1996-02-12                     House Journal                      Page 2724
HB 499                                                                       
was read the first time and referred to the Health, Education & Social         
Services, State Affairs and Finance Committees.                                
                                                                               
                                                                               
HB 500                                                                       
HOUSE BILL NO. 500 by the House Rules Committee by request of                  
the Governor, entitled:                                                        
                                                                               
An Act making capital and other appropriations; and providing                 
for an effective date.                                                         
                                                                               
was read the first time and referred to the Finance Committee.                 
                                                                               
The Governor's transmittal letter, dated February 12, 1996, appears            
below:                                                                         
                                                                               
Dear Speaker Phillips:                                                         
                                                                               
I am pleased to transmit to you my proposed FY97 capital budget, a             
bare bones package of projects to meet basic needs of Alaskans.                
The state general fund level of $110 million for this budget is very           
limited in light of the massive capital needs throughout the state.  But       
I believe it is responsible, given our efforts to close the states budget      
gap.                                                                           
                                                                               
In addition to limited state general funds, this budget maximizes the          
receipt of over $364 million of federal dollars.  Over $280 million in         
federal highway and aviation funds alone are expected this coming              
fiscal year.  Authorizations for new individual federal aid                    
transportation projects will be submitted after the final State                
Transportation Improvement Plan is adopted late this month.  Other             
state resources such as Alaska Housing Finance Corporation and the             
Alaska Industrial Development and Export Authority have been used              
to put forward additional capital dollars for housing and economic             
development projects.                                                          
                                                                               
Although the appropriations bill lists projects in departmental order, I       
have attached a summary of the projects broken into the major                  
categories that reflect my capital budget priorities: