02/24/1993 09:05 AM Senate FIN

                                                                               
  CS FOR HOUSE BILL NO. 94(FIN)                                                
                                                                               
       An  Act making  a  supplemental appropriation  for                      
       costs of  elections operations; and  providing for                      
       an effective date.                                                      
                                                                               
  CHARLOT  THICKSTUN, Director,  Division  of Elections,  came                 
  before committee.  She explained  that the supplemental bill                 
  began  as a request  for $891.5  (SB 74)  to cover  costs of                 
  election operations for  FY 93.   In House Finance the  bill                 
  was  amended to cover costs  only until April  30, 1993.  It                 
  now totals $312.3.                                                           
                                                                               
  Shortfalls  within  the  division  resulted from  unbudgeted                 
  reapportionment costs, higher election costs resulting  from                 
  litigation surrounding  both reapportionment and  the closed                 
  primary, and changes in deadlines.   The division originally                 
  proposed that  supplemental funding  for reapportionment  be                 
  included as an agenda item for the special session called by                 
  Governor Hickel last  June.  That  request for $1.6  million                 
  was  submitted to  the Office  of Management and  Budget for                 
  review.  OMB was able to justify $961.1.                                     
                                                                               
  When budgeting needs  were not addressed during  the special                 
  session,  the  division relied  upon  the  Dept.  of Law  to                 
  ascertain  whether  operating  funds  could  be  expended on                 
  unbudgeted reapportionment-related functions.   The division                 
  was advised that  allocations are  not budgeted by  election                 
  function.  Rather, they represent a total allocation for all                 
  election-related  activities  within  the  division.     The                 
  division  was  also informed  that  it  was mandated  to  go                 
  forward in order to  facilitate the 1992 national  and state                 
  elections.                                                                   
                                                                               
                                                                               
  In a normal  year, the division begins preparations for fall                 
  primary  and general  elections  in March.    In 1992,  that                 
  preparation  could  not  be  started   because  of  lack  of                 
  finalization  of  reapportionment.     The  time-frame   for                 
  appointing election workers and preparing election materials                 
  was compressed  from six  to two  months.   It took  a great                 
  amount  of  staff  and  overtime   to  accomplish  what  was                 
  necessary in that restricted time period.                                    
                                                                               
  There was  never any  doubt the  division would  run out  of                 
  money.  The  question was  whether it could  last until  the                 
  legislature convened.                                                        
                                                                               
  The division has undertaken efforts  to cut operating costs,                 
  including elimination of three  full-time positions and  all                 
  temporary employees.    With the  exception  of  supervisory                 
  staff,  permanent employees have been reduced  to 30 hours a                 
  week.                                                                        
                                                                               
  While  HB  94  was  under  consideration in  House  Finance,                 
  $27,648 for ten, range 8 temporaries was  approved to finish                 
  data input of 30,000 voters onto registration rolls prior to                 
  Anchorage and Mat-Su municipal elections April 20.                           
                                                                               
  Mrs. Thickstun voiced her understanding  that an election is                 
  deemed  successful if  no  lawsuits ensue.    Based on  that                 
  criteria,  the division did  an exceptional job  in both the                 
  1990 and 1992 elections.  Voter  turnout for the most recent                 
  general  election set  a record  for Alaska  and was  eighth                 
  highest in the nation.                                                       
                                                                               
  Senator Kelly  voiced support for  the $312.0  supplemental,                 
  acknowledging  that,   in  light  of   reapportionment,  the                 
  division did a "marvelous job."                                              
                                                                               
  In  response  to  a question  from  Co-chairman  Frank, Mrs.                 
  Thickstun said that the $891.0 request was intended to cover                 
  operating expenses to  the end  of June.   It also  included                 
  reimbursement   of   costs   incurred   to   the   Dept.  of                 
  Administration,    division    of    information   services,                 
  contingency  moneys  loaned by  the  Governor, and  a $125.0                 
  legal   contract    for   defense   of    Mrs.   Thickstun's                 
  certification of the recall petitions.                                       
                                                                               
  Co-chairman Frank  noted the  $356.2 for  personal services,                 
  and  $310.0 for  Dept.  of Administration  computer charges.                 
  Mrs.  Thickstun  explained  that  $242.0  was  budgeted  for                 
  computer  time.  As  a result  of reapportionment  and other                 
  election expenses, costs  were higher.  She  further advised                 
  that  reapportionment  was  never  budgeted  for.    It  was                 
  necessary  to   hire   additional  staff   to  input   voter                 
  information.  Extensive overtime was also incurred since two                 
  shifts were  operating.  After  the initial  reapportionment                 
  plan was struck down by the  courts and an interim plan  was                 
                                                                               
                                                                               
  effected, "everything had to be redone."                                     
                                                                               
  The division expected that in the worst  case, funding needs                 
  might total $1.6.   OMB said  it could only justify  $961.0,                 
  which  was  more  than our  original  $891.0  request.   Co-                 
  chairman Frank voiced his understanding that the legislature                 
  budgeted $1.6 million for the  primary and general election.                 
  Mrs.  Thickstun  concurred,  advising  that  it  represented                 
  cyclical funding provided the division  in an election year.                 
                                                                               
                                                                               
  Senator Sharp voiced his understanding that the $312.0 would                 
  carry the  division through  April, but  that an  additional                 
  $183.0 would be  needed for  May and June.   Mrs.  Thickstun                 
  concurred.                                                                   
                                                                               
  Co-chairman Frank announced that CSHB  94 (Finance) would be                 
  HELD in committee for further review and again considered at                 
  9:00 a.m. the next day.                                                      
                                                                               
  ADJOURNMENT                                                                  
                                                                               
  The meeting was adjourned at approximately 10:40 a.m.