Legislature(2019 - 2020)

2019-07-08 House Journal

Full Journal pdf

2019-07-08                     House Journal                      Page 1218
HB 40                                                                                                                         
The following was engrossed and enrolled, signed by the Speaker and                                                             
Chief Clerk, President and Secretary of the Senate, and the engrossed                                                           
and enrolled copies were transmitted to the Office of the Governor at                                                           
4:50 p.m., June 13 with a manifest error memorandum (page 1200):                                                                

2019-07-08                     House Journal                      Page 1219
     CONFERENCE CS FOR SS FOR HOUSE BILL NO. 40                                                                                 
     "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."                                                                             
Also transmitted was a copy of the following letter dated June 8 to Ms.                                                         
Mary Jane Michael, Chair, Alaska Mental Health Trust Authority:                                                                 
"Dear Ms. Michael:                                                                                                              
Pursuant to the requirements of AS 37.14.005(c), this letter and the                                                            
enclosed reports describe how the funding contained in HB 40 (the                                                               
FY20 Mental Health budget) and SB 19 (the Capital Bill) differ from                                                             
the FY20 Mental Health Trust Authority's (Authority) funding                                                                    
recommendations for the State's integrated comprehensive mental                                                                 
health program. While the statute requires reporting only on general                                                            
fund expenditures, information regarding expenditures of Authority                                                              
receipts is also included in the attached reports.                                                                              
Operating Appropriations (report #1)                                                                                          
For mental health operating program funding, the Agency Summary                                                                 
report compares the FY20 Mental Health Trust Authority operating                                                                
budget recommendations to the Governor's request and to the                                                                     
appropriations passed by the legislature.  Note that, for comparison                                                            
purposes, Authority recommendations include FY20 salary                                                                         
adjustments and base transactions requested by the Governor. This                                                               
brings the FY20 total Authority recommendations to $235.7 million.                                                              
The Governor requested $211.2 million, and the Conference                                                                       
Committee's budget totaled $219.6 million.  The Conference                                                                      
Committee budget is $8.4 million above the Governor's request, an                                                               
increase of 4 %.                                                                                                                
Governor's Request (report #2)                                                                                                
An enclosed Transaction Compare report shows differences between                                                                
Authority recommendations and the Governor's request. The                                                                       
differences between the two (excluding executive branch travel                                                                  
reductions) are as follows:                                                                                                     
     • Department of Administration                                                                                           
         Legal and Advocacy Services/ Public Defender Agency - the                                                              
         Trust recommended $372.7 more of GF/MH than the                                                                        
         Governor's request;                                                                                                    

2019-07-08                     House Journal                      Page 1220Department of Health and Social Services                                                                               
          o Alaska Pioneer Homes/Pioneer Homes - the Governor                                                                 
              removed all GF/MH ($16.4 million) from the Pioneer                                                                
              Homes allocation and transferred the remaining UGF                                                                
              (non-MH) to the new Payment Assistance allocation,                                                                
              resulting in ~$20 million UGF to support residents in                                                             
              need of financial assistance. This net reduction of $12.3                                                         
              million UGF from FY19 to the program assumes                                                                      
              increased revenue (GF/PR and I/A) associated with                                                                 
               substantial rate increases planned for FY20                                                                     
          o Alaska Psychiatric Institute (API)/API -the Governor                                                              
              requested an amendment including $4.7 million GF/MH                                                               
              for ongoing API operations in FY20                                                                                
          o Behavioral Health/Behavioral Health Treatment and                                                                 
              Recovery Grants - the Governor requested a reduction of                                                           
              $12 million GF/MH in anticipation of more behavioral                                                              
              health services transitioning to Medicaid under the 1115                                                          
          o Senior and Disabilities Services/Senior and Disabilities                                                          
              Services Administration - the Trust recommended $63.0                                                             
              more of GF/MH funding than the Governor requested;                                                                
     • Department of Labor and Workforce Development                                                                          
     Employment and Training Services/Workforce Services - the                                                                  
     Trust recommended $128.8 more of MHTAAR funding than the                                                                   
     Governor requested; and                                                                                                    
     • Department of Natural Resources                                                                                        
     Administration & Support Services/ Mental Health Trust Lands                                                               
     Administration - the Trust recommended $29.2 more of                                                                       
     MHTAAR funding than the Governor requested.                                                                                
Conference Committee Budget (report #3)                                                                                       
The legislature treated the Governor's request as a starting point for                                                          
budget deliberations. Other than the differences listed below, the                                                              
legislature approved the FY20 Mental Health Budget as submitted by                                                              
the Governor.                                                                                                                   
     â?¢ Various Agencies – the legislature denied the following                                                              
         travel reductions proposed by the Governor:                                                                            
         o Department of Administration/Office of Public                                                                      
              Advocacy - $3.2 GF/MH                                                                                           

2019-07-08                     House Journal                      Page 1221
         o Department of Health and Social Services/Governor's                                                                
              Council on Disabilities and Special Education - $5.9                                                            
         o Department of Revenue/Long Term Care Ombudsman                                                                     
              Office - $4.2 GF/MH                                                                                             
• Department of Health and Social Services                                                                                    
         o Behavioral Health Treatment and Recovery Grants - fund                                                               
              change to replace $1.5 million of unsustainable Alcohol                                                           
              and Other Drug Treatment and Prevention Funds (code                                                               
              1180) with Recidivism Reduction Funds (RRF) (DGF,                                                                 
              code 1246)                                                                                                        
         o Behavioral Health Treatment and Recovery Grants - fund                                                               
              change to replace $4 million of UGF (GF/MH) with                                                                  
              Marijuana Education and Treatment Fund (MET) (DGF,                                                                
              code 1254)                                                                                                        
         o Behavioral Health Treatment and Recovery Grants - the                                                                
              legislature accepted approximately half of the Governor's                                                         
              proposed $12 million GF/MH decrement as follows:                                                                  
              square4 approved $8.24 million of the $12 million reduction                                                       
                  which corresponds to the reduction in grant                                                                   
                  solicitations currently being reviewed by DHSS for                                                            
                  FY20; and                                                                                                     
              square4 restored $2.1 million of said decrement with                                                              
                  DGF/MET funding, resulting in a NET reduction of                                                              
                  $6.14 million GF for this item.                                                                               
         o Pioneer Homes – in addition to restoring $5 million UGF                                                              
              (non-MH) from the Governor's proposed cuts to the                                                                 
              Pioneer Homes program, the legislature also added $2.4                                                            
              million in Recidivism Reduction Funding (DGF) to the                                                              
              Pioneer Homes allocation to support operations.                                                                   
Supplemental Appropriations (report #4)                                                                                       
The legislature approved the Governor's supplemental capital request                                                            
of $3.685 million for the Department of Corrections. $2.54 million                                                              
GF/MH and $1.15 million MHTAAR will be used to accommodate                                                                      
the Women's Mental Health Unit at the Hiland Mountain Correctional                                                              

2019-07-08                     House Journal                      Page 1222
Capital Appropriations (report #5)                                                                                            
The Authority recommended a $15.3 million capital budget. The                                                                   
Governor's request totaled $2.1 million (a reduction of $13.2 million).                                                         
The legislature approved the Authority's recommended budget as                                                                  
reflected in the enclosed FY2020 Capital Project Detail by Agency.                                                              
New Legislation (report #6)                                                                                                   
The legislature reduced the Suicide Prevention Council's budget                                                                 
(Health and Social Services) by $61.7 GF/MH in FY20 along with                                                                  
intent that the Council work with the Department of Education and                                                               
Early Development to develop a long-term sustainability plan for                                                                
suicide prevention training.                                                                                                    
If you have questions regarding the enclosed reports, please contact                                                            
Kelly Cunningham of the Legislative Finance Division at 465-3821.                                                               
Representative Neal Foster                                                                                                      
Conference Committee Chair                                                                                                      
Senator Bert Stedman                                                                                                            
Conference Committee Vice-Chair                                                                                                 
     1. MH Agency Summary (Operating Budget)                                                                                    
     2. Transaction Compare between 20MH TrustOp & 20                                                                           
     3. Transaction Compare between GovAmdTOT and CC6                                                                           
     4. MH Supplemental Project Detail by Agency                                                                                
     5. MH Capital Project Detail by Agency                                                                                     
     6. MH New Legislation Transaction Detail"