Legislature(1995 - 1996)

04/11/1996 03:06 PM TRA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
                                                                               
            SB 290 APPROPRIATIONS: CAPITAL & OTHERS                           
                                                                              
 Number 274                                                                    
                                                                               
 CHAIRMAN RIEGER introduced  SB 290  as the next order of business.            
                                                                               
 NANCY SLAGLE, Director in the Office of Management & Budget, began            
 with the Department of Fish and Game on page 12.  The first item is           
 $400,000 for the statewide facilities repair, maintenance and                 
 replacement.  She noted that the committee had been provided with             
 a list of projects.  The $400,000 would be used for the higher                
 priority projects which were considered life, health and safety               
 critical projects.                                                            
                                                                               
 SENATOR TAYLOR inquired as to the funding source for the $330,000             
 for the Clean Vessel Act - Pumpout Station renovation and                     
 construction grants, and the $180,000 for the development of                  
 educational materials and programs avoiding conflicts with bears.             
 NANCY SLAGLE informed Senator Taylor that of the $180,000, $135,000           
 is federal receipts and $45,000 is Fish and Game funds.                       
                                                                               
 SENATOR TAYLOR asked if that funding was coming from license                  
 holders, ammunition taxes, etc.  KEVIN BROOKS, Department of Fish             
 and Game, said that Senator Taylor was correct.  The split is                 
 75/25, the 75 being federal funds.                                            
                                                                               
 SENATOR TAYLOR reiterated his question regarding the Clean Vessel             
 Act - Pumpout Station.  KEVIN BROOKS clarified that the $330,000              
 was 100 percent federal funds specified for that purpose by the               
 federal government.  SENATOR TAYLOR said that the other $180,000              
 was Fish and Game funds or federal Fish and Game funds.  KEVIN                
 BROOKS agreed.                                                                
                                                                               
 SENATOR TAYLOR inquired as to where the $80,000 listed in other               
 funds for the South Denali development wildlife studies would come            
 from.  KEVIN BROOKS said that $80,000 was evenly split between the            
 state Fish and Game funds and federal aid dollars.  This would                
 allow studies of wildlife patterns in the area so that the building           
 of the facility would do the least harm to the area's resources.              
                                                                               
 Number 340                                                                    
                                                                               
 SENATOR TAYLOR said that those federal funds could not be used for            
 construction.  The Department of Fish and Game is specifically                
 prohibited from using those funds for construction.  KEVIN BROOKS             
 clarified that any construction of a facility would have to go                
 through the department's federal aid office for approval.  This is            
 not contemplated with this funding.                                           
                                                                               
 SENATOR TAYLOR reiterated that the department was precluded from              
 using that money for construction, therefore the department is                
 using $80,000 for the study so that construction could be done.               
 Senator Taylor said that the department was using the money from              
 licenses and such to do this under a different project.  KEVIN                
 BROOKS did not know if this area was open to hunting.  There is a             
 representative from the division who could address that issue.                
 CHAIRMAN RIEGER asked if the $400,000 would be characterized as               
 money to be spent at the discretion of the agency.  KEVIN BROOKS              
 said that the money would be discretionary.  Mr. Brooks noted that            
 he had provided committee staff with a list of the most critical              
 projects.  Several factors are reviewed in order to establish a               
 priority.  The highest priority being a life safety issue.                    
                                                                               
 NANCY SLAGLE continued with the commercial fisheries vessel and               
 aircraft repair and maintenance appropriation of $425,000 in                  
 general funds.  She discussed specific projects in the detailed               
 backup.  The next appropriation is $300,000 for the replacement and           
 enhancement of salmon escapement sonar systems.  The current system           
 is no longer in production.  The systems are located on the Copper            
 River, the Kenai, the Kasilof, the Noatak, the Kuskokwim, the                 
 Yukon, etc.  She did not believe that there was a list specifying             
 which pieces of equipment would be replaced.                                  
                                                                               
 Number 403                                                                    
                                                                               
 SENATOR LINCOLN inquired as to where the sonars would be replaced.            
 KEVIN BROOKS pointed out that the river systems are listed in the             
 detailed backup and the river systems would not change.  The                  
 existing sonar would be replaced.                                             
                                                                               
 SENATOR LINCOLN asked how much sonar equipment would cost.  KEVIN             
 BROOKS did not have a per item cost.  Mr. Brooks said that this is            
 the second phase of funding for this replacement.                             
                                                                               
 SENATOR LINCOLN requested the detailed backup on this matter.  She            
 pointed out that not having the adequate technology or equipment              
 for the river systems has long been a concern.  This lack of                  
 technology and equipment creates difficulty in decisions regarding            
 escapement and other fishery related questions.  Senator Lincoln              
 did not believe that $300,000 would go very far.  How many more               
 phases are there?  She noted that federal Fish and Wildlife have              
 equipment that is not being used; could that be utilized?                     
                                                                               
 KEVIN BROOKS said that information could be provided.  He added               
 that in the six year plan, there is a third and final phase for               
 this project.                                                                 
                                                                               
 NANCY SLAGLE continued with the $160,000 appropriation for South              
 Denali wildlife studies of which $80,000 is general funds, $40,000            
 federal receipts and $40,000 from Fish and Game funds.  This study            
 would be for planning and development of a project for the                    
 improvement of visitor facilities and access.                                 
                                                                               
 CHAIRMAN RIEGER asked if this study would take place in the state             
 or the national park.                                                         
                                                                               
 Number 451                                                                    
                                                                               
 KEN TAYLOR, Deputy Director for the Division of Wildlife                      
 Conservation, said that he had not seen the study plans for the               
 South Denali expansion.  This would not be in the national park,              
 but may be on state land adjacent to Denali State Park.  In                   
 response to Senator Taylor, Ken Taylor said that hunting is allowed           
 in the state park.  The area being discussed is popular for moose             
 hunting.                                                                      
                                                                               
 NANCY SLAGLE moved on with the statewide recreational boating and             
 sport fish access projects.  Of the $1.7 million appropriation,               
 $1,275,000 are federal receipts and $425,000 from Fish and Game               
 funds.  She informed the committee that facilities are developed in           
 order to meet the following objectives:  marine boating, fresh                
 water boating, angler access, remote sites, and some land                     
 acquisition money.                                                            
                                                                               
 SENATOR TAYLOR asked if that was the full amount from the federal             
 government dedicated to that purpose.  KEVIN BROOKS replied yes.              
 This is the mandatory 12.5 percent set aside on the tax on the boat           
 motor fuel portion of the federal taxes.  Mr. Brooks said that he             
 could provide the committee with a list of possible sites.  He                
 explained that this public access project is an annual request.               
                                                                               
 SENATOR TAYLOR emphasized that these funds are used for this                  
 purpose because the federal government specifically dedicates the             
 funds for these projects.                                                     
                                                                               
 NANCY SLAGLE continued with the $110,000 appropriation for the                
 construction of the Anchorage regional office animal autopsy                  
 laboratory.  Of the $110,000, $82,500 are federal receipts and                
 $25,700 are Fish and Game funds.  This appropriation would help               
 construct a 500 square foot building.                                         
                                                                               
 SENATOR GREEN asked if the animal autopsy laboratory was part of a            
 consolidation plan.  KEVIN BROOKS explained that this would be a              
 small building at the Raspberry Road facility for hunters to off              
 load their game.                                                              
                                                                               
 Number 506                                                                    
                                                                               
 NANCY SLAGLE continued with the next project, the Fairbanks Indoor            
 Shooting Range appropriation of $2 million which is comprised of              
 $1.5 million in federal receipts and $500,000 in Fish and Game                
 funds.  This would construct a rifle and pistol range classroom and           
 storage area for hunter education classes in the Fairbanks area.              
                                                                               
 KEVIN BROOKS specified that this building would be at the same                
 location as the Fairbanks regional office.                                    
                                                                               
 SENATOR TAYLOR realized that the federal funding designates that              
 the money be spent for this.  Senator Taylor asked if any                     
 additional offices would be included in this building.  KEVIN                 
 BROOKS clarified that no offices are anticipated.  This would only            
 provide classrooms for teaching hunter education classes.                     
                                                                               
 KEN TAYLOR explained that the appropriation would construct a                 
 shooting facility and a classroom area for hunter education.  The             
 classroom would probably be used for advisory committee meetings in           
 order to eliminate the current practice of renting space for those            
 meetings.  There are no plans to use this building for office                 
 space, it would not be feasible for use as office space.                      
                                                                               
 NANCY SLAGLE specified that the building would include two meeting            
 classrooms, a shooting range, storage, lockers, and parking.                  
 Hearing no further questions, Ms. Slagle continued with the clean             
 vessel pumpout station appropriation of $330,000 in federal                   
 receipts.  These funds would be used to provide new and upgraded              
 sewage pumpouts and dump stations at boating facilities.  She said            
 this would be achieved by making grants to local communities and              
 private businesses.                                                           
                                                                               
 CHAIRMAN RIEGER said this would be a discretionary appropriation.             
 He asked if there was a project list.  KEVIN BROOKS said that the             
 detailed backup lists the communities that have been reviewed up to           
 this point.  Mr. Brooks said that he could check on a proposed                
 list.                                                                         
                                                                               
 CHAIRMAN RIEGER noted that wherever there is a lump sum allocation,           
 the committee would like a project list.                                      
                                                                               
 KEVIN BROOKS pointed out that there are federal requirements that             
 must be met.  The department encourages the communities to come               
 forward with land or in kind matches.                                         
                                                                               
 SENATOR LINCOLN asked if the shooting range would be open to the              
 public.  KEN TAYLOR explained that the shooting range would be open           
 to the public by appointment.  Groups such as 4H, Boy Scouts, the             
 Tanana Valley Sportsman Association, and school teams could all use           
 the facility.  The facility could only be used when there is a                
 certified range master on site.                                               
                                                                               
 SENATOR LINCOLN asked if the groups would have to provide their own           
 instructor or would the state provide the instructor.  KEN TAYLOR             
 said that the state would not provide an instructor on a regular              
 basis, if at all.  Most of the groups who participate in shooting             
 sports have certified instructors as part of the group.  Mr. Taylor           
 noted that Fairbanks has a Hunter Education Instructor's                      
 Association comprised of volunteers from department staff, Fish &             
 Wildlife protection, U.S. Fish & Wildlife Service, and some from              
 the general public.  All of these instructors work on a volunteer             
 basis in order to provide the hunter education course.  This is a             
 voluntary 20 hour course taught to all age groups.                            
                                                                               
 Number 569                                                                    
 SENATOR LINCOLN asked if the University of Alaska had a shooting              
 range.  KEN TAYLOR replied yes.  The University of Alaska has the             
 intercollegiate national championship team.  There is interest in             
 having championships in Alaska which require a 16 point range.  The           
 university's current range is 10 points.  Mr. Taylor said that                
 there is also interest in having a more centrally located range               
 more appropriate for community use.  The university and the Tanana            
 Valley Sportsman's Association as well as most other groups in the            
 Fairbanks area support this proposal.                                         
                                                                               
 SENATOR TAYLOR inquired as to the amount of federally designated              
 money for rifle and pistol ranges.  KEN TAYLOR was not sure that              
 any federal funds were specifically designated for rifle and pistol           
 ranges.  A certain amount of money is received through the general            
 federal aid wildlife restoration component.  Another funding                  
 component is the hunter education component.  There is no specific            
 component for shooting ranges.                                                
                                                                               
 SENATOR TAYLOR asked where the $2 million went in previous years.             
                                                                               
 TAPE 96-12, SIDE B                                                            
                                                                               
 KEN TAYLOR informed the committee that the federal aid wildlife               
 restoration funds have been increasing over the past several years.           
 These funds have been increasing faster than the legislature has              
 permitted their expenditure, therefore, a balance has been building           
 in the federal aid account.  The funds have been sitting in the               
 bank.                                                                         
                                                                               
 SENATOR TAYLOR inquired as to the balance on that account.  KEVIN             
 BROOKS said that he could provide the committee with a balance on             
 the Fish & Game funds as well as the unallocated federal fund                 
 balance.                                                                      
                                                                               
 SENATOR TAYLOR commented that many communities across the state               
 have been requesting rifle and pistol ranges for years.                       
                                                                               
 CHAIRMAN RIEGER asked how the decision was made to locate the new             
 rifle range in Fairbanks.                                                     
                                                                               
 KEN TAYLOR said that the need for more shooting range facilities              
 across the state has been recognized.  He noted that the                      
 legislature appropriated money for shooting ranges about 15 years             
 ago and the funds were dispersed to many communities.  The                    
 Fairbanks area has one of the highest percentages of people                   
 involved in the shooting sport.  The Fairbanks community expressed            
 much interest, more than other communities, last year in                      
 establishing an indoor range.  He pointed out that the area is                
 losing many of its ranges.  Mr. Taylor acknowledged Juneau's                  
 interest in moving the shooting range from the school to somewhere            
 outside of town.  That request is part of the FY 99 long term                 
 capital project request.                                                      
 Number 556                                                                    
                                                                               
 SENATOR TAYLOR expressed interest in an on-going process other than           
 the fact that a lot of calls were received from Fairbanks.  There             
 should have been $2 million spent in the previous years.  The                 
 legislature should be informed of the percentage of federal funds             
 being generated by those purchasing guns and ammunition that                  
 actually is used in these programs.                                           
                                                                               
 KEVIN BROOKS stated that it was inaccurate to assume that there is            
 $2 million available each year.  The federal aid funds do not lapse           
 every year.  Mr. Brooks offered to provide the committee with the             
 specific restrictions which govern the use of these funds.                    
                                                                               
 NANCY SLAGLE continued with the sport fish hatchery repair,                   
 renovation and maintenance which amounts to $150,000 of Fish & Game           
 funds.  These funds would be used at Crystal Lake, Clear,                     
 Elmendorf, and Fort Richardson hatcheries.  In the past, these                
 facilities have experienced a lack of funding for preventative                
 maintenance in the past years.                                                
                                                                               
 KEVIN BROOKS noted that the most pressing need is the housing at              
 the Crystal Lake hatchery.                                                    
                                                                               
 NANCY SLAGLE moved on to the $180,000 for the development of                  
 educational materials and programs to avoid conflicts with bears.             
 $135,000 is federal receipts and $45,000 is Fish & Game funds which           
 would provide public information on how to prevent bear problems.             
                                                                               
 SENATOR TAYLOR surmised that this was basically for tourists.                 
                                                                               
 KEVIN BROOKS said that a problem with bears and humans in urban               
 areas has been recognized.  He indicated that the number of bear-             
 human incidents is increasing.  This is aimed at the residents of             
 the state.  Mr. Brooks specified that the goal is to avoid the loss           
 of life with bear-human interaction.                                          
                                                                               
 NANCY SLAGLE proceeded with the Office of the Governor which                  
 consists of $500,000 in general funds.  This money would modify               
 state facilities in order to comply with the Americans with                   
 Disabilities Act (ADA).  She had a list of projects that have been            
 funded over the last few years; the list includes those items that            
 remain to be funded.  Basically, the list includes all state owned            
 facilities as well as some of the universities and court system               
 facilities.  She offered to provide the committee with the list.              
                                                                               
 CHAIRMAN RIEGER asked if Ms. Slagle knew which projects would be              
 done with the $500,000.  NANCY SLAGLE did not know if there is such           
 a list.  The list to which she referred includes the points                   
 assigned the projects.  Ms. Slagle assumed that the projects would            
 be done in about the order of points awarded.                                 
                                                                               
 Number 494                                                                    
                                                                               
 SENATOR GREEN asked if there was a penalty if these were not done.            
 NANCY SLAGLE said that would risk not complying with ADA                      
 requirements.  The list of ADA needs totals almost $50 million.               
 Ms. Slagle said that this attempts to chip away at the problem                
 areas.                                                                        
                                                                               
 NANCY SLAGLE continued with the Johnson Youth Center appropriation            
 of $3 million in general funds.  This would design and construct a            
 20 bed treatment unit at the Johnson Youth Center in Juneau.                  
 Currently, there is no treatment facility in Juneau.  All the youth           
 in Southeast Alaska are sent to McLaughlin for treatment. This                
 funding would relieve the over crowding in McLaughlin as well as              
 place the youths closer to home.                                              
                                                                               
 SENATOR TAYLOR informed the committee that for about 20 years,                
 Ketchikan has requested a youth detention facility.  He understood            
 that 50 percent of the youth in the Johnson Youth Center are from             
 areas other than Juneau, the majority coming from Senator Taylor's            
 district.  Senator Taylor indicated that this was the department's            
 desire and that this would only increase the room in the Johnson              
 Youth Center in order to house more people from out of town.  This            
 illustrates that the Administration has not listened to anyone else           
 in Southeast Alaska on this matter.                                           
                                                                               
 TOM LANE, Facilities Manager with the Department of Health & Social           
 Services, informed the committee that for 10 years, there has been            
 a plan to build a treatment facility in Juneau as well as a                   
 detention center in Ketchikan.  At this time, the department feels            
 that there is more need for the treatment facility in Juneau.  Mr.            
 Lane agreed with Senator Taylor that there are many problems in               
 Ketchikan.  In the last few years, the department has attempted to            
 develop a holding capacity for detention in Ketchikan.  In terms of           
 cost, it would be cheaper to build and operate a facility in Juneau           
 where there is already staff available.                                       
                                                                               
 NANCY SLAGLE pointed out that the six year capital plan includes              
 the need for the juvenile justice master plan for the state.                  
                                                                               
 SENATOR GREEN asked if the appropriation was a typical price.  Is             
 this construction an add on or renovation?  TOM LANE explained that           
 a module had been developed and constructed in Anchorage.  That               
 same plan would be used in Juneau with a few adaptations, therefore           
 the additional design costs would be relatively small.  Mr. Lane              
 provided the committee with a copy of the 1997 plan that was done             
 for a treatment facility at Johnson Youth Center.                             
                                                                               
 Number 430                                                                    
                                                                               
 CHAIRMAN RIEGER asked if the engineer's estimate was $3 million.              
 TOM LANE replied yes.  Mr. Lane said that estimate includes design            
 revisions and the construction.  If the money is appropriated, then           
 construction would be planned for the end of the next fiscal year.            
                                                                               
 SENATOR TAYLOR asked if Mr. Lane had any plans that he could                  
 distribute on the Ketchikan facility.  TOM LANE said that there is            
 a programming study from 1986 that does need some revision which              
 could be provided to the committee.  Mr. Lane believed that                   
 Ketchikan would need an eight bed facility.  Mr. Lane reiterated              
 that there is a master plan for facilities in the state which is in           
 the beginning stages.                                                         
                                                                               
 SENATOR TAYLOR commented that this notion that nothing should be              
 done until a statewide plan is completed is also held by the                  
 Department of Corrections and the Department of Transportation.  He           
 felt that all the money would end up in Juneau.  Senator Taylor               
 indicated that whoever set the priorities did not listen to anyone            
 in his district.                                                              
                                                                               
 NANCY SLAGLE moved on to the Yukon Kuskokwim Health Corporation               
 which has an appropriation of $7,333,000 of which $6,333,000 is               
 federal receipts and $1 million is general funds.  This would                 
 complete the design and construction of a 60,000 square foot                  
 regional public health center.  This is the first of a three phase            
 project.  There is not space to house the public health nurses,               
 therefore, this would be a combined effort to house the public                
 health nurses while meeting the areas public health needs.                    
                                                                               
 SENATOR GREEN asked if this was living quarters as well as a                  
 clinic.  TOM LANE clarified that this is a clinic.  The proposal is           
 for space to be used jointly by the Yukon Kuskokwim Health                    
 Corporation as well as the public health nursing staff.  By                   
 combining forces, the department estimates savings of about $3.7              
 million in construction costs.  The state's contribution would be             
 approximately one-third of the project cost.  The $1 million would            
 be utilized for design and construction.  In FY 98 and 99                     
 additional funds will be requested to complete the building.  In              
 total the state would provide $6,343,000 in funds through FY 99.              
                                                                               
 NANCY SLAGLE said that is included in the six year capital plan.              
 Ms. Slagle continued with the $1,118,000 appropriation for renewal,           
 deferred maintenance, replacement and equipment.  Of the total,               
 $118,000 is federal while the remaining $1 million is general                 
 funds.  This would deal with the critical immediate needs.  She               
 informed the committee that there is a list of representative                 
 projects such as office security systems that is necessary to be in           
 compliance with OSHA.  She reviewed a list of projects.                       
                                                                               
 TOM LANE noted that the committee was sent the list of projects               
 with the funding amounts.  The dollars exceed what is being                   
 requested.  The list also included deferred maintenance totalling             
 $18 million.  There was also a representative renewal, replacement,           
 and renovation detailed list which amounts to $1.9 million.  In               
 response to Chairman Rieger, Mr. Lane said that the projects were             
 not listed in order of priority.  Mr. Lane noted that the list                
 changes and the list is reviewed once the money is appropriated.              
                                                                               
 Number 326                                                                    
                                                                               
 NANCY SLAGLE proceeded with the $500,000 general fund appropriation           
 for the Kodiak Island Hospital completion which would supplement              
 the $9.5 million in local bond funds to complete construction of an           
 addition to the hospital.  This request has been around since the             
 early 1980s.  The next item is $675,000 in federal funds for the              
 adoption and foster care analysis reporting system.  This is a new            
 mandatory requirement for foster care and adoption.  Penalties                
 would be levied against the state if this was not accomplished.               
 The next item is $125,000 from the Alaska Housing Finance                     
 Corporation for Acces Alaska in order to assist in improving the              
 living arrangements of developmentally disabled individuals.                  
                                                                               
 CHAIRMAN RIEGER asked where this would occur.                                 
                                                                               
 TOM LANE said that Access Alaska is based in Anchorage, therefore,            
 he assumed that most would be in that area.  He explained that                
 these would be small grants to individual home owners for                     
 improvements.                                                                 
                                                                               
 NANCY SLAGLE said that projects such as hand railing, ramps, and              
 bathroom accessories would be examples of how this money would be             
 used.                                                                         
                                                                               
 SENATOR GREEN said that Access Alaska would be responsible for                
 selecting and initiating the grants.                                          
                                                                               
 CHAIRMAN RIEGER announced that the meeting would go to 5:00 p.m.              
 and that the committee would probably not get to DOT today.                   
                                                                               
 NANCY SLAGLE moved on to the Department of Labor and the scheduled            
 computer equipment replacement program appropriation of $725,000 in           
 federal receipts.  This would allow a long range technology                   
 adaptation for the department in order to link all the department's           
 offices with LAN and WAN.  The next item is the employment security           
 mainframe printers and inserter equipment appropriation of                    
 $480,000.  This would provide a mailout efficiency for the                    
 department by allowing a merge into a single envelope and the use             
 of zip code improvements.                                                     
                                                                               
 CHAIRMAN RIEGER asked if the five items listed under the Department           
 of Labor were all federal receipts.  NANCY SLAGLE replied yes.                
                                                                               
 CHAIRMAN RIEGER asked if this was a large single federal receipt              
 category that OMB has the discretion to allocate as it is listed or           
 are there five separate programs which received the amount of money           
 allocated.                                                                    
 Number 254                                                                    
                                                                               
 ARBE WILLIAMS, Director of Administrative Services in the                     
 Department of Labor, specified that the department does not have              
 federal dollars to fund these capital projects other than those               
 reflected in the operating budget.  She informed the committee that           
 the department has just applied for a one stop grant.  If                     
 additional federal funds would be available other than the                    
 administrative dollars, then it would be in this area.  At this               
 point the Department of Labor does not receive additional federal             
 dollars, other than what the department receives for the UI program           
 and the Employment Security Program.                                          
                                                                               
 CHAIRMAN RIEGER noted that these five items add up to $2 million;             
 could $1.5 million be spent on those items and the remaining                  
 $500,000 be used for one of the federally eligible operating                  
 projects?                                                                     
                                                                               
 ARBE WILLIAMS said that is what the department does.  She clarified           
 that there are two major programs.  The Unemployment Insurance                
 trust fund uses the majority of the federal dollars which is                  
 identified in the 1997 budget as $20 million.  The next biggest               
 program in the Department of Labor's budget is $8 million from the            
 federal government for the Employment Security Division.  There are           
 other smaller grants.  Ms. Williams explained that these projects             
 were what the department thought necessary to support those                   
 operations.                                                                   
                                                                               
 NANCY SLAGLE pointed out that these programs are experiencing a               
 reduction in funding at the federal level while searching for                 
 efficiencies wherever possible.                                               
                                                                               
 CHAIRMAN RIEGER asked Ms. Williams if the department's operating              
 budget was funded by federal dollars and the general fund present             
 fills in where the federal dollars fall short.  ARBE WILLIAMS                 
 pointed out that the largest component consists of $13,000 in                 
 general funds for the Employment/Unemployment Service component               
 with $30 million in federal funds.  In response to Chairman Rieger,           
 Ms. Williams said that less than $9 million of the operating budget           
 is general funds for the Department of Labor.                                 
                                                                               
 CHAIRMAN RIEGER asked if some of the projects being funded with               
 general fund dollars were eligible for federal dollars.  ARBE                 
 WILLIAMS explained that these purchases support these specific                
 federal programs.  These federal dollars cannot be used otherwise.            
 Ms. Williams pointed out that the $225,000 appropriation to network           
 additional local offices benefits other general funded divisions as           
 well as the department as a whole.  In that way, the general funded           
 programs ride on federal dollars.                                             
                                                                               
 Number 201                                                                    
                                                                               
 CHAIRMAN RIEGER asked if the department could fund more of the $9             
 million with federal funding rather than general funding if there             
 were more federal funds available.  NANCY SLAGLE did not believe              
 so.  ARBE WILLIAMS noted that the department's largest state funded           
 program is Workman's Compensation Division which is not eligible              
 for federal funds.  The Labor Standards and Safety Division, Wage             
 and Hour Section, and Mechanical Inspection Section are the next              
 largest programs which do not receive federal funds.  The remainder           
 of the department's federal funds are used to match OSHA federal              
 funds and the administrative indirect cost plan.                              
                                                                               
 CHAIRMAN RIEGER asked if those were funded at the minimum match.              
 ARBE WILLIAMS replied yes.                                                    
                                                                               
 NANCY SLAGLE proceeded with the Department of Military and Veterans           
 Affairs (DMVA).  The first appropriation is $300,000 statewide                
 deferred maintenance.                                                         
                                                                               
 NICO BUS, Acting Director of Support Services in the Department of            
 Natural Resources (DNR), informed the committee that there is a new           
 budget arrangement and DNR and DMVA are sharing the responsibility.           
 He said that there is a list of $1.3 million worth of projects.               
 Therefore, the project list would probably be determined by the               
 emergency nature of the project.  He said that he could make that             
 list available for the total, but there is no individual priority             
 for the $300,000.                                                             
                                                                               
 NANCY SLAGLE explained that the $175,000 appropriation for                    
 scheduled renewal and replacement of worn out major building                  
 components and retro-fitting or replacing obsolete building                   
 systems.  This is mainly in the area of armories in Fairbanks,                
 Kenai, Kotzebue, Nome, and Wasilla.                                           
                                                                               
 CHAIRMAN RIEGER asked if the projects for those armories mentioned            
 add up to $175,000 or is there a longer list from which the                   
 projects will be chosen.  NICO BUS said that the list includes                
 those armories and is mainly for roof replacement.  The total for             
 all of the projects would be $800,000.  Therefore, the department             
 must choose which projects to tackle.  CHAIRMAN RIEGER requested a            
 list of the projects.                                                         
                                                                               
 Number 145                                                                    
                                                                               
 NANCY SLAGLE moved on to the Juneau Armory appropriation for the              
 design of a new armory and organizational maintenance shop for the            
 Army Guard activities in Juneau.  Currently, DMVA are located in              
 two different places.  There is an armory and a subport building              
 across the street.  The subport building is located on Mental                 
 Health lands and the Mental Health Trust Authority is more active             
 in revenue generating activities.  The subport is becoming more               
 expensive and is inconvenient for training.  This appropriation               
 would begin the replacement of those facilities and hopefully,                
 construction in a better suited location.                                     
                                                                               
 The Fairbanks Armory expansion, renovation and construction is                
 $3,339,000 in federal receipts.  This would construct a 20,064 foot           
 addition to the existing facility and complete replacement of the             
 existing mechanical system for that facility.                                 
                                                                               
 CHAIRMAN RIEGER inquired as to why the Fairbanks Armory project               
 would be eligible for federal funds and the other projects receive            
 general funds.  NANCY SLAGLE explained that a portion of the                  
 construction of the Juneau Armory would be done with federal                  
 receipts.  Ms. Slagle understood that the design money has already            
 been appropriated for the Fairbanks Armory as well as the match to            
 access these federal funds.                                                   
                                                                               
 CHAIRMAN RIEGER asked if the match was a general fund match                   
 appropriated from a prior year's appropriation.  NANCY SLAGLE                 
 replied yes.  Ms. Slagle explained that $450,000 was appropriated             
 in the 1992 Legislative Session and another $100,000 was                      
 appropriated in FY 94.                                                        
                                                                               
 Number 093                                                                    
                                                                               
 NANCY SLAGLE continued with the Department of Natural Resources.              
 The first appropriation is $211,400 in response funds, 470 funds,             
 for the North Slope lease tracts.  NICO BUS interjected that this             
 is Child's Path and Forward Alaska.                                           
                                                                               
 NANCY SLAGLE proceeded with the state land geographic information             
 system appropriation of $350,000 in general funds.  This would                
 automate the state's existing public land records.  By the end of             
 this fiscal year, the department should be 85 percent through this            
 project.  The six-year capital plan predicts this project to be               
 complete in 1998.  The next appropriation is for $150,000 in                  
 general fund dollars in order to address major maintenance needs              
 for safety and health concerns at the Fairbanks facility.  Ms.                
 Slagle noted that mdany deferred maintenance needs are not being              
 addressed.  The salvage timber appropriation of $75,000 in general            
 fund dollars for the Kenai Peninsula would specifically address               
 areas where there has been devastation from the spruce bark beetle.           
                                                                               
 CHAIRMAN RIEGER inquired as to what the money would pay for.  NICO            
 BUS specified that the appropriation would be for timber layouts              
 and contracts.  There will be five to seven timber sales from 1,000           
 to 2,000 acres.  Mr. Bus said that the project would pay for itself           
 due to the stumpage fees.  This addresses the most critical                   
 projects.                                                                     
                                                                               
 CHAIRMAN RIEGER asked if this appropriation could be labelled                 
 general fund program receipts.  Will the stumpage fees come in                
 reasonable correlation to the $75,000?  NICO BUS said that the                
 stumpage fee may actually be delayed a bit.  NANCY SLAGLE was                 
 unsure if the reforestation fund could be used for that.  NICO BUS            
 explained that more than $1 million in stumpage fees would be                 
 generated which does not currently go to the reforestation fund.              
 Mr. Bus said that this could be funded with program receipts, but             
 there is a timing issue.                                                      
                                                                               
 CHAIRMAN RIEGER asked if this project could be funded from the                
 reforestation fund.  NICO BUS informed the committee that there is            
 no money in the reforestation fund.  In response to Chairman                  
 Rieger, Mr. Bus explained that the $1 million collected from                  
 stumpage fees would go to the state's general fund and would                  
 require a legislative appropriation to go to the reforestation                
 fund.                                                                         
                                                                               
 NANCY SLAGLE said this was done last year with $250,000 which was             
 appropriated from the general fund to the reforestation fund.                 
                                                                               
 TAPE 96-13, SIDE A                                                            
                                                                               
 Ms. Slagle moved on to the airborne geophysical/geological mineral            
 inventory appropriation of $200,000.  This is a multi-year project            
 designed to survey about 40 million acres of state owned uplands              
 within a seven year period.  The goal of the project is to identify           
 those mineral zones with major economic value on Alaska state                 
 lands.                                                                        
                                                                               
 CHAIRMAN RIEGER inquired as to the funding level of this project              
 last year.  NICO BUS said that $400,000 was appropriated last year            
 for the Fairbanks area.                                                       
                                                                               
 SENATOR GREEN asked where the $200,000 would be located.  NICO BUS            
 explained that this year's appropriation would be used to complete            
 the Rampart-Manley-Totty Survey project that is already in                    
 progress.  This request will not have any new projects.                       
                                                                               
 Number 036                                                                    
                                                                               
 NANCY SLAGLE continued with the oil and gas royalty accounting                
 system improvements appropriation of $100,000 in general funds in             
 order to complete the oil and gas royalty computer system.  This              
 would purchase some software, hardware, and some consulting.  The             
 next appropriation is $200,000 in general funds for the state                 
 parks' emergency repairs and maintenance.  This would deal with the           
 most critical needs including the replacement of building                     
 foundations, toilets, picnic shelters, and installation of water              
 and sewage at volunteer support facilities.                                   
                                                                               
 In response to Chairman Rieger, NICO BUS pointed out that the                 
 project list is contained in the detailed backup.  The backup                 
 matches the request in the bill.                                              
                                                                               
 NANCY SLAGLE proceeded with the coalbed methane resources                     
 investigation appropriation of $400,000 in general funds.  This               
 would demonstrate the existence of commercial quantities of coalbed           
 methane in rural Alaska.  The goal is to encourage private sector             
 exploration and development to meet rural energy needs.  Ms. Slagle           
 believed that the appropriation would fund a cost-benefit analysis.           
                                                                               
 NICO BUS explained that the project first will do a cost-benefit              
 analysis, then locate and identify candidate sites, and finally               
 conduct geological field examinations for the most promising sites.           
                                                                               
 SENATOR GREEN said that she read that coalbed methane drilling was            
 on-line in Houston this year.  She also indicated that she had                
 talked with someone who was interested in this.  Is this in                   
 conjunction with these efforts?                                               
                                                                               
 NICO BUS believed that two years ago the legislature appropriated             
 money for a test site in the Mat-Su Valley.  This project intends             
 to attract interested people to different locations.  Mr. Bus said            
 that there was specific talk about Houston.                                   
                                                                               
 Number 112                                                                    
                                                                               
 NANCY SLAGLE moved on to the $250,000 request for federal receipts            
 for the land and water conservation fund in order to plan and                 
 develop recreational facilities.  Ms. Slagle said that those funds            
 must be matched $1 for $1 at the local level.  NICO BUS said that             
 was correct.  However, Mr. Bus pointed out that in the past this              
 request has been for $500,000 and now the full $250,000 will                  
 probably not even be received.                                                
                                                                               
 SENATOR GREEN asked for an example of how these funds have been               
 used in the past.  NICO BUS specified that the Twin Lakes shelter             
 was funded by land and water conservation funds.  Mr. Bus offered             
 to provide the committee with a list.                                         
                                                                               
 NANCY SLAGLE continued with the national historic preservation fund           
 request of $640,000 of federal receipts.  This would provide                  
 historic preservation, planning, survey, inventory, project review            
 and public education as well as some cultural resource management             
 projects.                                                                     
                                                                               
 CHAIRMAN RIEGER asked if this grant was from the state to someone             
 or from the federal government to state.  NICO BUS clarified that             
 this grant is given to the state by the federal government in order           
 to be given to the Historic Preservation Program in the Division of           
 Parks.  This is also matched with local funding.  Mr. Bus said that           
 this is a viable program and the grants look as if they will                  
 continue into the next federal fiscal year.                                   
                                                                               
 NANCY SLAGLE moved on to the Department of Public Safety which has            
 a $450,000 general fund appropriation for building improvements               
 with life, health, and safety concerns as a priority.                         
 CHAIRMAN RIEGER noted that a major portion of that appropriation is           
 for the sprinklers at the aircraft maintenance facility; is that              
 facility leased?                                                              
                                                                               
 Number 170                                                                    
                                                                               
 KEN BISCHOFF, Department of Public Safety, clarified that it is a             
 state owned facility.                                                         
                                                                               
 NANCY SLAGLE proceeded with the DMV mailout machine replacement for           
 $150,000.  The next item is the fish and wildlife protection                  
 aircraft/vessel repair/maintenance of $750,000.  She noted that the           
 detailed backup contains a list of possible uses of this money.               
                                                                               
 Ms. Slagle began with the Department of Revenue.  The first item              
 being the Alaska Student Loan Program computer system maintenance             
 for $196,500 of state corporate receipts.  This would provide                 
 additional equipment for the transition from a manual system to a             
 PC based system.  By the end of FY 96, 60 percent of the Alaska               
 Student Loan Program's corporate staff would be shifted to PCs                
 which would address the remaining need while allowing for                     
 standardized software upgrades.                                               
                                                                               
 CHAIRMAN RIEGER recalled that last year an appropriation for about            
 $1.6 million for a computer upgrade for the Student Loan                      
 Corporation was appropriated.  NANCY SLAGLE explained that went for           
 loan processing software development.  This appropriation addresses           
 the PC hardware needs of the staff.                                           
                                                                               
 CHAIRMAN RIEGER said that he would have a hard time with that                 
 appropriation.  He felt that too much money was being spent on                
 something that could be contracted out for less money.                        
                                                                               
 Number 224                                                                    
                                                                               
 NANCY SLAGLE moved on to the federal case registry of child support           
 orders which consists of $330,000 in federal receipts and $170,000            
 in general fund match.  This federal case registry is required in             
 the federal welfare reform bill.                                              
                                                                               
 CHAIRMAN RIEGER asked what the required match percentage                      
                                                                               
 GLENDA STRAUBE, Director of Child Support and Enforcement, said               
 that the required match is 66/34.  There is legislation in Congress           
 which would allow the hardware and software to be funded at 90                
 percent.                                                                      
                                                                               
 SENATOR GREEN asked if this would be part of the nationwide                   
 network.  GLENDA STRAUBE informed the committee that almost half of           
 the division's cases are interstate cases.  This would help make              
 collections on interstate cases by centralizing all the information           
 on-line with the federal government.  The information would include           
 the location of the absent parent, their employer, and if there are           
 other child support cases around the country.                                 
                                                                               
 CHAIRMAN RIEGER said that the remaining portions would be dealt               
 with at the next meeting.                                                     

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