Legislature(1993 - 1994)
04/22/1993 01:35 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
APRIL 22, 1992
1:35 P.M.
TAPE HFC 93 - 117, Side 1, #000 - end.
TAPE HFC 93 - 117, Side 2, #000 - end.
TAPE HFC 93 - 118, Side 1, #000 - #298.
CALL TO ORDER
Co-Chair Ron Larson called the meeting of the House Finance
Committee to order at 1:35 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
Sharon Barton, Director, Administrative Services, Department
of Administration; Cheryl Frasca, Director, Division of
Budget Review, Office of Management and Budget, Office of
the Governor; Sandy Newsbaum, Aide, Representative Gail
Phillips; Jeff Morrison, Director, Division of
Administrative Services, Department of Military and Veterans
Affairs; Duane Guiley, Director, School Finance, Department
of Education; Nancy Bear-Usera, Commissioner, Department of
Administration; Janet Clarke, Director, Administrative
Services, Department of Health and Social Services; C.E.
Swackhammer, Deputy Commissioner, Department of Public
Safety; Representative Jerry Mackie; Representative Fran
Ulmer.
SUMMARY INFORMATION
HB 50 An Act authorizing the Anchorage to Kenai
Peninsula and the Healy to Fairbanks power
transmission interties and approving the design
and construction costs of the interties; and
providing for an effective date.
HB 50 was placed in Subcommittee with
Representative Parnell as Chair and with members
Representative Therriault and Representative
Navarre.
1
HB 51 An Act making a special appropriation for design
and construction of power transmission interties
between Anchorage and the Kenai Peninsula and
between Healy and Fairbanks; and providing for an
effective date.
HB 51 was placed into Subcommittee with
Representative Parnell as Chair and with members
Representative Therriault and Representative
Navarre.
HB 83 An Act making appropriations for construction and
major maintenance of schools; and providing for an
effective date.
HB 83 was held in Committee for further
discussion.
SB 100 An Act making supplemental and special
appropriations for the expenses of state
government; making, amending, and repealing
capital and operating appropriations; and
providing for an effective date.
SB 100 was held in Committee for further
discussion.
HOUSE BILL 50
"An Act authorizing the Anchorage to Kenai Peninsula
and the Healy to Fairbanks power transmission interties
and approving the design and construction costs of the
interties; and providing for an effective date."
HOUSE BILL 51
"An Act making a special appropriation for design and
construction of power transmission interties between
Anchorage and the Kenai Peninsula and between Healy and
Fairbanks; and providing for an effective date."
Co-Chair Larson placed HB 50 and HB 51 into Subcommittee
with Representative Parnell as Chair and with members
Representative Therriault and Representative Navarre.
SENATE BILL 100
"An Act making supplemental and special appropriations
for the expenses of state government; making, amending,
and repealing capital and operating appropriations; and
providing for an effective date."
2
Co-Chair MacLean provided the Committee a sectional analysis
of HCS CS SB 100 (FIN) work draft #8-GS1063\D dated 4/22/93.
Representative Martin questioned Section #10,
Administration, Pioneer Home Study and the continuum of care
for senior Alaskans. Co-Chair Larson explained that
Representative Navarre had proposed an amendment asking the
Administration to investigate privitorization of the Pioneer
Homes. The Department asked that the balance of fund be
used to fund a task force for future study of the Pioneer
Homes.
SHARON BARTON, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF ADMINISTRATION, noted the amount
previously requested was $85 thousand dollars. A
determination was made that $55 thousand dollars would be
adequate. She concluded, $55 thousand dollars was the
balance of the original appropriation when the study was
completed.
Representative Hanley asked the balance of Office of
Management and Budget, Community/Regional Affairs, Rural
Development Grants-extend lapse.
CHERYL FRASCA, DIRECTOR, DIVISION OF BUDGET REVIEW, OFFICE
OF MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR, noted that
balance was $160 thousand dollars.
Representative Martin asked the balances of categories #13 -
budget sections address lapses in the budget.
Representative Brown asked if the legislative lapses could
be used for building repairs. Co-Chair Larson noted that
those budgets roll-forward.
Representative Hanley referenced Sections #21 - #23,
Administration, Kenai Peninsula Borough items, asking if the
road projects would be taken from the general fund.
SANDY NEWSBAUM, AIDE, REPRESENTATIVE GAIL PHILLIPS, stated
that all those projects are contained in the capital budget
and would be pure general funds.
Representative Hanley referenced line item #24,
Community/Regional Affairs, Anchorage Traffic Signalization
and Safety Upgrades and asked if it was a specific district
project. Representative Brown replied the request addresses
a specific program at the intersection of 15th and Ingrid
Street for an Anchorage stop light.
Representative Therriault referenced Sections #32 - #33,
3
Community/Regional Affairs, Deltana Road Upgrade/Glennallen
Improvement Corporation-Sewage Lagoon and asked if funding
was being switched. Ms. Frasca explained the scope of the
project is being broadened, although no money is being
switched between projects.
Co-Chair Larson MOVED to adopt the sectional, understanding
that the Committee had no further questions regarding the
'94 Reappropriation Sectional [Attachment #1]. There being
NO OBJECTION, it was so ordered.
Representative Foster provided the Committee with Amendment
JEFF MORRISON, DIRECTOR OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF MILITARY AND VETERAN AFFAIRS, explained the
amendment would carry-forward the balance of the Disaster
Relief Fund. This would reduce the potential need for
supplemental funding for the next fiscal year.
Representative Foster MOVED Amendment #1. There being NO
OBJECTIONS, it was so ordered.
Co-Chair MacLean provided the Committee with a copy of
Amendment #2. [Attachment #3]. Ms. Frasca stated the
amendment would extend the lapse date on an appropriation
which the Department of Environmental Conservation (DEC)
received in FY 93 for the Nearshore Strike Team
Demonstration Projects request of $1.2 million dollars.
Representative Hanley MOVED Amendment #2. There being NO
OBJECTION, it was adopted.
Ms. Frasca explained Amendment #3. [Attachment #4]. She
stated amendment is a request by DCRA expenditure for a
production of the Alcan Caravan Alaska Highway promotional
film. Representative Foster MOVED Amendment #3. There
being NO OBJECTION, it was adopted.
Representative Brown provided the Committee with Amendment
previous City Council approved the road expansion although
Representative Brown stated the citizens of the area did not
support the work. Representative Martin questioned the
information. Co-Chair MacLean recommended holding Amendment
(Tape Change, HFC 93 - 117, Side 2).
SENATE BILL 100
"An Act making supplemental and special appropriations
for the expenses of state government; making, amending,
4
and repealing capital and operating appropriations; and
providing for an effective date."
Co-Chair Larson provided the Committee an overview of work
draft HCS CS SB 100 (FIN), #8-GS1063\D dated 4/22/93.
Co-Chair MacLean MOVED Section #61. There being NO
OBJECTION, it was adopted.
Representative Brown questioned the facility closure in
Section #62. Co-Chair MacLean stated only the nursing home
wing of the facility had been closed. Co-Chair MacLean
MOVED Section #62. There being NO OBJECTION, it was so
ordered. Co-Chair MacLean MOVED Section #63. There being
NO OBJECTION, it was so ordered.
DUANE GUILEY, DIRECTOR, SCHOOL FINANCE, DEPARTMENT OF
EDUCATION, stated that Section #64 addresses legislation
which was passed last session for one-time grants
tocooperating school districts to reduce administrative
costs in order to provide more direct construction costs.
This would be a one time grant issue. Representative
Hoffman MOVED adoption of Section #64. Representative
Navarre OBJECTED.
A roll call was taken on the MOTION.
IN FAVOR: Grussendorf, Hoffman, Brown, Foster,
MacLean.
OPPOSED: Hanley, Martin, Navarre, Parnell,
Therriault, Larson.
The MOTION FAILED, (5-6).
Representative Foster MOVED to incorporate Section #65.
Representative Navarre OBJECTED. He pointed out that other
fishing groups are not provided grants.
A roll call was taken on the MOTION.
IN FAVOR: Hoffman, Brown, Foster, Grussendorf,
MacLean, Larson.
OPPOSED: Hanley, Martin, Navarre, Parnell,
Therriault.
The MOTION PASSED, (6-5).
Representative Brown MOVED Section #66 which would
appropriate funds from the general fund to the Department of
Administration for a grant payment to the Municipality of
5
Anchorage for disaster assistance resulting from the Mt.
Spurr volcanic eruption. There being NO OBJECTION, it was
adopted.
Co-Chair MacLean introduced Section #67 which would
appropriate $66.8 thousand dollars for payment of an
arbitrator's decision on the Anchorage Print Shop closure.
NANCY BEAR USERA, COMMISSIONER, DEPARTMENT OF
ADMINISTRATION, explained that the closure of the Anchorage
Print Shop grievance was placed in an arbitrator's
negotiation, ruling in favor of the union. The $66.8
thousand dollars represents back-wages to those persons in
the print shop who were laid off. Co-Chair MacLean MOVED
Section #67. There being NO OBJECTION, it was adopted.
Representative Brown MOVED Amendment #4 noting
Representative Porter's support. [Attachment #5].
Representative Therriault pointed out these are general
highway funds. There being NO OBJECTION, it was adopted.
Co-Chair MacLean MOVED closure of the reappropriation
section. There being NO OBJECTIONS, it was closed. She
noted the section would be incorporated into the
supplemental.
Ms. Frasca explained that in Section #68, the lapse date
would be extended so that the funds would remain with the
Aerospace Corporation. Currently, there is a balance of
$275 thousand dollars resulting from a number of contractual
projects which were not started last year. Representative
Therriault MOVED Section #68. There being NO OBJECTION, it
was adopted.
Ms. Frasca explained Section #69 which would allow a carry-
forward of the current year $450 thousand dollar balance for
executive operations and $60 thousand dollars for OMB. Co-
Chair Larson MOVED Section #69. There being NO OBJECTIONS,
it was adopted.
Co-Chair Larson MOVED Section #70. There being NO
OBJECTION, it was so ordered.
JANET CLARKE, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF HEALTH AND SOCIAL SERVICES, explained Sections
Social Services has been able to go back and retroactively
add a program which Medicaid had for serving a
disproportionate share of low income people. Section #71
lists hospitals which have a high percentage of Medicaid
revenue as a total percentage of their income.
6
The State will receive retroactively $28.7 million dollars
in federal receipts. $2.8 million dollars of these funds
will be placed into the Division of Medical Assistance which
will pay for claims processing and hospital costs.
Currently, 86% of API's operating budget is Mental Health
Trust Funds, which is being requested to be paid back to the
facility for use.
Representative Hanley pointed out, the way the legislation
is written, the money goes to the Department rather than to
the API construction account. Ms. Clarke advised that the
way the account is structured, the money would be authorized
to the construction of the API facility. Representative
Hanley asked if the money would be appropriated from the
account for the project. He noted his concern with the $23
million dollar appropriation authorization for construction
of the facility.
Ms. Clarke pointed out, the House budget allocates $3.5
million dollars for API design. The Department feels
strongly that API earned the funds and that the facility
should receive the benefit of those funds.
The funding reimburses the State for providing psychiatric
services at API to a disproportionately large number of low-
income/medicaid eligible individuals. The funding also
reimburses other hospitals who serve a high proportion of
Medicaid recipients. Alaska has not previously received
reimbursement under the program and the Governor is please
with the Department's success in maximizing receipt of
federal dollars.
Co-Chair Larson MOVED Section #71. There being NO
OBJECTION, it was adopted.
Co-Chair Larson requested that Section #72 remain open for
further discussion.
Cheryl Frasca stated Section #73 was a court ordered
settlement related to the dismissal of an employee in the
Division of Elections. Representative Martin MOVED Section
Co-Chair Larson stated that Section #74 would appropriate
$157 thousand dollars from the general fund to the
Department of Public Safety for computer services costs.
C.E. SWACKHAMMER, DEPUTY COMMISSIONER, DEPARTMENT OF PUBLIC
SAFETY, explained the requested amount would go to the
Department of Administration charge-back for use of the
computer main frame.
7
Representative Parnell MOVED Section #74. There being NO
OBJECTION, it was adopted.
SB 100 was HELD in Committee for further discussion.
(Tape Change, HFC 93 - 118, Side 1).
HOUSE BILL 83
"An Act making appropriations for construction and
major maintenance of schools; and providing for an
effective date."
Co-Chair MacLean MOVED work draft for CS HB 83 (FIN), #8-
GH1060\U dated 4/22/93 as the version before the Committee.
There being NO OBJECTION, it was adopted.
Co-Chair MacLean provided the Committee with an Election
District Spreadsheet [Attachment #7] indicating the total HB
83 allocation of $186,780.6 million dollars which was moved
from the capital budget. Co-Chair MacLean provided a
sectional analysis of the work draft.
Mr. Guiley stated that Section 2 would distribute $145
million dollars from the Educational Facility Maintenance
and Construction Fund to the School Construction to fund
school construction projects which are categorized in the
Department's current safety list.
Section 3 of the bill distributes $20.813 million dollars
from the Educational Facility Maintenance and Construction
Fund to the new major maintenance grant fund established by
HB 82 to be distributed for grant projects in the category
III and IV, the protection of structure and upgrade
projects.
Representative Brown MOVED adding language to Page 2, Line
18, deleting "and" and inserting, "district wide school
design, construction and technology". Co-Chair MacLean
OBJECTED. She stated that technology was included in
renovations. Mr. Guiley noted that an allowable expense to
a school project is the "technology" to wire the building
and also the purchase of equipment.
Representative Parnell asked if the word "renovations" had
been included in the bill. Mr. Guiley responded, any
projects related to school construction, renovation, and
modification can include new equipment used in the
classroom. The scope of the grant application will dictate
the use of the funds allowable under the grant to determine
the use of dollars for specific projects.
Representative Brown WITHDREW THE MOTION. There being NO
8
OBJECTION, it was so ordered.
CS HB 83 (FIN) was HELD in Committee for further discussion.
ADJOURNMENT
The meeting adjourned at 3:25 P.M.
HOUSE FINANCE COMMITTEE
APRIL 22, 1992
1:35 P.M.
TAPE HFC 93 - 117, Side 1, #000 - end.
TAPE HFC 93 - 117, Side 2, #000 - end.
TAPE HFC 93 - 118, Side 1, #000 - #298.
CALL TO ORDER
Co-Chair Ron Larson called the meeting of the House Finance
Committee to order at 1:35 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
Sharon Barton, Director, Administrative Services, Department
of Administration; Cheryl Frasca, Director, Division of
Budget Review, Office of Management and Budget, Office of
the Governor; Sandy Newsbaum, Aide, Representative Gail
Phillips; Jeff Morrison, Director, Division of
Administrative Services, Department of Military and Veterans
Affairs; Duane Guiley, Director, School Finance, Department
of Education; Nancy Bear-Usera, Commissioner, Department of
Administration; Janet Clarke, Director, Administrative
Services, Department of Health and Social Services; C.E.
Swackhammer, Deputy Commissioner, Department of Public
Safety; Representative Jerry Mackie; Representative Fran
Ulmer.
SUMMARY INFORMATION
HB 50 An Act authorizing the Anchorage to Kenai
Peninsula and the Healy to Fairbanks power
transmission interties and approving the design
9
and construction costs of the interties; and
providing for an effective date.
HB 50 was placed in Subcommittee with
Representative Parnell as Chair and with members
Representative Therriault and Representative
Navarre.
HB 51 An Act making a special appropriation for design
and construction of power transmission interties
between Anchorage and the Kenai Peninsula and
between Healy and Fairbanks; and providing for an
effective date.
HB 51 was placed into Subcommittee with
Representative Parnell as Chair and with members
Representative Therriault and Representative
Navarre.
HB 83 An Act making appropriations for construction and
major maintenance of schools; and providing for an
effective date.
HB 83 was held in Committee for further
discussion.
SB 100 An Act making supplemental and special
appropriations for the expenses of state
government; making, amending, and repealing
capital and operating appropriations; and
providing for an effective date.
SB 100 was held in Committee for further
discussion.
HOUSE BILL 50
"An Act authorizing the Anchorage to Kenai Peninsula
and the Healy to Fairbanks power transmission interties
and approving the design and construction costs of the
interties; and providing for an effective date."
HOUSE BILL 51
"An Act making a special appropriation for design and
construction of power transmission interties between
Anchorage and the Kenai Peninsula and between Healy and
Fairbanks; and providing for an effective date."
Co-Chair Larson placed HB 50 and HB 51 into Subcommittee
with Representative Parnell as Chair and with members
Representative Therriault and Representative Navarre.
10
SENATE BILL 100
"An Act making supplemental and special appropriations
for the expenses of state government; making, amending,
and repealing capital and operating appropriations; and
providing for an effective date."
Co-Chair MacLean provided the Committee a sectional analysis
of HCS CS SB 100 (FIN) work draft #8-GS1063\D dated 4/22/93.
Representative Martin questioned Section #10,
Administration, Pioneer Home Study and the continuum of care
for senior Alaskans. Co-Chair Larson explained that
Representative Navarre had proposed an amendment asking the
Administration to investigate privitorization of the Pioneer
Homes. The Department asked that the balance of fund be
used to fund a task force for future study of the Pioneer
Homes.
SHARON BARTON, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF ADMINISTRATION, noted the amount
previously requested was $85 thousand dollars. A
determination was made that $55 thousand dollars would be
adequate. She concluded, $55 thousand dollars was the
balance of the original appropriation when the study was
completed.
Representative Hanley asked the balance of Office of
Management and Budget, Community/Regional Affairs, Rural
Development Grants-extend lapse.
CHERYL FRASCA, DIRECTOR, DIVISION OF BUDGET REVIEW, OFFICE
OF MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR, noted that
balance was $160 thousand dollars.
Representative Martin asked the balances of categories #13 -
budget sections address lapses in the budget.
Representative Brown asked if the legislative lapses could
be used for building repairs. Co-Chair Larson noted that
those budgets roll-forward.
Representative Hanley referenced Sections #21 - #23,
Administration, Kenai Peninsula Borough items, asking if the
road projects would be taken from the general fund.
SANDY NEWSBAUM, AIDE, REPRESENTATIVE GAIL PHILLIPS, stated
that all those projects are contained in the capital budget
and would be pure general funds.
11
Representative Hanley referenced line item #24,
Community/Regional Affairs, Anchorage Traffic Signalization
and Safety Upgrades and asked if it was a specific district
project. Representative Brown replied the request addresses
a specific program at the intersection of 15th and Ingrid
Street for an Anchorage stop light.
Representative Therriault referenced Sections #32 - #33,
Community/Regional Affairs, Deltana Road Upgrade/Glennallen
Improvement Corporation-Sewage Lagoon and asked if funding
was being switched. Ms. Frasca explained the scope of the
project is being broadened, although no money is being
switched between projects.
Co-Chair Larson MOVED to adopt the sectional, understanding
that the Committee had no further questions regarding the
'94 Reappropriation Sectional [Attachment #1]. There being
NO OBJECTION, it was so ordered.
Representative Foster provided the Committee with Amendment
JEFF MORRISON, DIRECTOR OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF MILITARY AND VETERAN AFFAIRS, explained the
amendment would carry-forward the balance of the Disaster
Relief Fund. This would reduce the potential need for
supplemental funding for the next fiscal year.
Representative Foster MOVED Amendment #1. There being NO
OBJECTIONS, it was so ordered.
Co-Chair MacLean provided the Committee with a copy of
Amendment #2. [Attachment #3]. Ms. Frasca stated the
amendment would extend the lapse date on an appropriation
which the Department of Environmental Conservation (DEC)
received in FY 93 for the Nearshore Strike Team
Demonstration Projects request of $1.2 million dollars.
Representative Hanley MOVED Amendment #2. There being NO
OBJECTION, it was adopted.
Ms. Frasca explained Amendment #3. [Attachment #4]. She
stated amendment is a request by DCRA expenditure for a
production of the Alcan Caravan Alaska Highway promotional
film. Representative Foster MOVED Amendment #3. There
being NO OBJECTION, it was adopted.
Representative Brown provided the Committee with Amendment
previous City Council approved the road expansion although
Representative Brown stated the citizens of the area did not
support the work. Representative Martin questioned the
information. Co-Chair MacLean recommended holding Amendment
12
(Tape Change, HFC 93 - 117, Side 2).
SENATE BILL 100
"An Act making supplemental and special appropriations
for the expenses of state government; making, amending,
and repealing capital and operating appropriations; and
providing for an effective date."
Co-Chair Larson provided the Committee an overview of work
draft HCS CS SB 100 (FIN), #8-GS1063\D dated 4/22/93.
Co-Chair MacLean MOVED Section #61. There being NO
OBJECTION, it was adopted.
Representative Brown questioned the facility closure in
Section #62. Co-Chair MacLean stated only the nursing home
wing of the facility had been closed. Co-Chair MacLean
MOVED Section #62. There being NO OBJECTION, it was so
ordered. Co-Chair MacLean MOVED Section #63. There being
NO OBJECTION, it was so ordered.
DUANE GUILEY, DIRECTOR, SCHOOL FINANCE, DEPARTMENT OF
EDUCATION, stated that Section #64 addresses legislation
which was passed last session for one-time grants
tocooperating school districts to reduce administrative
costs in order to provide more direct construction costs.
This would be a one time grant issue. Representative
Hoffman MOVED adoption of Section #64. Representative
Navarre OBJECTED.
A roll call was taken on the MOTION.
IN FAVOR: Grussendorf, Hoffman, Brown, Foster,
MacLean.
OPPOSED: Hanley, Martin, Navarre, Parnell,
Therriault, Larson.
The MOTION FAILED, (5-6).
Representative Foster MOVED to incorporate Section #65.
Representative Navarre OBJECTED. He pointed out that other
fishing groups are not provided grants.
A roll call was taken on the MOTION.
IN FAVOR: Hoffman, Brown, Foster, Grussendorf,
MacLean, Larson.
13
OPPOSED: Hanley, Martin, Navarre, Parnell,
Therriault.
The MOTION PASSED, (6-5).
Representative Brown MOVED Section #66 which would
appropriate funds from the general fund to the Department of
Administration for a grant payment to the Municipality of
Anchorage for disaster assistance resulting from the Mt.
Spurr volcanic eruption. There being NO OBJECTION, it was
adopted.
Co-Chair MacLean introduced Section #67 which would
appropriate $66.8 thousand dollars for payment of an
arbitrator's decision on the Anchorage Print Shop closure.
NANCY BEAR USERA, COMMISSIONER, DEPARTMENT OF
ADMINISTRATION, explained that the closure of the Anchorage
Print Shop grievance was placed in an arbitrator's
negotiation, ruling in favor of the union. The $66.8
thousand dollars represents back-wages to those persons in
the print shop who were laid off. Co-Chair MacLean MOVED
Section #67. There being NO OBJECTION, it was adopted.
Representative Brown MOVED Amendment #4 noting
Representative Porter's support. [Attachment #5].
Representative Therriault pointed out these are general
highway funds. There being NO OBJECTION, it was adopted.
Co-Chair MacLean MOVED closure of the reappropriation
section. There being NO OBJECTIONS, it was closed. She
noted the section would be incorporated into the
supplemental.
Ms. Frasca explained that in Section #68, the lapse date
would be extended so that the funds would remain with the
Aerospace Corporation. Currently, there is a balance of
$275 thousand dollars resulting from a number of contractual
projects which were not started last year. Representative
Therriault MOVED Section #68. There being NO OBJECTION, it
was adopted.
Ms. Frasca explained Section #69 which would allow a carry-
forward of the current year $450 thousand dollar balance for
executive operations and $60 thousand dollars for OMB. Co-
Chair Larson MOVED Section #69. There being NO OBJECTIONS,
it was adopted.
Co-Chair Larson MOVED Section #70. There being NO
OBJECTION, it was so ordered.
JANET CLARKE, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,
14
DEPARTMENT OF HEALTH AND SOCIAL SERVICES, explained Sections
Social Services has been able to go back and retroactively
add a program which Medicaid had for serving a
disproportionate share of low income people. Section #71
lists hospitals which have a high percentage of Medicaid
revenue as a total percentage of their income.
The State will receive retroactively $28.7 million dollars
in federal receipts. $2.8 million dollars of these funds
will be placed into the Division of Medical Assistance which
will pay for claims processing and hospital costs.
Currently, 86% of API's operating budget is Mental Health
Trust Funds, which is being requested to be paid back to the
facility for use.
Representative Hanley pointed out, the way the legislation
is written, the money goes to the Department rather than to
the API construction account. Ms. Clarke advised that the
way the account is structured, the money would be authorized
to the construction of the API facility. Representative
Hanley asked if the money would be appropriated from the
account for the project. He noted his concern with the $23
million dollar appropriation authorization for construction
of the facility.
Ms. Clarke pointed out, the House budget allocates $3.5
million dollars for API design. The Department feels
strongly that API earned the funds and that the facility
should receive the benefit of those funds.
The funding reimburses the State for providing psychiatric
services at API to a disproportionately large number of low-
income/medicaid eligible individuals. The funding also
reimburses other hospitals who serve a high proportion of
Medicaid recipients. Alaska has not previously received
reimbursement under the program and the Governor is please
with the Department's success in maximizing receipt of
federal dollars.
Co-Chair Larson MOVED Section #71. There being NO
OBJECTION, it was adopted.
Co-Chair Larson requested that Section #72 remain open for
further discussion.
Cheryl Frasca stated Section #73 was a court ordered
settlement related to the dismissal of an employee in the
Division of Elections. Representative Martin MOVED Section
Co-Chair Larson stated that Section #74 would appropriate
15
$157 thousand dollars from the general fund to the
Department of Public Safety for computer services costs.
C.E. SWACKHAMMER, DEPUTY COMMISSIONER, DEPARTMENT OF PUBLIC
SAFETY, explained the requested amount would go to the
Department of Administration charge-back for use of the
computer main frame.
Representative Parnell MOVED Section #74. There being NO
OBJECTION, it was adopted.
SB 100 was HELD in Committee for further discussion.
(Tape Change, HFC 93 - 118, Side 1).
HOUSE BILL 83
"An Act making appropriations for construction and
major maintenance of schools; and providing for an
effective date."
Co-Chair MacLean MOVED work draft for CS HB 83 (FIN), #8-
GH1060\U dated 4/22/93 as the version before the Committee.
There being NO OBJECTION, it was adopted.
Co-Chair MacLean provided the Committee with an Election
District Spreadsheet [Attachment #7] indicating the total HB
83 allocation of $186,780.6 million dollars which was moved
from the capital budget. Co-Chair MacLean provided a
sectional analysis of the work draft.
Mr. Guiley stated that Section 2 would distribute $145
million dollars from the Educational Facility Maintenance
and Construction Fund to the School Construction to fund
school construction projects which are categorized in the
Department's current safety list.
Section 3 of the bill distributes $20.813 million dollars
from the Educational Facility Maintenance and Construction
Fund to the new major maintenance grant fund established by
HB 82 to be distributed for grant projects in the category
III and IV, the protection of structure and upgrade
projects.
Representative Brown MOVED adding language to Page 2, Line
18, deleting "and" and inserting, "district wide school
design, construction and technology". Co-Chair MacLean
OBJECTED. She stated that technology was included in
renovations. Mr. Guiley noted that an allowable expense to
a school project is the "technology" to wire the building
and also the purchase of equipment.
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Representative Parnell asked if the word "renovations" had
been included in the bill. Mr. Guiley responded, any
projects related to school construction, renovation, and
modification can include new equipment used in the
classroom. The scope of the grant application will dictate
the use of the funds allowable under the grant to determine
the use of dollars for specific projects.
Representative Brown WITHDREW THE MOTION. There being NO
OBJECTION, it was so ordered.
CS HB 83 (FIN) was HELD in Committee for further discussion.
ADJOURNMENT
The meeting adjourned at 3:25 P.M.
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