2008-01-16                     Senate Journal                      Page 1592
SB 221                                                                                                                        
SENATE BILL NO. 221 BY THE SENATE RULES COMMITTEE                                                                               
BY REQUEST OF THE GOVERNOR, entitled:                                                                                           
                                                                                                                                
          "An Act making appropriations, including capital                                                                      
          appropriations, supplemental appropriations, and                                                                      
          appropriations to capitalize funds; and providing for                                                                 
          an effective date."                                                                                                   

2008-01-16                     Senate Journal                      Page 1593
was read the first time and referred to the Finance Committee.                                                                  
                                                                                                                                
Governor's transmittal letter dated January 15:                                                                                 
                                                                                                                                
Dear President Green:                                                                                                           
                                                                                                                                
The capital budget bill that I am transmitting to you today represents a                                                        
significant investment in expanding and improving Alaska's                                                                      
infrastructure.  The bill contains nearly $758 million for                                                                      
transportation-related projects, including $262 million for the airport                                                         
improvement program, $237 million for the surface transportation                                                                
program, and $115 million for statewide federal programs.  The                                                                  
Alaska Student Loan Corporation's final installment of the return of                                                            
initial organizational capital is included in this budget bill and is                                                           
reflected as $60 million in bond proceeds that fund deferred                                                                    
maintenance projects in eleven agencies.   The Susitna Valley High                                                              
School replacement project and 20 school major maintenance projects                                                             
comprise nearly $100 million.  In addition, the University of Alaska                                                            
will receive $40 million for deferred maintenance projects statewide.                                                           
Water and wastewater infrastructure projects total $121 million.                                                                
                                                                                                                                
The capital budget also contains my municipal revenue sharing                                                                   
proposal of $75 million, an increase of $26.3 million from FY2008.  In                                                          
addition, the budget funds nearly $37 million of information                                                                    
technology projects with a FY2008 effective date in order to utilize                                                            
$29 million of the FY2008 general fund surplus.                                                                                 
                                                                                                                                
I believe that this capital budget is a responsible approach to                                                                 
addressing the needs of Alaskans.  I look forward to working with the                                                           
Legislature to secure passage of this bill.                                                                                     
                                                                                                                                
Sincerely,                                                                                                                      
/s/                                                                                                                             
Sarah Palin                                                                                                                     
Governor