales and use tax system. 19
NCSL calls on Congress to require all sellers, regardless of location, to collect sales 20
taxes and remit them to the state to which they are due. Further, NCSL supports a small 21
business exception. 22
Acknowledging that the complexity of multiple tax rates places a significant burden on 23
out-of-state sellers, twenty-four states joined the Streamlined Sales Tax and Use 24
Agreement and passed laws to simplify sales and use tax systems, remove burdens to 25
interstate sellers, and collaborate on the collection of taxes due to them. 26
~ 48 ~
NCSL calls on Congress to pass legislation overturning the Bellas Hess and Quill 27
decisions, affirming the states’ sovereign right to enter into such agreements, and 28
granting states the authority denied to them by the Court’s decisions.29
~ 49 ~
COMMITTEES: COMMITTEE ON BUDGETS AND REVENUE 1
COMMITTEE ON COMMUNICATIONS, FINANCIAL SERVICES 2
AND INTERSTATE COMMERCE 3
4
TITLE: STATE SOVEREIGNTY IN ONLINE GAMING 5
6
TYPE: RESOLUTION - DRAFT 7
8
The National Conference of State Legislatures (NCSL) believes the federal government 9
must respect the sovereignty of states to allow or to prohibit Internet gambling by their 10
residents. 11
The recent ruling by the United States Justice Department on the Federal Wire Act of 12
1961, 18 U.S.C. §1084, clarifies that intra-state online gambling is lawful. Any effort by 13
Congress or the administration to reverse this ruling is preemptive and diminishes the 14
flexibility of state legislatures to be innovative and responsive to the unique needs of the 15
residents of each state. 16
NCSL requests Congress consider the perspective of the states as it examines this 17
issue and asks that it involve state legislators in any federal efforts that seek to reform 18
the regulation of online gaming. NCSL strongly opposes any effort by the federal 19
government to overturn the Justice Department’s ruling or consideration of legislation 20
overruling state authority by legalizing or regulating gambling at the federal level. NCSL 21
also requests that federal lawmakers be respectful of state legislatures that prohibit 22
online gaming or other forms of gaming within their state.23
~ 50 ~
COMMITTEES: COMMUNICATIONS, FINANCIAL SERVICES & 1
INTERSTATE COMMERCE 2
BUDGETS AND REVENUE 3
TASK FORCE ON STATE AND LOCAL TAXATION 4
POLICY: NATIONAL CONFERENCE OF STATE 5
LEGISLATURES SUPPORTS AND URGES 6
ENACTMENT OF THE MARKETPLACE FAIRNESS 7
ACT 8
9
TYPE OF POLICY: DRAFT RESOLUTION 10
WHEREAS, the 1967 Bellas Hess and the 1992 Quill Supreme Court decisions 11
denied states the authority to require the collection of sales and use taxes by out-12
of-state sellers that have no physical presence in the taxing state; and 13
WHEREAS, the combined weight of the inability to collect sales and use taxes 14
due on remote sales through traditional carriers and the tax erosion from 15
electronic commerce threatens the future viability of the sales tax as a stable 16
revenue source for state and local governments; and 17
WHEREAS, a report from the Center for Business Research at the University of 18
Tennessee has estimated that in fiscal year 2012, states will lose over $23 billion 19
in uncollected sales tax revenues from out of state sales; and 20
NOW, THEREFORE BE IT RESOLVED THAT, the National Conference of State 21
Legislatures supports the Marketplace Fairness Act, introduced by Senators 22
Durbin of Illinois and Enzi of Wyoming that authorizes each member state under 23
the Streamlined Sales and Use Tax Agreement to require all sellers not 24
qualifying for a small-seller exception to collect and remit sales and use taxes 25
with respect to remote sales and allows a state that is not a member state under 26
the Agreement to require sellers to collect and remit sales and use taxes with 27
~ 51 ~
respect to remote sales sourced to such state if the state adopts and implements 28
certain minimum simplification requirements; and 29
BE IT FURTHER RESOLVED THAT, the National Conference of State 30
Legislatures calls upon the Congress to move swiftly to consider and approve the 31
Marketplace Fairness Act that grants states collection authority and provides $23 32
billion in fiscal relief to the states without a dime coming from the U.S. Treasury; 33
and 34
BE IT FURTHER RESOLVED THAT, the National Conference of State 35
Legislatures urges the President to sign the Marketplace Fairness Act that grants 36
states collection authority into law, upon its passage by the Congress; and 37
BE IT FURTHER RESOLVED THAT, a copy of this resolution be sent to the 38
President of the United States and to all the members of Congress. 39
~ 52 ~
COMMITTEE: COMMUNICATIONS, FINANCIAL SERVICES & 1
INTERSTATE COMMERCE 2
POLICY: RESOLUTION SUPPORTING INTELLECTUAL 3
PROPERTY (IP) RIGHTS AND PROTECTIONS TO 4
PROMOTE PRODUCTIVITY, COMPETITIVENESS, 5
JOBS, AND PUBLIC HEALTH 6
TYPE OF POLICY: DRAFT RESOLUTION 7
WHEREAS, Intellectual property (IP) rights and innovation are primary drivers of 8
job creation and America’s economic growth. 9
10
WHEREAS, over 55 million jobs are directly and indirectly supported by IP-11
intensive industries as a significant driver of GDP, exports, and wages in every 12
state of the Union. 13
WHEREAS, IP-intensive industries are responsible for $5.8 trillion in private 14
sector output (GDP). 15
WHEREAS, in a 2012 economic study by the U.S. Department of Commerce that 16
ties employment and value-added numbers to IP-intensive industries, IP-17
intensive industries pay workers 42% higher wages than those of non IP-18
intensive industries. 19
WHEREAS, IP-intensive industries drive American exports accounting for 20
approximately $1 trillion (74% of total U.S. exports in 2011) 21
WHEREAS, given the important role that IP plays in sustaining a long-term 22
economic growth, policymakers should give high priority to fostering innovation 23
and protecting intellectual property; and 24
~ 53 ~
WHEREAS, protecting and enforcing the IP rights of businesses are critical to 25
advancing global economic recovery, driving competitiveness and export growth, 26
and creating high-quality jobs; and 27
WHEREAS, the National Conference of State Legislatures believes that 28
widespread efforts to promote innovation and intellectual property protection are 29
critical to improving the nation’s long-term competitiveness in a global market, 30
and to achieving certain socioeconomic improvements in the quality of American 31
life; and 32
NOW, THEREFORE LET IT BE RESOLVED, that the National Conference of 33
State Legislatures calls upon all levels of governments to work cooperatively with 34
the private sector, nonprofits, and academia to create, develop and implement 35
robust pro-IP awareness and enforcement; and 36
BE IT FURTHER RESOLVED, the National Conference of State Legislatures 37
supports efforts to ensure the IPEC has sufficient staff, budget, and authority to 38
fulfill the obligations and achieve the goals outlined in the PRO-IP Act and the 39
National IP Strategy; and 40
BE IT FURTHER RESOLVED, the National Conference of State Legislatures 41
support robust IP protection and enforcement provisions in trade agreements and 42
their implementation (specifically the Trans-Pacific Partnership Agreement (TPP)/ 43
KORUS); and 44
BE IT FURTHER RESOLVED THAT, the National Conference of State 45
Legislatures supports existing efforts to shut down the top illegal rogue websites 46
globally that are willfully selling counterfeit goods and facilitating digital theft; and 47
BE IT FURTHER RESOLVED THAT, a copy of this resolution be sent to the 48
President of the United States and all members of the 112th Congress. 49
~ 54 ~
COMMITETE: COMMUNICATIONS, FINANCIAL 1
SERVICES & INTERSTATE COMMERCE 2
POLICY: NCSL OPPOSES FEDERAL 3
CONTACTLESS TECHNOLOGY 4
MANDATES FOR STATE ISSUED 5
IDENTIFICATION DOCUMENTS 6
TYPE OF POLICY: DRAFT RESOLUTION 7
WHEREAS, the federal government is taking a more active role in influencing 8
and determining the technological standards for state issued identification 9
documents such as drivers licenses. The federal government is attempting to 10
influence or mandate the technological standards of sovereign state issued 11
identification documents through the direct acts of Congress, the rule-making 12
processes of the Departments of State and Homeland Security, or through both 13
official or informal agreements with international organizations or initiatives such 14
as the American Association of Motor Vehicle Administrators (AAMVA), the 15
Security and Prosperity Partnership (SPP), and the United Nation’s agency 16
known as the International Civil Aviation Organization (ICAO). 17
WHEREAS, an example contrary to the tenets of federalism, the initial version of 18
the federal REAL ID Act as introduced would have required the states to enter 19
into the AAMVA compact known as the Driver’s License Agreement (DLA). This 20
compact as drafted would put the non-governmental 501c3 AAMVA, which has 21
foreign voting members, in charge of making the technology decisions for a 22
state’s sovereign drivers licenses. Such federal decisions would allow for 23
AAMVA, and not the States, to determine whether or not bar code or contactless 24
technology must be employed, whether or not such data could be encrypted, 25
what biometrics would need to be encoded, and whether or not the data could be 26
shared with foreign governments. 27
~ 55 ~
WHEREAS, an example contrary to the tenets of federalism, the final rules for 28
both REAL ID and the Western Hemisphere Travel Initiative (WHTI) were 29
published in 2008, and mandated standards onto states’ driver’s licenses for 30
them to be acceptable for certain uses. The Department of Homeland Security is 31
currently requiring states to embed unencrypted contactless technology into a 32
state’s drivers licenses in order for citizens to be able to use them to get back 33
into the United States at international ground crossings. This places specific 34
technological choices as having equal importance over the roles of identification 35
and proof of citizenship, while leaving states with no flexibility or options in this 36
area if they want to pursue an Enhanced Drivers License (EDL) that does not use 37
contactless technology, wishes to employ encrypted contactless technology, or 38
wishes to employ shorter range contactless technology than what is being 39
mandated. The goal of WHTI deals simply with providing proof of citizenship, not 40
dictating the technology by which that proof must be conveyed. 41
WHEREAS, an example contrary to the tenets of federalism, the final rules for 42
REAL ID, page 86, make clear that the federal government is not satisfied with a 43
onetime mandate and wishes to have this control in perpetuity going forward: 44
“Moreover, in the future, DHS, in consultation with the States and DOT, may 45
consider technology alternatives to the PDF417 2D bar code that provide greater 46
privacy protections after providing for public comment”. The “final rules” are 47
therefore not really final, and it is unacceptable that such technological decisions 48
could be made by requiring only non-binding consultation with States, especially 49
when there is debate between the States and the federal government as to what 50
really constitutes optimal privacy and security options for their driver’s licenses. 51
WHEREAS, a driver’s license is a sovereign state document, and whether or not 52
bar code or contactless technology must be employed, should remain a State 53
decision. The federal government should not use the WHTI, a policy of its own 54
~ 56 ~
devising, as an economic cudgel to coerce states into accepting such 55
technological standards onto their sovereign driver’s licenses. 56
THEREFORE, LET IT BE RESOLVED, that the NCSL will urge the President, 57
Congress, and the Departments of State, Transportation, and Homeland Security 58
to not pass law, allow for federal policy, use international organizations, or enter 59
into international agreements that mandate or attempt to indirectly influence the 60
use of contactless technology in state or local identity documents.61
~ 57 ~
COMMITTEE: COMMUNICATIONS, FINANCIAL SERVICES &
INTERSTATE COMMERCE
POLICY: NCSL RESOLUTION IN SUPPORT OF STATE
PUBLIC AFFAIRS NETWORKS
TYPE OF POLICY: DRAFT MEMORIAL RESOLUTION
WHEREAS, the operations of state governments and the roles of elected officials are
often little understood by citizens. Yet public understanding of the institutions and
processes of government is critical to building public trust and confidence. State
governments need to bring about a better understanding of the concepts of
representative democracy.
WHEREAS, a growing number of states have created or supported the creation of state
public affairs television networks whose charge it is to offer unfiltered, gavel-to-gavel
coverage of legislative sessions, committee proceedings and similar actions within the
executive and judicial branches. By providing an “open window” on the workings of
their state governments, these independent networks have increased citizen access,
public trust and understanding of both the governmental and the public policy process at
large.
WHEREAS, the National Association of Public Affairs Networks (NAPAN) has been
conceived to help establish and expand nationally such noncommercial, independent
television networks devoted to providing citizens with fair, balanced, and unfiltered
access to their state governments: to foster and nurture the institutions that will help
create the informed electorate that will shape our democracy in the years to come.
NAPAN is committed to the launch and viability of networks in all 50 states.
NOW, THEREFORE BE IT RESOLVED, the National Conference of State Legislatures
supports and encourages the efforts of the National Association of Public Affairs