Legislature(1993 - 1994)
03/22/1993 01:30 PM House FIN
| Audio | Topic |
|---|
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE
March 22, 1993
1:30 P.M.
TAPE HFC 93 - 52, Side 2, #000 - end.
TAPE HFC 93 - 53, Side 1, #000 - end.
TAPE HFC 93 - 53, Side 2, #000 - end.
TAPE HFC 93 - 54, Side 1, #000 - #481.
CALL TO ORDER
Co-Chair Ron Larson called the meeting of the House Finance
Committee to order at 1:30 P.M.
PRESENT
Co-Chair Larson Representative Brown
Co-Chair MacLean Representative Foster
Vice-Chair Hanley Representative Grussendorf
Representative Hoffman Representative Martin
Representative Navarre Representative Parnell
Representative Therriault
ALSO PRESENT
Larry Fanning, Alaska Fire Chiefs, Juneau, Alaska; Sandy
Williams, State Parks Advisory Board, Juneau, Alaska;
Richard Hofman, President, Board of Directors, Alaska
Trollers Association (ATA), Juneau, Alaska; Diane Kaplan,
President, Alaska Public Radio Network (APRN), Anchorage,
Alaska; Paula Terrel, Self, Juneau, Alaska; Representative
Tom Brice; Representative Fran Ulmer; Representative David
Finkelstein; Cheryl Frasca, Director, Division of Budget
Review, Office of Management and Budget, Office of the
Governor; Randy Welker, Legislative Audit Division; Janet
Clarke, Director, Division of Administrative Services,
Department of Health and Social Services; Walter Majoros,
Project Coordinator, Older Alaskans Commission, Department
of Administration; Doug Moore, Alaska Public Broadcasting
Corporation; Dennis DeWitt, Director, Division of Pioneers'
Benefits, Department of Administration; Sharon Barton,
Director, Division of Administrative Services (DOA).
SUMMARY INFORMATION
HB 55 An Act making appropriations for the operating and
loan program expenses of state government and to
capitalize funds; and providing for an effective
date.
1
HB 55 was held in Committee. Department of
Administration amendments were addressed.
HB 155 An Act relating to audits of health facilities.
HB 155 was held for further discussion. The bill
was placed in Subcommittee with Chair
Representative Hanley and members Representative
Foster and Representative Navarre.
HB 172 An Act relating to the wildlife conservation tag
and to entry onto state game and wildlife
sanctuaries, state game refuges, state range
areas, and fish and game critical habitat areas;
and providing for an effective date.
HB 172 was held in Committee for further
discussion. It was placed in Subcommittee with
Chair Representative Foster and members
Representative Parnell and Representative
Grussendorf.
HOUSE BILL 155
"An Act relating to audits of health facilities."
Co-Chair Larson placed HB 155 into Subcommittee with Chair
Representative Hanley with members Representative Foster and
Representative Navarre. The bill was HELD in Committee for
further discussion.
HOUSE BILL 172
"An Act relating to the wildlife conservation tag and
to entry onto state game and wildlife sanctuaries,
state game refuges, state range areas, and fish and
game critical habitat areas; and providing for an
effective date."
Co-Chair Larson placed HB 172 into Subcommittee with Chair
Representative Foster with members Representative Parnell
and Representative Grussendorf. The bill was HELD in
Committee for further discussion.
HOUSE BILL 55
"An Act making appropriations for the operating and
loan program expenses of state government and to
capitalize funds; and providing for an effective date."
PUBLIC TESTIMONY - JUNEAU
2
LARRY FANNING, ALASKA FIRE CHIEFS, JUNEAU, ALASKA, asked for
reconsideration in three areas to help save financial losses
to communities and citizens of Alaska.
* Continued funding of the LAPC's.
* Continued funding for fire suppression training.
* Continued funding for emergency medical services.
SANDY WILLIAMS, STATE PARKS ADVISORY BOARD, JUNEAU, ALASKA,
spoke in support of the proposed Governor's recommendations
for State parks. He added that the highway systems should
be better maintained and supported adding an increased gas
tax to cover these expenses.
RICHARD HOFMAN, PRESIDENT, BOARD OF DIRECTORS, ALASKA
TROLLERS ASSOCIATION (ATA), JUNEAU, ALASKA, asked for
reconsideration of deductions recommended by the Department
of Fish and Game Subcommittee.
DIANE KAPLAN, PRESIDENT, ALASKA PUBLIC RADIO NETWORK,
ANCHORAGE, ALASKA, urged the Committee to increase funding
for the public radio systems in Alaska which are the only
source of information for many small rural communities.
PAULA TERREL, SELF, JUNEAU, ALASKA, spoke in support of the
local Emergency Planning Committee contributing to community
development projects and asked that the funding not be
discontinued.
DEPARTMENT OF ADMINISTRATION - AMENDMENTS
CHERYL FRASCA, DIRECTOR, DIVISION OF BUDGET REVIEW, OFFICE
OF MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR, noted that
the Governor's Office has withdrawn the amendment components
lines #81 and #60. There being NO OBJECTION, they were
deleted.
Co-Chair Larson MOVED adoption of the three technical
amendments; Line #81, the adjustment for leasing costs
transferred from other department components; Line #1236,
information services fund front, correct funding source for
I/A receipts from the Department of Environmental
Conservation; and Line #1230, home and community based care
funding from the Department of Health and Social Services
for Project Choice.
Representative Hanley stated that the technical amendment to
the home and community based care should not be listed as an
increment to the HESS budget. Ms. Frasca stated the $42.4
thousand dollars was intended to be transferred from the
3
Department of Health and Social Services (DHSS) and pointed
out that money had been reduced from DHSS's budget.
JANET CLARKE, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF HEALTH AND SOCIAL SERVICES, stated that the
Department of Health and Social Services implemented the
transfer from the Governor's original budget, although the
Department of Administration did not transfer it in, which
would be a technical adjustment. In the Governor's original
budget, the Medicaid State Program component of $44.4
thousand dollars in general fund match was transferred out
and was intended to be placed into the Department of
Administration's budget as general funds. It was not added
in the Governor's budget.
Representative Martin MOVED to adopt the Governor's proposed
technical amendments. Discussion followed regarding the
impact on the DHSS budget.
(Tape Change, HFC 93-53, Side 1).
There were NO OBJECTIONS to adopting the three technical
amendments; they were so ordered.
Representative Hanley MOVED Amendment #DOA 1 for a
designated grant to Southeast Senior Services in the amount
of $200 thousand dollars for nutrition, transportation and
support.
REPRESENTATIVE ULMER advised the Committee that failure to
adopt the amendment would have a very direct and detrimental
impact on seniors throughout Southeast. New federal
programs standards have changed the rules from which the
funds are being distributed. She urged the Committee to
adopt the amendment.
Conflicting testimony followed regarding the amount
necessary to provide adequate support for the Older Alaskans
Commission as proposed in the amendments. Representative
Brown pointed out that amendments #DOA 1 - #DOA 5 were of
similar nature. She felt that $300 thousand would be
essential to fully fund the agency.
WALTER MAJOROS, PROGRAM COORDINATOR, OLDER ALASKANS
COMMISSION, DEPARTMENT OF ADMINISTRATION, stated that the
Older Alaskans Commission has requested excess federal
authorization to offset the State reductions.
Representative Martin suggested considering Amendments DOA
questioned where the monies would be removed from and who
would feel the impact if these amendments were not adopted.
4
Co-Chair Larson recommended that the amendment components
DOA #1 -DOA #6 be held open for further consideration
following additional information.
Representative Brown noted that Representative Brice asked
to WITHDRAW the second increment listed in Amendment #DOA 5,
which would add $318.4 thousand dollars for home and
community based care. There being NO OBJECTION, it was so
ordered.
Representative Foster MOVED Amendment #DOA 7, which would
delete $5,724.7 thousand dollars for the Alaska Public
Broadcasting Commission and insert $6024.7 thousand dollars.
The amendment would add $300 thousand dollars to the Public
Broadcasting Commission in support of public radio and
television stations. This would return funding to the FY 93
level. Discussion followed regarding the need for greater
broadcasting capacity particularly for rural Alaska.
DOUG MOORE, ALASKA PUBLIC BROADCASTING COMMISSION stated
that two new stations have come on line this year needing to
receive new funds. He stated that Ft. Yukon has requested
$65 thousand dollars operating costs and Talkeetna has
requested $30 thousand dollars for first year costs. Mr.
Moore added that the Commission is considering their
available options facing continued decreased State funding.
This years impact could be reduction of $400 thousand
dollars federal funds.
Representative Martin noted that #DOA 7 and #DOA 8 are the
same amendment. He suggested that public radio become a
private enterprise. Mr. Moore stated that fund raising
efforts have increased statewide although a maximum has been
reached in many communities throughout the State.
Co-Chair Larson MOVED to amend #DOA 7 to add $225 thousand
dollars rather than the recommended $300 thousand dollars.
Representative Hoffman stated that the original amendment
would reduce the component $95 thousand dollars. He
emphasized that a further reduction would severely impact
rural Alaska.
(Tape Change, HFC 93-52, Side 2).
Representative Brown OBJECTED, to the motion to amend.
A roll call was taken on the MOTION.
IN FAVOR: Martin, Parnell, Therriault, Hanley,
Larson.
5
OPPOSED: Navarre, Brown, Foster, Grussendorf,
Hoffman, MacLean.
The MOTION FAILED, 5 - 6.
Disagreeing discussion followed in regarding balancing the
budget and the exceeding spending level caps contained
within the proposed budget. Mr. Moore reiterated, that the
responsibility of the Commission is to bring radio and
public television services to all people in Alaska. He
noted the significant holes in the coverage ability to areas
in the Interior.
Representative Brown voiced her concern regarding the
arbitrary method caps were determined and the impact this
will have on residents in the State. Co-Chair Larson
summarized that the action of the Subcommittee which reduced
the recommended Governor's budget of $20.8 million dollars
by $23.1 million dollars. He pointed out, this brings the
FY 94 budget below that of the FY 93 authorized budget.
Representative Brown commented on the $54 million dollar
decrease to Debt Service. She asked how this would be
incorporated into the projected budget.
Representative Navarre urged that the Committee establish
policy which would take into consideration long term
projections rather than establishing only fiscal goals. He
reiterated that the minority was not included in the
determination of the caps.
Co-Chair MacLean MOVED to amend #DOA 7 and change the $300
thousand dollar request to $250 thousand dollars.
Representative Navarre OBJECTED.
A roll call vote was taken on the MOTION.
IN FAVOR: Parnell, Therriault, Foster, Hanley,
Larson, MacLean.
OPPOSED: Navarre, Brown, Grussendorf, Hoffman.
Representative Martin was not present for the vote.
The MOTION PASSED, 6 - 4.
A roll call was taken on the MOTION to incorporate #DOA 7
with the amended $250 thousand dollar increase.
IN FAVOR: Brown, Foster, Grussendorf, Hoffman,
Navarre, MacLean, Larson.
6
OPPOSED: Parnell, Therriault, Hanley.
Representative Martin was not present for the vote.
The MOTION PASSED, (7 - 3).
Representative Brown asked to hold #DOA 9 until the outcome
of #DOA 10 was determined.
Representative Navarre MOVED #DOA 10. He stated that the
Pioneers Homes program anticipates increasing the rates
charged residents again in FY 94. However, the prospective
rate increase is not reflected in the FY 94 budget.
Anticipating a ten percent rate increase effective in
February, 1994, and assuming the same percentage of
uncollectables applies to the additional funds, the revenue
raised would be as represented in the amendment, an increase
of $182.5 thousand dollars general fund.
There being NO OBJECTION, it was adopted.
Representative Brown WITHDREW #DOA 9. There being NO
OBJECTION, it was so ordered.
Representative Navarre MOVED #DOA 11 which would provide a
study to address the unconstitutionality of the state's
residency requirement for Pioneer Homes services. He noted
that an increased demand for bed space is anticipated.
Representative Hanley OBJECTED. He thought this concern
should be placed in the capital budget.
RANDY WELKER, LEGISLATIVE AUDIT DIVISION, advised there had
been a recent audit performed on the Assisted Living Program
within the Pioneers Home. During the time of the audit, the
Agency became aware of several factors which needed to be
recognized with the increasing demand on the Pioneer's
Homes. He said the options available to the State should be
discussed. Privatization would be one option in which
funding would be available through Amendment #DOA 11.
DANNY DEWITT, DIRECTOR, DIVISION OF PIONEER BENEFITS,
DEPARTMENT OF ADMINISTRATION, noted his concerns with the
direction of the Pioneer Homes. He felt that to perform a
study of privatization, a year would not be enough time.
Representative Navarre stated the Department should be
responsible to determine the needed funds for the suggested
study.
(Tape Change, HFC 93-54, Side 1).
Co-Chair Larson acknowledged that a cost efficiency study
including privatization is needed. He recommended
7
Representative Navarre meet with Mr. DeWitt to determine the
necessary factors. Co-Chair Larson noted #DOA 11 would be
HELD open for further discussion.
Representative Brown MOVED #DOA 12 which would restore to
the Governor's FY 94 budget request an addition of $166.8
thousand dollars general fund for the public defender. Co-
Chair Larson OBJECTED.
A roll call was taken on the MOTION.
IN FAVOR: Brown, Foster, Grussendorf, Hoffman,
Navarre.
OPPOSED: Therriault, Hanley, Parnell, Larson,
MacLean.
Representative Martin was not present for the vote.
The MOTION FAILED (5-5).
Representative Navarre MOVED #DOA 13, personnel/equal
employment opportunity, to deny the Governor's proposed fund
source shift of $140.0 thousand dollars IAR to $140.0
general fund. The Division of Labor Relations is being
combined with the Division of Personnel in the proposed FY
94 budget. Since FY 92, both agencies have been
contributing to the operations of the Division of Labor
Relations to provide enhanced labor relations services so
that the full range of necessary labor relation functions
would be performed for each department. He added, denial of
the funding source would require continued transfer of funds
from the agencies desiring additional labor relations
service.
Representative Hanley asked if interagency receipts would be
indicated as going to the Department of Administration.
SHARON BARTON, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF ADMINISTRATION, advised that the
$140 thousand dollars is needed in the Labor Relations
budget to fund that agency at the current level. The
Department understands that necessary funds do not exist
within the agencies at this time and are not available for
an IAF transfer. Discussion followed on interagency
receipts as shown in the Governor's budget. Co-Chair Larson
suggested the amendment be left open for further research.
Representative Brown MOVED #DOA 14 which would bring the OPA
budget up to the Governor's proposed level. It is currently
below the FY 93 level including the FY 93 supplemental
funding level. Co-Chair Larson OBJECTED.
8
A roll call was taken on the MOTION.
IN FAVOR: Brown, Foster, Grussendorf, Hoffman,
Navarre, Parnell.
OPPOSED: Hanley, Martin, Therriault, Larson,
MacLean.
The MOTION PASSED (6-5).
Representative Brown WITHDREW #DOA 15, but suggested that
intent language be written to direct the Department of
Administration to reestablish permanency planning.
Co-Chair Larson summarized the House Finance Committee's
actions on the Department of Administration's amendments.
Representative Brown asked for future discussion of Mental
Health Board recommendations which will affect OAC,
Community Based Care, Pioneer Homes and OPA.
ADJOURNMENT
The meeting adjourned at 4:00 p.m.
HOUSE FINANCE COMMITTEE
March 22, 1993
1:30 P.M.
TAPE HFC 93 - 52, Side 2, #000 - end.
TAPE HFC 93 - 53, Side 1, #000 - end.
TAPE HFC 93 - 53, Side 2, #000 - end.
TAPE HFC 93 - 54, Side 1, #000 - #481.
CALL TO ORDER
Co-Chair Ron Larson called the meeting of the House Finance
Committee to order at 1:30 P.M.
PRESENT
Co-Chair Larson Representative Brown
Co-Chair MacLean Representative Foster
Vice-Chair Hanley Representative Grussendorf
Representative Hoffman Representative Martin
Representative Navarre Representative Parnell
Representative Therriault
ALSO PRESENT
9
Larry Fanning, Alaska Fire Chiefs, Juneau, Alaska; Sandy
Williams, State Parks Advisory Board, Juneau, Alaska;
Richard Hofman, President, Board of Directors, Alaska
Trollers Association (ATA), Juneau, Alaska; Diane Kaplan,
President, Alaska Public Radio Network (APRN), Anchorage,
Alaska; Paula Terrel, Self, Juneau, Alaska; Representative
Tom Brice; Representative Fran Ulmer; Representative David
Finkelstein; Cheryl Frasca, Director, Division of Budget
Review, Office of Management and Budget, Office of the
Governor; Randy Welker, Legislative Audit Division; Janet
Clarke, Director, Division of Administrative Services,
Department of Health and Social Services; Walter Majoros,
Project Coordinator, Older Alaskans Commission, Department
of Administration; Doug Moore, Alaska Public Broadcasting
Corporation; Dennis DeWitt, Director, Division of Pioneers'
Benefits, Department of Administration; Sharon Barton,
Director, Division of Administrative Services (DOA).
SUMMARY INFORMATION
HB 55 An Act making appropriations for the operating and
loan program expenses of state government and to
capitalize funds; and providing for an effective
date.
HB 55 was held in Committee. Department of
Administration amendments were addressed.
HB 155 An Act relating to audits of health facilities.
HB 155 was held for further discussion. The bill
was placed in Subcommittee with Chair
Representative Hanley and members Representative
Foster and Representative Navarre.
HB 172 An Act relating to the wildlife conservation tag
and to entry onto state game and wildlife
sanctuaries, state game refuges, state range
areas, and fish and game critical habitat areas;
and providing for an effective date.
HB 172 was held in Committee for further
discussion. It was placed in Subcommittee with
Chair Representative Foster and members
Representative Parnell and Representative
Grussendorf.
HOUSE BILL 155
"An Act relating to audits of health facilities."
10
Co-Chair Larson placed HB 155 into Subcommittee with Chair
Representative Hanley with members Representative Foster and
Representative Navarre. The bill was HELD in Committee for
further discussion.
HOUSE BILL 172
"An Act relating to the wildlife conservation tag and
to entry onto state game and wildlife sanctuaries,
state game refuges, state range areas, and fish and
game critical habitat areas; and providing for an
effective date."
Co-Chair Larson placed HB 172 into Subcommittee with Chair
Representative Foster with members Representative Parnell
and Representative Grussendorf. The bill was HELD in
Committee for further discussion.
HOUSE BILL 55
"An Act making appropriations for the operating and
loan program expenses of state government and to
capitalize funds; and providing for an effective date."
PUBLIC TESTIMONY - JUNEAU
LARRY FANNING, ALASKA FIRE CHIEFS, JUNEAU, ALASKA, asked for
reconsideration in three areas to help save financial losses
to communities and citizens of Alaska.
* Continued funding of the LAPC's.
* Continued funding for fire suppression training.
* Continued funding for emergency medical services.
SANDY WILLIAMS, STATE PARKS ADVISORY BOARD, JUNEAU, ALASKA,
spoke in support of the proposed Governor's recommendations
for State parks. He added that the highway systems should
be better maintained and supported adding an increased gas
tax to cover these expenses.
RICHARD HOFMAN, PRESIDENT, BOARD OF DIRECTORS, ALASKA
TROLLERS ASSOCIATION (ATA), JUNEAU, ALASKA, asked for
reconsideration of deductions recommended by the Department
of Fish and Game Subcommittee.
DIANE KAPLAN, PRESIDENT, ALASKA PUBLIC RADIO NETWORK,
ANCHORAGE, ALASKA, urged the Committee to increase funding
for the public radio systems in Alaska which are the only
source of information for many small rural communities.
11
PAULA TERREL, SELF, JUNEAU, ALASKA, spoke in support of the
local Emergency Planning Committee contributing to community
development projects and asked that the funding not be
discontinued.
DEPARTMENT OF ADMINISTRATION - AMENDMENTS
CHERYL FRASCA, DIRECTOR, DIVISION OF BUDGET REVIEW, OFFICE
OF MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR, noted that
the Governor's Office has withdrawn the amendment components
lines #81 and #60. There being NO OBJECTION, they were
deleted.
Co-Chair Larson MOVED adoption of the three technical
amendments; Line #81, the adjustment for leasing costs
transferred from other department components; Line #1236,
information services fund front, correct funding source for
I/A receipts from the Department of Environmental
Conservation; and Line #1230, home and community based care
funding from the Department of Health and Social Services
for Project Choice.
Representative Hanley stated that the technical amendment to
the home and community based care should not be listed as an
increment to the HESS budget. Ms. Frasca stated the $42.4
thousand dollars was intended to be transferred from the
Department of Health and Social Services (DHSS) and pointed
out that money had been reduced from DHSS's budget.
JANET CLARKE, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF HEALTH AND SOCIAL SERVICES, stated that the
Department of Health and Social Services implemented the
transfer from the Governor's original budget, although the
Department of Administration did not transfer it in, which
would be a technical adjustment. In the Governor's original
budget, the Medicaid State Program component of $44.4
thousand dollars in general fund match was transferred out
and was intended to be placed into the Department of
Administration's budget as general funds. It was not added
in the Governor's budget.
Representative Martin MOVED to adopt the Governor's proposed
technical amendments. Discussion followed regarding the
impact on the DHSS budget.
(Tape Change, HFC 93-53, Side 1).
There were NO OBJECTIONS to adopting the three technical
amendments; they were so ordered.
Representative Hanley MOVED Amendment #DOA 1 for a
designated grant to Southeast Senior Services in the amount
12
of $200 thousand dollars for nutrition, transportation and
support.
REPRESENTATIVE ULMER advised the Committee that failure to
adopt the amendment would have a very direct and detrimental
impact on seniors throughout Southeast. New federal
programs standards have changed the rules from which the
funds are being distributed. She urged the Committee to
adopt the amendment.
Conflicting testimony followed regarding the amount
necessary to provide adequate support for the Older Alaskans
Commission as proposed in the amendments. Representative
Brown pointed out that amendments #DOA 1 - #DOA 5 were of
similar nature. She felt that $300 thousand would be
essential to fully fund the agency.
WALTER MAJOROS, PROGRAM COORDINATOR, OLDER ALASKANS
COMMISSION, DEPARTMENT OF ADMINISTRATION, stated that the
Older Alaskans Commission has requested excess federal
authorization to offset the State reductions.
Representative Martin suggested considering Amendments DOA
questioned where the monies would be removed from and who
would feel the impact if these amendments were not adopted.
Co-Chair Larson recommended that the amendment components
DOA #1 -DOA #6 be held open for further consideration
following additional information.
Representative Brown noted that Representative Brice asked
to WITHDRAW the second increment listed in Amendment #DOA 5,
which would add $318.4 thousand dollars for home and
community based care. There being NO OBJECTION, it was so
ordered.
Representative Foster MOVED Amendment #DOA 7, which would
delete $5,724.7 thousand dollars for the Alaska Public
Broadcasting Commission and insert $6024.7 thousand dollars.
The amendment would add $300 thousand dollars to the Public
Broadcasting Commission in support of public radio and
television stations. This would return funding to the FY 93
level. Discussion followed regarding the need for greater
broadcasting capacity particularly for rural Alaska.
DOUG MOORE, ALASKA PUBLIC BROADCASTING COMMISSION stated
that two new stations have come on line this year needing to
receive new funds. He stated that Ft. Yukon has requested
$65 thousand dollars operating costs and Talkeetna has
requested $30 thousand dollars for first year costs. Mr.
13
Moore added that the Commission is considering their
available options facing continued decreased State funding.
This years impact could be reduction of $400 thousand
dollars federal funds.
Representative Martin noted that #DOA 7 and #DOA 8 are the
same amendment. He suggested that public radio become a
private enterprise. Mr. Moore stated that fund raising
efforts have increased statewide although a maximum has been
reached in many communities throughout the State.
Co-Chair Larson MOVED to amend #DOA 7 to add $225 thousand
dollars rather than the recommended $300 thousand dollars.
Representative Hoffman stated that the original amendment
would reduce the component $95 thousand dollars. He
emphasized that a further reduction would severely impact
rural Alaska.
(Tape Change, HFC 93-52, Side 2).
Representative Brown OBJECTED, to the motion to amend.
A roll call was taken on the MOTION.
IN FAVOR: Martin, Parnell, Therriault, Hanley,
Larson.
OPPOSED: Navarre, Brown, Foster, Grussendorf,
Hoffman, MacLean.
The MOTION FAILED, 5 - 6.
Disagreeing discussion followed in regarding balancing the
budget and the exceeding spending level caps contained
within the proposed budget. Mr. Moore reiterated, that the
responsibility of the Commission is to bring radio and
public television services to all people in Alaska. He
noted the significant holes in the coverage ability to areas
in the Interior.
Representative Brown voiced her concern regarding the
arbitrary method caps were determined and the impact this
will have on residents in the State. Co-Chair Larson
summarized that the action of the Subcommittee which reduced
the recommended Governor's budget of $20.8 million dollars
by $23.1 million dollars. He pointed out, this brings the
FY 94 budget below that of the FY 93 authorized budget.
Representative Brown commented on the $54 million dollar
decrease to Debt Service. She asked how this would be
incorporated into the projected budget.
Representative Navarre urged that the Committee establish
14
policy which would take into consideration long term
projections rather than establishing only fiscal goals. He
reiterated that the minority was not included in the
determination of the caps.
Co-Chair MacLean MOVED to amend #DOA 7 and change the $300
thousand dollar request to $250 thousand dollars.
Representative Navarre OBJECTED.
A roll call vote was taken on the MOTION.
IN FAVOR: Parnell, Therriault, Foster, Hanley,
Larson, MacLean.
OPPOSED: Navarre, Brown, Grussendorf, Hoffman.
Representative Martin was not present for the vote.
The MOTION PASSED, 6 - 4.
A roll call was taken on the MOTION to incorporate #DOA 7
with the amended $250 thousand dollar increase.
IN FAVOR: Brown, Foster, Grussendorf, Hoffman,
Navarre, MacLean, Larson.
OPPOSED: Parnell, Therriault, Hanley.
Representative Martin was not present for the vote.
The MOTION PASSED, (7 - 3).
Representative Brown asked to hold #DOA 9 until the outcome
of #DOA 10 was determined.
Representative Navarre MOVED #DOA 10. He stated that the
Pioneers Homes program anticipates increasing the rates
charged residents again in FY 94. However, the prospective
rate increase is not reflected in the FY 94 budget.
Anticipating a ten percent rate increase effective in
February, 1994, and assuming the same percentage of
uncollectables applies to the additional funds, the revenue
raised would be as represented in the amendment, an increase
of $182.5 thousand dollars general fund.
There being NO OBJECTION, it was adopted.
Representative Brown WITHDREW #DOA 9. There being NO
OBJECTION, it was so ordered.
Representative Navarre MOVED #DOA 11 which would provide a
study to address the unconstitutionality of the state's
15
residency requirement for Pioneer Homes services. He noted
that an increased demand for bed space is anticipated.
Representative Hanley OBJECTED. He thought this concern
should be placed in the capital budget.
RANDY WELKER, LEGISLATIVE AUDIT DIVISION, advised there had
been a recent audit performed on the Assisted Living Program
within the Pioneers Home. During the time of the audit, the
Agency became aware of several factors which needed to be
recognized with the increasing demand on the Pioneer's
Homes. He said the options available to the State should be
discussed. Privatization would be one option in which
funding would be available through Amendment #DOA 11.
DANNY DEWITT, DIRECTOR, DIVISION OF PIONEER BENEFITS,
DEPARTMENT OF ADMINISTRATION, noted his concerns with the
direction of the Pioneer Homes. He felt that to perform a
study of privatization, a year would not be enough time.
Representative Navarre stated the Department should be
responsible to determine the needed funds for the suggested
study.
(Tape Change, HFC 93-54, Side 1).
Co-Chair Larson acknowledged that a cost efficiency study
including privatization is needed. He recommended
Representative Navarre meet with Mr. DeWitt to determine the
necessary factors. Co-Chair Larson noted #DOA 11 would be
HELD open for further discussion.
Representative Brown MOVED #DOA 12 which would restore to
the Governor's FY 94 budget request an addition of $166.8
thousand dollars general fund for the public defender. Co-
Chair Larson OBJECTED.
A roll call was taken on the MOTION.
IN FAVOR: Brown, Foster, Grussendorf, Hoffman,
Navarre.
OPPOSED: Therriault, Hanley, Parnell, Larson,
MacLean.
Representative Martin was not present for the vote.
The MOTION FAILED (5-5).
Representative Navarre MOVED #DOA 13, personnel/equal
employment opportunity, to deny the Governor's proposed fund
source shift of $140.0 thousand dollars IAR to $140.0
general fund. The Division of Labor Relations is being
combined with the Division of Personnel in the proposed FY
16
94 budget. Since FY 92, both agencies have been
contributing to the operations of the Division of Labor
Relations to provide enhanced labor relations services so
that the full range of necessary labor relation functions
would be performed for each department. He added, denial of
the funding source would require continued transfer of funds
from the agencies desiring additional labor relations
service.
Representative Hanley asked if interagency receipts would be
indicated as going to the Department of Administration.
SHARON BARTON, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF ADMINISTRATION, advised that the
$140 thousand dollars is needed in the Labor Relations
budget to fund that agency at the current level. The
Department understands that necessary funds do not exist
within the agencies at this time and are not available for
an IAF transfer. Discussion followed on interagency
receipts as shown in the Governor's budget. Co-Chair Larson
suggested the amendment be left open for further research.
Representative Brown MOVED #DOA 14 which would bring the OPA
budget up to the Governor's proposed level. It is currently
below the FY 93 level including the FY 93 supplemental
funding level. Co-Chair Larson OBJECTED.
A roll call was taken on the MOTION.
IN FAVOR: Brown, Foster, Grussendorf, Hoffman,
Navarre, Parnell.
OPPOSED: Hanley, Martin, Therriault, Larson,
MacLean.
The MOTION PASSED (6-5).
Representative Brown WITHDREW #DOA 15, but suggested that
intent language be written to direct the Department of
Administration to reestablish permanency planning.
Co-Chair Larson summarized the House Finance Committee's
actions on the Department of Administration's amendments.
Representative Brown asked for future discussion of Mental
Health Board recommendations which will affect OAC,
Community Based Care, Pioneer Homes and OPA.
ADJOURNMENT
The meeting adjourned at 4:00 p.m.
17
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