Legislature(1999 - 2000)

03/22/2000 05:10 PM House CRA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
            HOUSE COMMUNITY AND REGIONAL AFFAIRS                                                                                
                     STANDING COMMITTEE                                                                                         
                       March 22, 2000                                                                                           
                         5:10 p.m.                                                                                              
                                                                                                                                
                                                                                                                                
COMMITTEE CALENDAR                                                                                                              
                                                                                                                                
Impacts of proposed 10-mil tax cap initiative                                                                                   
                                                                                                                                
TAPES                                                                                                                           
                                                                                                                                
00-18, SIDES A & B                                                                                                              
00-19, SIDE A                                                                                                                   
                                                                                                                                
CALL TO ORDER                                                                                                                   
                                                                                                                                
REPRESENTATIVE  JOHN  HARRIS,  Co-chair, convened  the  House                                                                   
Community and Regional Affairs  Standing Committee meeting at                                                                   
5:10 p.m.                                                                                                                       
                                                                                                                                
PRESENT                                                                                                                         
                                                                                                                                
Committee  members   present  were  Representatives   Harris,                                                                   
Morgan, Halcro, Murkowski and Joule.                                                                                            
                                                                                                                                
SUMMARY OF INFORMATION                                                                                                          
                                                                                                                                
STEVE VAN SANT,  State Assessor, Anchorage, gave  an overview                                                                   
of  the  possible   impacts  if  the  initiative   passes  in                                                                   
November.                                                                                                                       
                                                                                                                                
LEO RASMUSSEN,  Mayor of Nome, discussed possible  impacts to                                                                   
the Nome area.                                                                                                                  
                                                                                                                                
MICHAEL  LAMB, Chief  Finance Officer,  North Slope  Borough,                                                                   
testified as to the impacts on the North Slope Borough.                                                                         
                                                                                                                                
ED ZEINE, Mayor of Cordova, discussed  impacts in Cordova and                                                                   
Prince William Sound.                                                                                                           
                                                                                                                                
DAVE COBB, Mayor  of Valdez, discussed impacts  in Valdez and                                                                   
on Prince William Sound Community College.                                                                                      
                                                                                                                                
JOHN  WILLIAMS, Mayor  of Kenai,  testified that  he did  not                                                                   
believe the initiative was legal,  in that it would allow one                                                                   
community to dictate what other communities could do.                                                                           
                                                                                                                                
HENRY GUINOTTE, Mayor of Palmer,  testified that Palmer would                                                                   
not be directly impacted because  its revenue sources include                                                                   
a  3-mil  tax and  a  3  percent  sales  tax.   However,  the                                                                   
Matanuska-Susitna Borough  would be impacted and  thus Palmer                                                                   
would indirectly be impacted because of that.                                                                                   
                                                                                                                                
MIKE SCOTT, Manager, Matanuska-Susitna  Borough, testified as                                                                   
to the impacts on the borough  and discussed the "fatal flaw"                                                                   
of putting  bonded indebtedness under  the cap.  He  said the                                                                   
initiative petition  has already affected the  borough's bond                                                                   
rating.                                                                                                                         
                                                                                                                                
DOYLE HOLMES,  Assemblyman, Matanuska-Susitna  Borough, spoke                                                                   
in favor  of the initiative, saying  the impacts won't  be as                                                                   
serious  as  presumed.   He  cautioned  against  overreacting                                                                   
negatively.                                                                                                                     
                                                                                                                                
CINDY BENNER,  Fairbanks citizen, testified that  she will be                                                                   
working to obtain  a resolution from her local  PTAs [parent-                                                                   
teacher associations] in opposition to the initiative.                                                                          
                                                                                                                                
KATHY WASSERMAN,  Mayor of Pelican,  said her town  would not                                                                   
be directly impacted  because it taxes at less  than 10 mils,                                                                   
but small  towns would  not get the  help they need  from the                                                                   
state if the state is having to save the bigger cities.                                                                         
                                                                                                                                
DARIO NOTTI,  Vice Mayor  of Bethel,  spoke in opposition  to                                                                   
the tax cap  and echoed the same reasoning  as Ms. Wasserman,                                                                   
Mayor of Pelican.                                                                                                               
                                                                                                                                
JOHN MIELKE,  Mayor of  Skagway, spoke  in opposition  to the                                                                   
tax cap.                                                                                                                        
                                                                                                                                
DARCIE  SALMON,  Mayor  of  the   Matanuska-Susitna  Borough,                                                                   
testified  in favor of  reform and  change, but believes  the                                                                   
initiative is flawed.                                                                                                           
                                                                                                                                
PAT ABNEY, Anchorage  Assembly member, testified  against the                                                                   
tax cap,  saying the  cities have  enough trouble  attracting                                                                   
businesses and keeping young people from moving "Outside."                                                                      
                                                                                                                                
CAROLYN  FLOYD, Mayor  of Kodiak, testified  against  the tax                                                                   
cap.                                                                                                                            
                                                                                                                                
DAN  KELLY,   Matanuska-Susitna   Borough  Assemblyman   from                                                                   
Wasilla, discussed development  and infrastructure, services,                                                                   
and so forth.                                                                                                                   
                                                                                                                                
COMMITTEE ACTION                                                                                                                
                                                                                                                                
The committee took no action.                                                                                                   
                                                                                                                                
ADJOURNMENT                                                                                                                     
                                                                                                                                
CHAIRMAN HARRIS adjourned the meeting at 7:02 p.m.                                                                              
                                                                                                                                
NOTE:                                                                                                                           
                                                                                                                                
The  meeting was  recorded  and  handwritten  log notes  were                                                                   
taken.  A copy  of the tape(s) and log notes  may be obtained                                                                   
by contacting  the House  Records Office  at 129 6th  Street,                                                                   
Suite 229,  Juneau, Alaska   99801-2197, (907)  465-2214, and                                                                   
after adjournment  of the second session of  the Twenty-first                                                                   
Alaska State Legislature this  information may be obtained by                                                                   
contacting  the  Legislative  Reference  Library at  129  6th                                                                   
Street, Suite 102, Juneau, Alaska  99801, (907) 465-3808.                                                                       
                                                                                                                                

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