Legislature(2001 - 2002)

04/26/2001 08:43 PM FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
HOUSE BILL NO. 234                                                                                                            
                                                                                                                                
     An Act relating to the financing of construction and                                                                       
     renovation of certain public facilities; and providing                                                                     
     for an effective date.                                                                                                     
                                                                                                                                
Vice-Chair   Bunde   MOVED  to   ADOPT   proposed   committee                                                                   
substitute: work  draft 22-LS0863\O, 4/25/01. There  being NO                                                                   
OBJECTION, it was so ordered.                                                                                                   
                                                                                                                                
DAVID MORK, WRANGELL testified  via teleconference in support                                                                   
of the  legislation. He  stressed the  importance of  funding                                                                   
Wrangell's   harbor    project.   The   harbor    is   slowly                                                                   
deteriorating.  The   cost  of  the  project   has  increased                                                                   
approximately 14 percent from the previous year.                                                                                
                                                                                                                                
ROBERT  PRUNELLA  MANAGER,  CITY OF  WRANGELL  testified  via                                                                   
teleconference  in  support  of  inclusion  of  the  Wrangell                                                                   
harbor project.                                                                                                                 
                                                                                                                                
TAPE HFC 01 - 99, Side B                                                                                                      
                                                                                                                                
Vice-Chair  Bunde MOVED  to ADOPT Amendment  1. He  explained                                                                   
that Amendment  1 would securitize  the remaining  20 percent                                                                   
of the tobacco settlement funds  and provide a funding stream                                                                   
for tobacco cessation activities.  Existing non-profits would                                                                   
utilize  the funds. He  acknowledged that  the funding  would                                                                   
not  be dedicated  but  emphasized that  it  would provide  a                                                                   
funding stream  that the legislature can appropriate  to non-                                                                   
profits. The amount is estimated  at $4 to $5 million dollars                                                                   
with a decreasing annuity.                                                                                                      
                                                                                                                                
Vice-Chair  Bunde   explained  that  the  projects   for  the                                                                   
University  of Alaska were  not deleted;  they were  moved to                                                                   
create a new structure.                                                                                                         
                                                                                                                                
Vice-Chair   Bunde   noted   that    there   were   technical                                                                   
difficulties  with the  amendment  and WITHDREW  Amendment  1                                                                   
with  the intention  of  revising it  for  the next  meeting.                                                                   
There being NO OBJECTION, it was so ordered.                                                                                    
                                                                                                                                
Representative  Croft MOVED  to ADOPT  Amendment 2.  Co-Chair                                                                   
Mulder  OBJECTED.  Representative  Croft explained  that  the                                                                   
amendment  would fund  the  first 4  projects  on the  school                                                                   
construction  list and  the first  46 projects  on the  major                                                                   
maintenance   list.  He  observed   that  the  projects   are                                                                   
primarily rural,  but noted that there are  projects from all                                                                   
over the  state. He  stressed  that there is  a process  that                                                                   
should be  followed. Many  of the projects  have been  on the                                                                   
list  for a  long  time. He  acknowledged  the difficulty  of                                                                   
using harbor  and university  projects in  order to  fund the                                                                   
construction and maintenance projects  contained in Amendment                                                                   
2.  He spoke  in support  of finding  other  ways to  support                                                                   
ports and harbors.                                                                                                              
                                                                                                                                
Co-Chair Mulder spoke against  the amendment. He acknowledged                                                                   
the  importance  of  building  and  maintaining  schools  but                                                                   
observed  that there  are competing  interests statewide.  He                                                                   
stressed  that  the  issue isn't  just  what  is  politically                                                                   
correct  but   what  is   politically  possible.   There  are                                                                   
statewide   needs  for  capital   construction  dollars.   He                                                                   
maintained   that   the   legislation   is   reasonable   and                                                                   
responsible.  He felt  that adoption of  the amendment  would                                                                   
amount to winning the battle but losing the war.                                                                                
                                                                                                                                
A roll call vote was taken on the motion.                                                                                       
                                                                                                                                
IN FAVOR: Croft, Davies                                                                                                         
OPPOSED:  Whitaker,   Foster,   Harris,  Hudson,   Lancaster,                                                                   
          Mulder, Williams                                                                                                      
                                                                                                                                
Representatives Mulder and Bunde were absent.                                                                                   
                                                                                                                                
Representative Hudson  MOVED to ADOPT Amendment 3  on page 4,                                                                   
line  15: delete  $6 million  dollars and  insert $7  million                                                                   
dollars for the Juneau Douglas  High School. He stressed that                                                                   
he agreed to  give up $7.1 million dollars  in harbor funding                                                                   
in support for the city's highest priority.                                                                                     
                                                                                                                                
Co-Chair  Mulder  MOVED  to  AMEND  Amendment  3:  delete  $1                                                                   
million  dollars  from  the  University  Center  and  add  $1                                                                   
million  dollars for  the Juneau  High  School repair.  There                                                                   
being NO OBJECTION, it was so ordered.                                                                                          
                                                                                                                                
Co-Chair Mulder  MOVED to  ADOPT Amendment  4 as a  technical                                                                   
amendment: page  4, lines 24 and  25, change the  language to                                                                   
University of Alaska Anchorage  University Center Acquisition                                                                   
and Renovation.                                                                                                                 
                                                                                                                                
WENDY REDMAN, VICE PRESIDENT,  STATEWIDE PROGRAMS, UNIVERSITY                                                                   
OF ALASKA provided  information on the amendment.  She stated                                                                   
that   the   language  should   state   Anchorage   Facility,                                                                   
Acquisition and Renovation.                                                                                                     
                                                                                                                                
Co-Chair Mulder  Amended Amendment  4 to Anchorage  Facility,                                                                   
Acquisition and Renovation. There  being NO OBJECTION, it was                                                                   
so  ordered.  There  being  NO  OBJECTION,  Amendment  4  was                                                                   
adopted as amended.                                                                                                             
                                                                                                                                
Co-Chair Mulder MOVED  to ADOPT Amendment 5 page  4, lines 24                                                                   
and  25,  change   the  language  to  University   of  Alaska                                                                   
Anchorage Facility,  Acquisition and Renovation.  There being                                                                   
NO OBJECTION, it was so ordered.                                                                                                
                                                                                                                                
HB  234  was   heard  and  HELD  in  Committee   for  further                                                                   
consideration.                                                                                                                  

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