Legislature(1993 - 1994)
05/08/1994 09:50 PM Senate FIN
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
CSHB 201(FIN) am: An Act relating to the mental health land trust and the mental health land trust litigation, Weiss v. State, 4FA-82-2208 Civil, and amending and repealing other laws relating to mental health institutions, programs, and services that are affected by ch. 66, SLA 1991; and providing for an effective date. SCSCSHB 201(FIN) "Z" version was ADOPTED. Philip Volland, attorney, Anchorage; Tom Waldo, attorney; David Walker, attorney; and Tom Koester, attorney; spoke to the bill. SCSCSHB 201(FIN) was REPORTED out of committee with a "do pass," and fiscal notes for the following departments: Law - $200.0, DH&SS (302) - $150.0, DH&SS (951) - $5.2, Administration - $45.9, Natural Resources - $728.9. CS FOR HOUSE BILL NO. 201(FIN) am: An Act relating to the mental health land trust and the mental health land trust litigation, Weiss v. State, 4FA-82-2208 Civil, and amending and repealing other laws relating to mental health institutions, programs, and services that are affected by ch. 66, SLA 1991; and providing for an effective date. Co-chair Pearce announced that SCSCSHB 201(FIN) version "Z" was before the committee. Senator Kelly MOVED for adoption of SCSCSHB 201(FIN) version "Z". No objection being heard, it was ADOPTED. Senator Rieger said the first change from the last draft that the committee saw was on page 15 which said that the administrative expenses of the new Mental Health Trust Authority were made subject to AS 37.07 (Executive Budget Act) meaning that the legislature would appropriate that money. The second change on page 19, lines 12-15, said that the seven members would be confirmed by the legislature. Senator Kelly, speaking to the second change, said that when the Authority was first formed in 1991 it was an advisory authority. Now it had become the umbrella that would run the Mental Health Fund so it was felt that it should have more public scrutiny. PHILLIP VOLLAND, attorney, from Anchorage, urged the committee to move HB 201. He said the legislation addressed a number of concerns that prevented this issue from becoming solved. He felt it was measurable and fair - an exchange of land that took into account the various interests that were effected by the land exchange, both from the resource and environment community. It did put resolution on a short time frame but he saw that favorable since it would force work toward joint settlement. TOM WALDO, attorney for Public Interest Interveners, coalition for five environmental groups, two sport fishing organizations, and the Susitna Valley Organization for tourism and recreation, urged the committee to pass HB 201. He said his coalition had opposed chapter 66 and worked toward a new settlement that had broader support and would better serve the public interest. He said HB 201 represented that work and felt it was a reasonable compromise. In answer to Senator Sharp, Mr. Waldo said there was intent to create a million acre trust to generate revenues for the mental health program. That was left entirely to the discretion of the legislature on how that management was to be established. DAVID WALKER, attorney, representing Vern Weiss and others similarly situated, as well as the Mental Health Association (represented by Jim Godstein but unable to participate today), presented the committee with resolution #002-94 by the Mental Health Association (copy of file, Attachment A). He said he had been involved in this for years and had concerns about HB 201. He also believed it contained all the elements needed for a settlement, but may not achieve it. He felt there were some mean-spirited provisions in the bill. Senator Kelly was of the opinion that the elements in HB 201 agreed with Resolution #002-94 by the Mental Health Association in Alaska. Mr. Walker pointed out the Association's concern was with the management element in HB 201. In answer to Senator Sharp, referring to the word "initial" on page 5, line 30, Commissioner Noah said that additional revenue would go into the Fund from the lands. TOM KOESTER, attorney, representing the State of Alaska in the Weiss litigation, explained that there were provisions in Title 13 that relate to trust administration. Under the provisions of Title 13, certain revenues from land, for example, the sale of land, proceeds of that sale, must be preserved. If the land was leased, the income could be spent for programs. Those rules would apply to the allocation of revenues from mental health trust lands. He said it was standard trust administration. In answer to Co-chair Frank, Mr. Koester agreed that would happen without appropriation. In answer to another question by Co-chair Frank, Senator Kelly said that of September 15, a full report of all contracts would be given to the legislature. Mr. Koester said that the recommendations that the Trust Authority gave to the legislature as to what it should appropriate, included a report that would make clear what the total package ought to look like. Senator Kelly concluded that the legislature would just have to wait and see how it would all work out. Senator Sharp stated he did not like the word "initial." Senator Rieger said the word "initial" occurs only in the findings and purpose section. Senator Kelly MOVED for passage of SCSCSHB 201(FIN) from committee with individual recommendations. Hearing no objection, the bill was REPORTED out of committee with a "do pass" (Co-chair Frank, Senators Rieger, Jacko, and Kelly signed "do pass," and Co-chair Pearce and Senator Sharp signed "no recommendation"), and fiscal notes for the Department of Law - $200.0, the Department of Health & Social Services, #302 - $150.0 and #951 - $5.2, the Department of Administration - $45.9, and the Department of Natural Resources - $728.9.
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