03/18/1993 09:10 AM Senate CRA

  The Senate Community & Regional Affairs Committee was called                 
  to order by Chairman Randy Phillips at 9:10 a.m.  Due to the                 
  lack of a quorum, he stated only testimony would be taken on                 
  SB 156.                                                                      
                                                                               
  Number 020                                                                   
                                                                               
  SENATOR BERT SHARP, prime  sponsor of SB 156, said  with the                 
  passage of  HB  263  last  session, a  statutory  basis  was                 
  established for the Human  Services Community Matching Grant                 
                                                                               
                                                                               
  Program.  The intent of the legislation  was not to create a                 
  new pool of money but to define the grant program in statute                 
  and establish  a community  match.   This was  done to  help                 
  stabilize funding  for local  nonprofit organizations  which                 
  provide valuable services to the community.                                  
                                                                               
  Some  local  nonprofit  organizations   couldn't  raise  the                 
  necessary funds to meet the match requirement.   This placed                 
  the city  of Fairbanks  in a difficult  position because  of                 
  revenue  shortfalls and  cannot assure  the availability  of                 
  matching funds.   The Fairbanks North Star  Borough Assembly                 
  has indicated  their support  for the  Fairbanks North  Star                 
  Borough  to  assume health  and  social services  powers and                 
  provide  the required  matching funds.   The major  issue is                 
  that under current state statute the borough is not eligible                 
  to participate in  the grant program  even if it did  assume                 
  health and social  services.   Only cities with  populations                 
  greater   than  20,000   and   first  class   boroughs  with                 
  populations greater than 100,000 may now participate.                        
                                                                               
  Senator Sharp  said  SB 156  would amend  the definition  of                 
  municipality  to  include  a  second  class borough  with  a                 
  population that exceeds  65,000.   The Fairbanks North  Star                 
  Borough will be the only  municipality that will be affected                 
  by  this  change, allowing  it to  participate in  the block                 
  grant program.                                                               
                                                                               
  Senator  Sharp  added that  SB 156  makes  both the  City of                 
  Fairbanks and the  Fairbanks North Star Borough  eligible to                 
  participate in the block grant  program, but only one  could                 
  be  the recipient  of a  grant from the  state for  the same                 
  service in the same year.                                                    
                                                                               
  Number 092                                                                   
                                                                               
  REPRESENTATIVE TOM BRICE said he is the prime sponsor of the                 
  identical  legislation on the House  side, which he said has                 
  been met with very little to  no opposition.  Some questions                 
  have been raised that the bill  would mandate the borough to                 
  accept these grant monies, but  it does not.  It only  makes                 
  the borough eligible if the voters of the borough so deem it                 
  appropriate to accept those powers.                                          
                                                                               
  Number 110                                                                   
                                                                               
  SENATOR RANDY PHILLIPS  stated SB 156  would be back  before                 
  the committee on Tuesday,  March 23.  He then  adjourned the                 
  meeting at 9:15 a.m.