Legislature(2005 - 2006)

2006-01-13 House Journal

Full Journal pdf

2006-01-13                     House Journal                      Page 2259
                                                                                                    
                              HOUSE JOURNAL                                                      
                                                                                                    
                         ALASKA STATE LEGISLATURE                                                
                                                                                                    
                TWENTY-FOURTH LEGISLATURE - SECOND SESSION                                       
                                                                                                    
Juneau, Alaska                     Friday              January 13, 2006                           
                                                                                                    
                                Fifth Day                                                      
                                                                                                    
                                                                                                    
                                                                                                    
Pursuant to adjournment the House was called to order by Speaker                                    
Harris at 10:05 a.m.                                                                                
                                                                                                    
Roll call showed 32 members present.  Representatives Gatto,                                        
Kapsner, LeDoux, and Rokeberg were excused from a call of the                                       
House today.  Representative Kelly was absent and his presence was                                  
noted later.  Representative Samuels was absent.                                                    
                                                                                                    
Representative Coghill moved and asked unanimous consent that                                       
Representative Meyer be excused from a call of the House today.                                     
There being no objection, it was so ordered.                                                        
                                                                                                    
Representative Coghill moved and asked unanimous consent that                                       
Representative Berkowitz be excused from a call of the House from                                   
today to 10:00 a.m., plane time, January 17, 2006.  There being no                                  
objection, it was so ordered.                                                                       
                                                                                                    
                                                                                                    
The invocation was offered by the Chaplain, the Reverend Paul Beran.                                
Representative Gruenberg moved and asked unanimous consent that                                     
the invocation be spread on the journal.  There being no objection, it                              
was so ordered.                                                                                     
                                                                                                    
     With deepest respect for the religious beliefs of each person here,                            
     I invite you to a time of reflection and prayer.                                               
                                                                                                    
     Last Saturday night a helicopter went down in Iraq killing all                                 
     those aboard.  The four crew members were from the Alaska                                      
     Army National Guard, and the other eight from across our nation.                               

2006-01-13                     House Journal                      Page 2260
     Perhaps some of you knew them personally.  Let us silently reflect                             
     upon these who have sacrificed their lives for their country.  Some                            
     of the excerpts I will share are emails from a fellow Alaska                                   
     helicopter pilot.  Let us remember their bereaved families.                                    
                                                                                                    
                                                                                                    
     God of all comfort and grace, You see a tiny sparrow fall to the                               
     ground.  You behold a helicopter crash snuffing out those who                                  
     moments before were full of life.  We pray for their families,                                 
     numb with loss, heart-broken with grief, and bewildered about the                              
     future.                                                                                        
                                                                                                    
     The family of Jaime Campbell - Jaime was getting ready to go on                                
     an R & R trip to Australia with her husband who is a Stryker                                   
     Captain in Mosul.                                                                              
                                                                                                    
     The family of Chester Troxel - Chet was planning a trip later this                             
     month to Paris where he was going to meet his son - a kind of                                  
     "send your son off into adulthood trip".  His wife and kids will                               
     miss him terribly.                                                                             
                                                                                                    
     The family of Michael Edwards - Mike got out of the Army a                                     
     couple of years ago and did a "try one year" in the Guard and then                             
     was "stop-lossed" to go to Iraq.  Mike leaves his three young kids                             
     behind and a fiancé he was planning to marry this March while on                               
     R & R.                                                                                         
                                                                                                    
     The family of Jacob Melson - Jake got married in August and                                    
     talked about her all the time.  So young and never to grow old and                             
     enjoy the stability he worked for.                                                             
                                                                                                    
                                                                                                    
     Gracious God, wrap Your arms of love and comfort around them,                                  
     and by Your grace, somehow work good out of this.                                              
                                                                                                    
     As we are reminded about the fragileness and finiteness of life,                               
     teach us to number our days that we might use them rightly and                                 
     wisely.  We pray for courage - courage to be true to Thee, courage                             
     to be true to our best self, and courage to do the right.  Help us to                          
     be leader-servants of this state both today and throughout the                                 

2006-01-13                     House Journal                      Page 2261
     coming weeks of this legislative session.  This I pray in the name                             
     of the One who came, not to be served, but to serve, Jesus the                                 
     Christ.  Amen.                                                                                 
                                                                                                    
The Pledge of Allegiance was led by Representative Croft.                                           
                                                                                                    
                       CERTIFICATION OF THE JOURNAL                                              
                                                                                                    
Representative Coghill moved and asked unanimous consent that the                                   
journal for the third and fourth legislative days and House and Senate                              
Joint Journal Supplement No. 10 be approved as certified by the Chief                               
Clerk.  There being no objection, it was so ordered.                                                
                                                                                                    
                                                                                                    
                         MESSAGES FROM THE SENATE                                                
                                                                                                    
A message dated January 11, 2006, was read stating the Senate has                                   
accepted the invitation to meet in joint session in the House Chamber                               
at 11:00 a.m., February 8 to hear the State of the Judiciary address by                             
Chief Justice Alexander O. Bryner.                                                                  
                                                                                                    
                                                                                                    
HCR 18                                                                                            
A message dated January 11, 2006, was read stating the Senate has                                   
passed:                                                                                             
                                                                                                    
     HOUSE CONCURRENT RESOLUTION NO. 18                                                             
     Suspending Rules 24(c), 35, 41(b), and 42(e), Uniform Rules of                                 
     the Alaska State Legislature, concerning Senate Bill No. 174,                                  
     excluding certain trucks from the definition of "passenger vehicle"                            
     for purposes of the passenger vehicle rental tax.                                              
                                                                                                    
HCR 18 was referred to the Chief Clerk for enrollment.                                              
                                                                                                    
                                                                                                    
                        INTRODUCTION OF CITATIONS                                                
                                                                                                    
The following citations were introduced and referred to the Rules                                   
Committee for placement on the calendar:                                                            
                                                                                                    

2006-01-13                     House Journal                      Page 2262
In Memoriam - Richard Huffman and Katherine Huffman                                                 
By Representative Gruenberg; Senator Cowdery                                                        
                                                                                                    
In Memoriam - The Reverend Milton S. Hunt                                                           
By Representatives Weyhrauch, Kerttula; Senator Elton                                               
                                                                                                    
                                                                                                    
                INTRODUCTION, FIRST READING, AND REFERENCE                                       
                              OF HOUSE BILLS                                                     
                                                                                                    
HB 359                                                                                            
HOUSE BILL NO. 359 by Representatives Holm, Rokeberg, and                                           
Olson, entitled:                                                                                    
                                                                                                    
     "An Act making an appropriation to the earnings reserve account                                
     of the Alaska permanent fund; and providing for an effective                                   
     date."                                                                                         
                                                                                                    
was read the first time and referred to the Finance Committee.                                      
                                                                                                    
HB 360                                                                                            
HOUSE BILL NO. 360 by Representative Meyer, entitled:                                               
                                                                                                    
     "An Act relating to the regulation of public accommodation water                               
     supply systems."                                                                               
                                                                                                    
was read the first time and referred to the Resources and Finance                                   
Committees.                                                                                         
                                                                                                    
                                                                                                    
HB 361                                                                                            
HOUSE BILL NO. 361 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act relating to the dividend paid to the state by the Alaska                               
     Housing Finance Corporation; and providing for an effective                                    
     date."                                                                                         
                                                                                                    
was read the first time and referred to the Finance Committee.                                      
                                                                                                    

2006-01-13                     House Journal                      Page 2263
The following fiscal note(s) apply:                                                                 
                                                                                                    
1.  Zero, Dept. of Revenue                                                                          
                                                                                                    
The Governor's transmittal letter dated January 13, 2006, follows:                                  
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
Under the authority of art. III, sec. 18, of the Alaska Constitution, I am                          
transmitting a bill relating to the dividend paid to the state by the                               
Alaska Housing Finance Corporation.                                                                 
                                                                                                    
As a result of the Governmental Accounting Standards Board                                          
Statement No. 34 ("GASB 34"), governmental entities no longer are                                   
allowed to report contributed capital and retained earnings on their                                
balance sheets.  In addition, the balance sheet itself has now been                                 
renamed to "Statement of Net Assets."  Under the rules of pre-GASB
34 generally accepted accounting principles, capital grants and other                               
transfers to or on behalf of the state were considered a return of capital                          
to the state and were shown as a reduction of contributed capital --                                
thus, not affecting net income.  The GASB 34 requires these same                                    
amounts to be included in net income (now called "Change in Net                                     
Assets").                                                                                           
                                                                                                    
The bill would permit the Alaska Housing Finance Corporation to                                     
remove those expenditures from "Change in Net Assets" before the                                    
dividend is calculated.  It further would allow the Alaska Housing                                  
Finance Corporation to remove prior years' capital appropriations from                              
"Change in Net Assets" before the dividend is calculated.                                           
                                                                                                    
The primary objective of these changes is to bring the corporation's                                
reconciliation and calculation of the dividend into compliance with                                 
GASB 34 rules.                                                                                      
                                                                                                    
I urge your prompt and favorable action on this measure.                                            
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    

2006-01-13                     House Journal                      Page 2264
HB 362                                                                                            
HOUSE BILL NO. 362 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act increasing the base student allocation used in the formula                             
     for state financing of public education; and providing for an                                  
     effective date."                                                                               
                                                                                                    
was read the first time and referred to the Finance Committee.                                      
                                                                                                    
                                                                                                    
The following fiscal note(s) apply:                                                                 
                                                                                                    
1.  Fiscal, Dept. of Education & Early Development                                                  
2.  Fiscal, Dept. of Education & Early Development                                                  
                                                                                                    
                                                                                                    
The Governor's transmittal letter dated January 13, 2006, follows:                                  
                                                                                                    
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
Under the authority of art. III, sec. 18, of the Alaska Constitution, I am                          
transmitting a bill that would raise the base student allocation for                                
students attending public school grade levels kindergarten through 12                               
(K-12) beginning in fiscal year 2007.  Under the bill, the base student                             
allocation would increase from $4,919 to $5,352 on July 1, 2006, an                                 
approximately 8.8 percent increase over last year.  This is the fourth                              
increase in the base student allocation since 2003, when the allocation                             
was $4,010.  These four increases amount to a 33 percent increase                                   
during this Administration.                                                                         
                                                                                                    
                                                                                                    
This bill is an important element of my continuing effort to finance K-                             
12 public education at a level that meets the increased costs our school                            
districts have experienced over the last several years.  This increase in                           
the base student allocation will add approximately $90 million to the                               
state financing of public education, bringing the total state contribution                          
to $928,087,440.                                                                                    
                                                                                                    

2006-01-13                     House Journal                      Page 2265
I urge your prompt and favorable action on this measure, for the sake                               
of Alaska's public schools and our children.                                                        
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    
HB 363                                                                                            
HOUSE BILL NO. 363 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act increasing the number of superior court judges                                         
     designated for the third judicial district, to provide additional                              
     superior court judges at Anchorage, Palmer, and Kenai; and                                     
     providing for an effective date."                                                              
                                                                                                    
was read the first time and referred to the Judiciary and Finance                                   
Committees.                                                                                         
                                                                                                    
                                                                                                    
The following fiscal note(s) apply:                                                                 
                                                                                                    
1.  Fiscal, Alaska Court System                                                                     
                                                                                                    
The Governor's transmittal letter dated January 13, 2006, follows:                                  
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
Under the authority of art. III, sec. 18, of the Alaska Constitution, I am                          
transmitting a bill that would add a total of four superior court judge                             
positions to the third judicial district in the state court system.                                 
                                                                                                    
As Alaska's population grows, the demand on the court system from                                   
both civil and criminal cases increases.  The population growth does                                
not occur uniformly throughout the state.  The Matanuska-Susitna                                    
Borough had a 77 percent increase in population from 1990 to 2004                                   
and a 39 percent increase in felony case filings for fiscal year 2004.                              
The Palmer court is perhaps the most overcrowded court in the system.                               
                                                                                                    

2006-01-13                     House Journal                      Page 2266
The impact on the court system of felony criminal cases is very                                     
burdensome.  Criminal cases, particularly violent felony criminal                                   
cases, are often the most complex and time-sensitive types of cases                                 
handled by the court system.  They are also the most likely type of                                 
case to proceed to a time-consuming trial.  Time is of the essence to                               
both the victims of crimes waiting for justice to be served and the                                 
accused seeking resolution to the criminal charges.                                                 
                                                                                                    
The additional superior court judge positions provided for under this                               
bill are essential to the efficient operation of the court system.                                  
                                                                                                    
I urge your prompt and favorable action on this measure.                                            
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    
                                                                                                    
HB 364                                                                                            
HOUSE BILL NO. 364 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act relating to a public school performance incentive                                      
     program; and providing for an effective date."                                                 
                                                                                                    
was read the first time and referred to the House Special Committee on                              
Education and the Health, Education & Social Services and Finance                                   
Committees.                                                                                         
                                                                                                    
The following fiscal note(s) apply:                                                                 
                                                                                                    
1.  Fiscal, Dept. of Education & Early Development                                                  
                                                                                                    
The Governor's transmittal letter dated January 13, 2006, follows:                                  
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
Under the authority of art. III, sec. 18, of the Alaska Constitution, I am                          
transmitting a bill that would provide for a public school performance                              

2006-01-13                     House Journal                      Page 2267
incentive program.  This program is an innovative approach to                                       
creating a learning environment in which students will improve more                                 
rapidly than would usually be expected.                                                             
                                                                                                    
This program would inspire and empower Alaska's outstanding                                         
educators to use their expertise and innovative instructional practices                             
to improve student growth and achievement.  A performance incentive                                 
program would enhance Alaska's teacher recruitment efforts, raise                                   
accountability by linking the incentive payments directly to increased                              
levels of student achievement, and promote effective instruction, staff                             
collaboration, and shared responsibility.  The program would                                        
encourage public schools to adjust schedules to maximize instructional                              
time and align teacher skills to student needs.                                                     
                                                                                                    
This bill would authorize a substantial performance incentive                                       
payment, subject to appropriation, to school personnel -- up to $5,500                              
for certificated personnel such as teachers, counselors, and                                        
administrators, and up to $2,500 for noncertificated personnel such as                              
instructional aides, school nurses, and school secretaries.  Public                                 
school personnel would be eligible for a performance incentive                                      
payment if the students in their school achieved substantial                                        
improvement on the statewide assessments.                                                           
                                                                                                    
The program provided for in this bill is unique in two ways.  First, it is                          
intended that a performance incentive payment would be made when                                    
students achieve more than one year's academic growth.  We expect                                   
learning growth in students each year, and public school personnel are                              
paid to teach students a normal year's worth of information.  This                                  
program, however, would reward public school personnel if students                                  
acquire more than one year's worth of growth.  When students gain                                   
more than one year's worth of growth, they will advance one or more                                 
levels on the state's statewide achievement assessments, triggering a                               
performance incentive payment.  If students are already at the most                                 
advanced level, keeping them advanced would trigger a payment.                                      
                                                                                                    
Tying the performance incentive payment to growth would mean that                                   
all public schools would have an opportunity to earn the payment.                                   
Because the performance incentive payment would not be pegged at a                                  
set level of achievement, public schools that have high-achieving                                   
students would not have an advantage over schools with low-                                         

2006-01-13                     House Journal                      Page 2268
achieving students.  All children can learn, and all can improve their                              
achievement level.  Schools would not be in competition with each                                   
other -- a school would be eligible for the performance incentive                                   
payment if its students achieve sufficient growth, even if some other                               
schools show more growth or faster growth.                                                          
                                                                                                    
The second unique aspect of this proposed program is that it is                                     
intended to apply to all public school employees.  Even                                             
noninstructional personnel would be eligible for the performance                                    
incentive payment if the students at the public school achieved the                                 
requisite growth.  This would create within the public school building                              
a community in which all employees have a stake in the success of the                               
students.  Teachers who teach subjects that are not tested,                                         
administrators, paraprofessionals, and support staff all would have an                              
incentive to encourage students to excel at all scholastic pursuits, and                            
to keep students interested and engaged.  The school community                                      
would have an incentive to work together for the greater good.                                      
                                                                                                    
The details of the performance incentive program would require                                      
mathematical formulae and the setting of eligibility requirements that                              
are best left to regulation.  The Department of Education and Early                                 
Development (department) would have to determine what level of                                      
growth is appropriate for the performance incentive payment -- if it is                             
too easy or too difficult to obtain, it would not provide an incentive.                             
The department also would provide in regulation for a mechanism to                                  
reward school district central office personnel -- such as a curriculum                             
or special education director -- who have a significant influence on the                            
achievement of the students in the eligible schools in that district.                               
                                                                                                    
The bill provides that a payment under the program is not included in                               
an employee's compensation for retirement purposes.  Also, under the                                
bill, whether an employee does or does not receive a performance                                    
incentive payment would have no bearing on the employee's                                           
evaluation, and a school district could not diminish or supplant an                                 
employee's regular salary because the employee received a payment.                                  
                                                                                                    
This program is not intended to have any effect on the current or                                   
future levels of foundation or other funding for public education.  This                            
program is intended to reward excellence by providing incentives for a                              
public school community to work collaboratively to exceed the                                       

2006-01-13                     House Journal                      Page 2269
expected level of learning for all students in a single year.  Foundation                           
funding and this program are entirely separate and each stands on its                               
own.                                                                                                
                                                                                                    
This bill is good for children and good for Alaska.  I urge your prompt                             
and favorable action on it.                                                                         
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    
HB 365                                                                                            
HOUSE BILL NO. 365 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act making appropriations for the operating and loan                                       
     program expenses of state government, for certain programs, and                                
     to capitalize funds; making appropriations under art. IX, sec.                                 
     17(c), Constitution of the State of Alaska, from the constitutional                            
     budget reserve fund; and providing for an effective date."                                     
                                                                                                    
was read the first time and referred to the Finance Committee.                                      
                                                                                                    
The Governor's transmittal letter dated January 11, 2006, follows:                                  
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
The operating budget bill delivered today contains my proposal for the                              
2007 fiscal year.                                                                                   
                                                                                                    
The proposed operating budget, combined with other spending                                         
proposals, reflect my administration's commitment to ensuring each                                  
Alaskan has the opportunity to fully participate in Alaska's bright                                 
future.  At the same time, our proposals ensure that the state can                                  
continue to meet its obligations, especially to those most in need.                                 
                                                                                                    
Unlike the first two operating budgets of this administration in which                              
we cut $150 million in general funds and 473 positions, the Fiscal                                  
Year 2007 budget proposals reflect increases in four primary program                                
areas:                                                                                              
                                                                                                    

2006-01-13                     House Journal                      Page 2270
     K-12 support - $90 million                                                                   
     The increase, which requires passage of a statute, will bring per                              
     student funding to $5,352 from the current $4,919.  Increased                                  
     funds will pay the $40 million in increased retirement system                                  
     costs, provide funds to meet the increased cost of day-to-day                                  
     operations, and enable further investment in helping students                                  
     achieve.                                                                                       
                                                                                                    
     University of Alaska - $42 million                                                           
     The Alaska Scholars program is a success story in keeping                                      
     Alaska's brightest at home.  Over the last five years, 98 percent of                           
     Alaska Scholars that graduated from the University stayed in                                   
     Alaska.  My proposed budget includes $5 million to expand this                                 
     program to the top 15 percent from the current top 10 percent of                               
     Alaska's high school graduates.                                                                
                                                                                                    
                                                                                                    
     Other increased investment in the University includes continuing                               
     programs that address high demand careers, such as in health and                               
     teaching, and establishing a competitive university research                                   
     program that capitalizes on Alaska's geographic advantages.                                    
                                                                                                    
                                                                                                    
     Medicaid - $104 million                                                                      
     Additional funds will meet this formula-based program's                                        
     requirements due to increased caseloads and costs.  Another $45                                
     million of the increase is due to the federal government's                                     
     disapproval of the FairShare program that was put in place under                               
     the last administration.  The program allowed Tribal hospitals to                              
     receive a higher reimbursement rate than non-Tribal hospitals for                              
     uncompensated care.                                                                            
                                                                                                    
     Transportation - $42 million                                                                 
     We again propose to increase funding for maintenance of the                                    
     state's highways, airports, and harbors.  Some of this is to cover                             
     increased costs of commodities and fuel.  In addition, we are                                  
     proposing additional funding for the Alaska Marine Highway                                     
     System to cover increased fuel costs and staffing to meet                                      
     increased ports of call.                                                                       
                                                                                                    

2006-01-13                     House Journal                      Page 2271
Another major increase is $65 million for state employee salary and                                 
benefit costs.  Over half of the amount ($34 million) is to pay the                                 
increased retirement system contribution.                                                           
                                                                                                    
Our administration's Fiscal Year 2007 operating budget and other                                    
proposals are investments in Alaska's future that will help create the                              
kind of Alaska in which Alaskans can fulfill their tremendous potential                             
and achieve their dreams.  By our working together on what I believe                                
to be a shared vision for the future, it will mean every Alaskan can                                
have hope for what the future will bring, instead of simply hoping for                              
a future.                                                                                           
                                                                                                    
To these ends, I look forward to working with the Legislature.                                      
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    
HB 366                                                                                            
HOUSE BILL NO. 366 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act making appropriations for the operating and capital                                    
     expenses of the state's integrated comprehensive mental health                                 
     program; and providing for an effective date."                                                 
                                                                                                    
was read the first time and referred to the Finance Committee.                                      
                                                                                                    
The Governor's transmittal letter dated January 11, 2006, follows:                                  
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
I am today transmitting a separate FY 2007 appropriations bill for the                              
state's comprehensive mental health program.  As required by statute,                               
it includes both operating and capital appropriations and is                                        
accompanied by a report outlining the differences between my budget                                 
and the recommendations of the Alaska Mental Health Trust                                           
Authority.                                                                                          
                                                                                                    

2006-01-13                     House Journal                      Page 2272
The proposed mental health budget represents a cooperative effort                                   
between state agencies, the Trustees, and Trust Authority staff.                                    
Coupled with the resources that have been appropriated in recent                                    
years, these productive working relationships have made a positive                                  
difference for Alaska's mental health beneficiaries.                                                
                                                                                                    
I look forward to working with the Legislature this session.                                        
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    
A letter dated January 11, 2006, with an accompanying spreadsheet, to                               
the Alaska Mental Health Trust Authority from Cheryl Frasca,                                        
Director, Office of Management and Budget, was attached (as required                                
by AS 37.14.003) and is on file in the Chief Clerk's office.                                        
                                                                                                    
HB 367                                                                                            
HOUSE BILL NO. 367 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act making appropriations for state aid to public schools,                                 
     centralized correspondence study, and transportation of pupils;                                
     and providing for an effective date."                                                          
                                                                                                    
was read the first time and referred to the Finance Committee.                                      
                                                                                                    
The Governor's transmittal letter dated January 11, 2006, follows:                                  
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
Under the authority of art. III, sec. 18, of the Alaska Constitution, I am                          
transmitting a bill making special appropriations for the support of K-                             
12 public education in the state for fiscal year 2007.                                              
                                                                                                    
This bill contains an increase of $90.2 million that is contingent upon                             
passage of this legislation, which will increase the base student                                   
allocation by $433 from $4,919 to $5,352.                                                           
                                                                                                    

2006-01-13                     House Journal                      Page 2273
Upon approval, this will mean a 33 percent increase in education                                    
funding during the four years of this administration.                                               
                                                                                                    
But even more important is that we are seeing results from this                                     
increased investment.  The number of schools meeting the Adequate                                   
Yearly Progress requirement of the No Child Left Behind law has                                     
increased to 59 percent from 42 percent in 2003.  We have seen the                                  
achievement gap narrow between Native and non-Native students.                                      
                                                                                                    
I urge early and favorable action on this measure.                                                  
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    
HB 368                                                                                            
HOUSE BILL NO. 368 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act making appropriations, including capital appropriations                                
     and appropriations to capitalize funds; and providing for an                                   
     effective date."                                                                               
                                                                                                    
was read the first time and referred to the Finance Committee.                                      
                                                                                                    
The Governor's transmittal letter dated January 11, 2006, follows:                                  
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
The capital budget bill delivered today contains my proposal for the                                
2007 fiscal year.                                                                                   
                                                                                                    
Overall, the capital budget totals $1.7 billion of which $1.1 billion will                          
be supported by federal funds.  Of this, $873 million in federal                                    
transportation funds are proposed for road, highway, ferry, and airport                             
projects throughout Alaska.  Another $95 million is proposed for a                                  
variety of University of Alaska projects, including $57 million to                                  
complete the Integrated Science Facility in Anchorage.  A major                                     
source of the funding for the University's projects is proceeds from                                

2006-01-13                     House Journal                      Page 2274
refinancing bonds issued by the Northern Tobacco Securitization                                     
Corporation.                                                                                        
                                                                                                    
Developing Alaska's natural resources continues to be my                                            
administration's major priority.  This includes getting Alaska's                                    
transportation infrastructure ready for gas pipeline construction, doing                            
further geologic work, and providing access to resources around the                                 
state through the "Roads to Resources" program.                                                     
                                                                                                    
The Fiscal Year 2007 capital budget also includes $132 million in                                   
state funds for a major transportation initiative, which includes Juneau                            
Access funding of $45 million and $50 million to extend the Alaska                                  
Railroad from Delta to the Canadian border.                                                         
                                                                                                    
In other legislation I will be proposing that $86 million of the current                            
year's surplus also be used for transportation projects that meet local                             
community transportation priorities, as well as $43 million to meet                                 
deferred maintenance needs of state facilities and programs.                                        
                                                                                                    
I look forward to working closely with this Legislature to jointly craft                            
a capital budget that provides Alaska residents essential state services                            
and creates good jobs for hard working Alaskans.                                                    
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    
                                                                                                    
HB 369                                                                                            
HOUSE BILL NO. 369 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act making special, supplemental, capital, and other                                       
     appropriations, amending appropriations, and making                                            
     appropriations to capitalize funds; and providing for an effective                             
     date."                                                                                         
                                                                                                    
was read the first time and referred to the Finance Committee.                                      
                                                                                                    

2006-01-13                     House Journal                      Page 2275
The Governor's transmittal letter dated January 12, 2006, follows:                                  
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
I am today transmitting an FY 2006 supplemental appropriations bill                                 
for increased energy costs and for certain time-sensitive items.  A                                 
spreadsheet summarizing the requests is enclosed, along with backup                                 
information for each.                                                                               
                                                                                                    
I encourage your early and favorable action on this measure.                                        
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    
An accompanying spreadsheet from the Office of Management and                                       
Budget was attached and is on file in the Chief Clerk's office.                                     
                                                                                                    
HB 370                                                                                            
HOUSE BILL NO. 370 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act making appropriations for capital projects; and providing                              
     for an effective date."                                                                        
                                                                                                    
was read the first time and referred to the Finance Committee.                                      
                                                                                                    
The Governor's transmittal letter dated January 12, 2006, follows:                                  
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
The supplemental capital budget bill introduced today reflects the third                            
area of investment of the current year's revenue surplus.  This $129                                
million proposal for roads and deferred maintenance is in addition to                               
tapping 50 percent of the surplus to fund K-12 education next year and                              
saving $400 million to invest in the gas pipeline.                                                  
                                                                                                    
This legislation proposes to invest $86 million in transportation                                   
projects around the state.  Providing state funds instead of relying only                           

2006-01-13                     House Journal                      Page 2276
on federal funds will shorten the construction timeframe so that                                    
Alaskans will get the benefit from these improvements sooner rather                                 
than later.  These projects build on my transportation initiative that the                          
Legislature approved last session.                                                                  
                                                                                                    
In addition, the bill proposes to invest $43 million to start meeting the                           
deferred maintenance needs of state facilities and programs.                                        
                                                                                                    
I look forward to working with the Legislature on meeting these and                                 
other priorities this session.                                                                      
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    
HB 371                                                                                            
HOUSE BILL NO. 371 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
     "An Act relating to a community dividend program; and providing                                
     for an effective date."                                                                        
                                                                                                    
was read the first time and referred to the Community & Regional                                    
Affairs and Finance Committees.                                                                     
                                                                                                    
The following fiscal note(s) apply:                                                                 
                                                                                                    
1.  Zero, Dept. of Revenue                                                                          
2.  Fiscal, Dept. of Commerce, Community & Economic Development                                     
                                                                                                    
The Governor's transmittal letter dated January 13, 2006, follows:                                  
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
Under the authority of art. III, sec. 18, of the Alaska Constitution, I am                          
transmitting a bill relating to a community dividend program.                                       
                                                                                                    
This bill would establish the community dividend program, under                                     
which several types of grants would be awarded to municipalities for                                

2006-01-13                     House Journal                      Page 2277
use for specified public services.  The bill provides for appropriation                             
for the program from amounts deposited into the Alaska capital                                      
income fund, established in AS 37.05.565 by ch. 49, SLA 2005.  The                                  
Alaska capital income fund is financed by the earnings on Amerada                                   
Hess settlement deposits to the Alaska permanent fund.                                              
                                                                                                    
The bill provides first for a base grant to municipalities, then for an                             
organizational grant to newly organized boroughs.  Any amounts                                      
remaining from a fiscal year's appropriation would be distributed on a                              
pro rata basis to municipalities as a supplemental grant.                                           
                                                                                                    
I urge your prompt and favorable action on this measure.                                            
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                Governor"                                                          
                                                                                                    
HB 372                                                                                            
HOUSE BILL NO. 372 by Representative Kohring, entitled:                                             
                                                                                                    
     "An Act delaying to June 30, 2010, the last date by which                                      
     hydrocarbon exploration geophysical work must be performed or                                  
     drilling of a stratigraphic test well or exploratory well must be                              
     completed in order for a person to qualify for an exploration                                  
     incentive credit under the oil and gas exploration incentive credit                            
     that is not authorized by the Alaska Land Act."                                                
                                                                                                    
was read the first time and referred to the House Special Committee on                              
Oil & Gas and the Resources and Finance Committees.                                                 
                                                                                                    
                                                                                                    
                   CONSIDERATION OF THE DAILY CALENDAR                                           
                                                                                                    
                          LEGISLATIVE CITATIONS                                                  
                                                                                                    
Representative Coghill moved and asked unanimous consent that the                                   
House approve the citations on the calendar.  There being no                                        
objection, the following citations were approved and sent to enrolling:                             
                                                                                                    

2006-01-13                     House Journal                      Page 2278
Honoring - Juneau-Douglas High School Football Team, 2005 Alaska                                    
State Champions                                                                                     
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker, Holm,                                  
Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire, Meyer,                                        
Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton,                                           
Thomas, Wilson; Senator Elton                                                                       
                                                                                                    
Honoring - The Juneau Gun Club                                                                      
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker,                                
Holm, Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire,                                         
Meyer, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton,                                    
Stoltze, Thomas, Wilson; Senator Elton                                                              
                                                                                                    
Honoring - Glacier Swim Club                                                                        
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker, Holm,                                  
Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire, Meyer,                                        
Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton, Stoltze,                                  
Thomas, Wilson; Senator Elton                                                                       
                                                                                                    
Honoring - Leanne Tomson-Flickinger                                                                 
By Senator Bunde; Representatives Harris, Anderson, Berkowitz,                                      
Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom, Elkins, Gara,                                
Gardner, Gatto, Gruenberg, Guttenberg, Hawker, Holm, Joule,                                         
Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire, Meyer, Neuman,                                       
Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton, Stoltze, Thomas,                                  
Weyhrauch, Wilson                                                                                   
                                                                                                    
Honoring - Orin Seybert, Alaska Business Junior Achievement Hall of                                 
Fame Laureate                                                                                       
By Senator Ben Stevens; Representatives Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker,                                
Holm, Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire,                                         
Meyer, Moses, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels,                                     
Seaton, Stoltze, Thomas, Weyhrauch, Wilson                                                          
                                                                                                    

2006-01-13                     House Journal                      Page 2279
In Memoriam - Kris Fanning                                                                          
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker,                                
Holm, Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire,                                         
Meyer, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton,                                    
Thomas, Wilson; Senator Elton                                                                       
                                                                                                    
In Memoriam - Governor Jay Hammond                                                                  
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker,                                
Holm, Joule, Kapsner, Kelly, Kohring, Kott, LeDoux, Lynn, McGuire,                                  
Meyer, Moses, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels,                                     
Seaton, Stoltze, Thomas, Wilson; Senator Elton                                                      
                                                                                                    
In Memoriam - Reilly Richey                                                                         
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker,                                
Holm, Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire,                                         
Meyer, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton,                                    
Stoltze, Thomas, Wilson; Senator Elton                                                              
                                                                                                    
In Memoriam - Jonathon Wynn Scribner                                                                
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker,                                
Holm, Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire,                                         
Meyer, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton,                                    
Stoltze, Thomas, Wilson; Senator Elton                                                              
                                                                                                    
In Memoriam - Fern Angela Kubley                                                                    
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker,                                
Holm, Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire,                                         
Meyer, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton,                                    
Stoltze, Thomas, Wilson; Senator Elton                                                              
                                                                                                    

2006-01-13                     House Journal                      Page 2280
In Memoriam - Nicholas Kokotovich                                                                   
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker,                                
Holm, Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire,                                         
Meyer, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton,                                    
Stoltze, Thomas, Wilson; Senator Elton                                                              
                                                                                                    
In Memoriam - William Harley "Bill" Stalnaker                                                       
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker,                                
Holm, Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire,                                         
Meyer, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton,                                    
Stoltze, Thomas, Wilson; Senator Elton                                                              
                                                                                                    
In Memoriam - Elisabeth Sheldon Hakkinen                                                            
By Representatives Thomas, Harris, Anderson, Berkowitz, Chenault,                                   
Cissna, Coghill, Crawford, Croft, Dahlstrom, Elkins, Foster, Gara,                                  
Gardner, Gatto, Gruenberg, Guttenberg, Hawker, Holm, Joule,                                         
Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire, Meyer, Neuman,                                       
Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton, Stoltze,                                          
Weyhrauch, Wilson; Senator Kookesh                                                                  
                                                                                                    
In Memoriam - Genevieve "Gen" F. Harmon                                                             
By Representatives Weyhrauch, Kerttula, Harris, Anderson,                                           
Berkowitz, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom,                                   
Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Hawker,                                
Holm, Joule, Kapsner, Kohring, Kott, LeDoux, Lynn, McGuire,                                         
Meyer, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton,                                    
Stoltze, Thomas, Wilson; Senator Elton                                                              
                                                                                                    
                           UNFINISHED BUSINESS                                                   
                                                                                                    
Representative Coghill moved and asked unanimous consent that the                                   
following members be excused from a call of the House.  There being                                 
no objection, the members were excused as noted:                                                    
                                                                                                    
Representative Seaton - from noon, January 13 to 2:00 p.m., plane                                   
time, January 14, 2006                                                                              
                                                                                                    

2006-01-13                     House Journal                      Page 2281
Representative Olson - from 1:00 p.m., January 13 to 2:00 p.m., plane                               
time, January 15, 2006                                                                              
                                                                                                    
Representative Thomas - from 1:00 p.m., January 13 to 9:30 p.m.,                                    
January 16, 2006                                                                                    
                                                                                                    
Representative Anderson - from 1:00 p.m., January 13 to 9:30 p.m.,                                  
January 16, 2006                                                                                    
                                                                                                    
Representative McGuire - from 1:00 p.m., January 13 to 9:30 p.m.,                                   
January 16, 2006                                                                                    
                                                                                                    
Representative Holm - from 1:00 p.m., January 13 to 10:00 a.m., plane                               
time, January 17, 2006                                                                              
                                                                                                    
Representative Croft - from 1:00 p.m., January 13 to 10:00 a.m., plane                              
time, January 17, 2006                                                                              
                                                                                                    
                        SPECIAL ORDER OF BUSINESS                                                
                                                                                                    
Representative Weyhrauch moved and asked unanimous consent that                                     
all members of the House be shown as cosponsors of the citation, In                                 
Memoriam - Governor Jay Hammond (page 2279).  There being no                                        
objection, it was so ordered.                                                                       
                                                                                                    
**The presence of Representative Kelly was noted.                                                   
                                                                                                    
                           UNFINISHED BUSINESS                                                   
                                                                                                    
HR 11                                                                                             
The House Rules Committee has submitted the following fiscal note:                                  
                                                                                                    
1.  Zero, House Rules Committee                                                                     
                                                                                                    
The fiscal note applies to the following, which was introduced on                                   
January 11 (page 2249):                                                                             
                                                                                                    
     HOUSE RESOLUTION NO. 11                                                                        
     Relating to amending House Resolution 8 pertaining to the House                                
     Task Force on Alaska Gaming Policy.                                                            

2006-01-13                     House Journal                      Page 2282
HR 11 is in the Rules Committee.                                                                    
                                                                                                    
HB 318                                                                                            
Representative Lynn added his name as cosponsor to:                                                 
                                                                                                    
     HOUSE BILL NO. 318                                                                             
     "An Act limiting the exercise of eminent domain."                                              
                                                                                                    
HB 322                                                                                            
Representative Dahlstrom added her name as cosponsor to:                                            
                                                                                                    
     HOUSE BILL NO. 322                                                                             
     "An Act relating to infants who are safely surrendered by a parent                             
     shortly after birth."                                                                          
                                                                                                    
                                                                                                    
HB 324                                                                                            
Representative Rokeberg added his name as cosponsor to:                                             
                                                                                                    
     HOUSE BILL NO. 324                                                                             
     "An Act banning the importation, transfer, and cultivation of                                  
     orange hawkweed and purple loosestrife."                                                       
                                                                                                    
                                                                                                    
HB 332                                                                                            
Representative Guttenberg added his name as cosponsor to:                                           
                                                                                                    
     HOUSE BILL NO. 332                                                                             
     "An Act relating to school district personnel and salary                                       
     enhancement for teachers who obtain master's degrees; supporting                               
     parental involvement in schools through employment of parental                                 
     involvement coordinators; establishing a supplemental income tax                               
     on oil revenue to support school district personnel; and creating an                           
     account titled 'Resource Revenue for Kids' in the general fund."                              
                                                                                                    
                                                                                                    
                              ANNOUNCEMENTS                                                      
                                                                                                    
House committee schedules are published daily under separate cover.                                 
                                                                                                    

2006-01-13                     House Journal                      Page 2283
                               ADJOURNMENT                                                       
                                                                                                    
Representative Coghill moved and asked unanimous consent that the                                   
House adjourn until 11:00 a.m., January 17, 2006.  There being no                                   
objection, the House adjourned at 10:27 a.m.                                                        
                                                                                                    
                                             Suzi Lowell                                            
                                             Chief Clerk