Legislature(1993 - 1994)
03/08/1994 01:30 PM House FIN
| Audio | Topic |
|---|
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE BILL NO. 455
"An Act making and amending operating and capital
appropriations and ratifying certain state
expenditures; and providing for an effective date."
NANCY SLAGLE, DIRECTOR, DIVISION OF BUDGET REVIEW, OFFICE OF
MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR provided a
sectional overview of HB 455.
DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES
* Sec. 39 Highways and Aviation
$1,550.0
This is a fund source change from program receipts
to general fund dollars to reflect uncollectible
rural airport fees.
RON LIND, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF TRANSPORTATION explained that the Court ruled
that the Department had incorrectly implemented the
procedures for rural rate landing fees. Collection of rural
landing fees was discontinued. He observed that FY 94
legislative intent stated that "the Department of
Transportation and Public Facilities not reinstate the
landing fees at the rural airports and that the Department
submit for legislative consideration a supplemental
2
appropriation next session to fund the resulting shortfall."
In response to a question by Co-Chair Larson, Mr. Lind noted
that an additional aviation fuel tax of $0.07 would be need
to make up the shortfall.
* Sec. 40 Fairbanks International Airport $34.7
This request would pay court ordered reinstatement
of PERS for a discharged employee. The request is
required by a court settlement.
DEPARTMENT OF CORRECTIONS
* Sec. 41 Inmate Health Care
$1,631.3
The request will fund inmate health care
requirements for remaining FY 94.
SHIRLEY MINNICH, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF CORRECTIONS discussed cost effective
measures instigated by the Department since FY 93. She
noted that contractual services have been reduced.
Referrals for specialists and surgical procedures have also
been reduced. Third party payers are being introduced.
There was a $2 million dollar reduction for inmate health
care in FY 94.
Representative Navarre suggested that outside audits be
conducted to discern if further health care savings can be
achieved.
* Sec. 42 Administrative Services $85.1
This will appropriate funding for an arbitration
settlement. It includes salary and benefits for
back pay.
* Sec. 43 Institutions $39.5
This request funds a court ordered monitor as
required by Cleary.
In response to a question by Representative Brown, Ms.
Minnich clarified that the monitor operated during previous
fiscal years.
ARTHUR H. SNOWDEN, II, ADMINISTRATIVE DIRECTOR, ALASKA COURT
SYSTEM clarified that the position will monitor the
settlement agreed to by the executive branch and the
3
plaintiffs. The monitor was requested by the plaintiffs and
the defendants during hearings. The monitor has been in
existence since the settlement.
DIANE SCHENKER, SPECIAL ASSISTANT, DEPARTMENT OF CORRECTIONS
added that the monitor was reappointed specifically to
review issues related to overcrowding.
* Sec. 44 Spring Creek Correctional Center
$200.0
This would allow 50 maximum security beds to be
operational at the Spring Creek Correctional
Center. The request covers remaining FY 94.
In response to a question by Representative Therriault, Ms.
Minnich explained that the beds are on line. Funding for
the beds has been requested in the Department's FY 95
budget. She stressed the importance of additional beds to
alleviate overcrowding. Only costs associated with
supervision, contractual, supplies and inmate gratuities are
included.
Ms. Schenker discussed the need for additional beds to meet
the courts requirement for staff/inmate ratio. She further
explained costs associated with the request. She emphasized
that the beds are in place.
* Sec. 45 Commissioner's Office $73.0
This requests covers legal expenses owed to the
Department of Law related to the growing number
and complexity of cases brought by inmates against
the state.
* Sec. 46 Community Corrections Directors Office
This would extend the lapse date on appropriations
for community residence center (CRC) beds.
In response to a question by Representative Navarre, Ms.
Slagle clarified that $688.0 thousand dollars would be
extended.
Representative Hanley clarified that the funding has already
lapsed into the general fund. Representative Navarre
suggested that section 46 (a) is confusing. He asserted that
the funding should be allowed to lapse and a separate
appropriation made.
In response to a question by Co-Chair MacLean, Ms. Minnich
noted that CRC beds were funded in FY 94 at $6,220.6 million
4
dollars. She clarified that inmates will be moved from hard
beds into the soft CRC beds.
Representative Hanley pointed out that more money was lapsed
than is being extended. Ms. Slagle noted that the
Department wants to identify the need for CRC beds in order
to verify their FY 95 funding request.
(Tape Change, HFC 94-52, Side 1)
Members continued discussion regarding the lapsed funding
contained in section 46.
DEPARTMENT OF ENVIRONMENTAL CONSERVATION
* Sec. 47 Air Quality/Solid Waste Management $36.7
This would reimburse the Environmental Protection
Agency (EPA) for disallowed costs determined in
federal CERCLA audit.
BOB POE, DIRECTOR, DIVISION OF INFORMATION AND
ADMINISTRATIVE SERVICES, DEPARTMENT OF ENVIRONMENTAL
CONSERVATION explained that the CERCLA agreement was between
June 1985 and January 1988. The amount was reduced from
$115,988 thousand dollars.
UNIVERSITY OF ALASKA
* Sec. 49 Fairbanks Campus Physical Plant
$220.0
This request funds the installation of an emergency
water well. The well will replace the benzine
contaminated water system at the Fairbanks campus.
Ms. Slagle explained that 470 funding was used for clean up
of the contaminated well. Representative Martin asked if
the University's risk management account could be used.
ALISON ELGEE, DIRECTOR OF BUDGET, UNIVERSITY OF ALASKA
explained that the risk management pool has been used as an
interim measure. She stressed that the risk management pool
was not designed to cover this kind of expense. The benzine
contamination at the existing site required ground work
prior to winter. In response to a question by Co-Chair
MacLean, Ms. Elgee noted that the total cost is $320.0
thousand dollars. She noted that the appropriation will not
be rolled into the University's base FY 95 request.
MISCELLANEOUS CLAIMS AND STALE DATED WARRANTS
5
* Sec. 50 Miscellaneous claims and stale dated
warrants.
Ms. Slagle explained that payments by the state of Alaska
not cashed within two years must be reappropriated. Small
miscellaneous claims are also included if they are over two
years old. She noted that AS 37.25.010 states that:
"An indebtedness arising from a prior year for which
the appropriation has lapsed shall be paid from the
current year's appropriation, if (1) this expenditure
does not exceed the balanced lapsed; and (20 the
original obligation date is not more than two years
from the requested date of disbursement."
HB 455 was HELD in Committee for further discussion.
Co-Chair Larson discussed the majority's FY 95 spending
plan. Co-Chair MacLean discussed plans for capital project
legislation.
| Document Name | Date/Time | Subjects |
|---|