Legislature(1993 - 1994)
02/24/1994 01:40 PM House FIN
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* first hearing in first committee of referral
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= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE
February 24, 1994
1:40 p.m.
TAPE HFC 94-40, Side 2, #000 - end.
TAPE HFC 94-41, Side 1, #000 - end.
TAPE HFC 94-41, Side 2, #000 - 292.
CALL TO ORDER
Co-Chair Larson called the House Finance Committee to order
at 1:40 p.m.
PRESENT
Co-Chair Larson
Co-Chair MacLean Representative Martin
Vice-Chair Hanley Representative Navarre
Representative Brown Representative Parnell
Representative Foster Representative Therriault
Representative Grussendorf
Representative Hoffman was not present for the meeting.
ALSO PRESENT
Senator Randy Phillips; Nancy Bear-Usera, Commissioner,
Department of Administration; Mila Doyle, Labor Relations
Analyst, Department of Administration; Dan Spencer, Fiscal
Analyst, Office of Management and Budget, Office of the
Governor; Pat O'Brien, Social Services Program Office,
Division of Family and Youth Services, Department of Health
and Social Services; Donna Schultz, Associate Coordinator,
Division of Family and Youth Services, Department of Health
and Social Services; Tim Sullivan, Staff, Representative
Mulder; Jerry Burnett, Staff, Representative.
SUMMARY INFORMATION
HB 406 "An Act relating to municipal sales and use taxes
involving air carriers; and providing for an
effective date."
HB 406 was assigned to a subcommittee consisting
of Representative Foster as Chair and
Representatives Martin and Grussendorf.
HB 421 "An Act authorizing grants for temporary housing
assistance during emergencies and disasters."
HB 421 was reported out of Committee with a "do
pass" recommendation and with a zero fiscal note
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by the Department of Military and Veterans
Affairs, dated 2/14/94.
HB 456 "An Act making appropriations to satisfy the
agreed-upon monetary terms of certain collective
bargaining agreements for certain public
employees; and providing for an effective date."
HB 456 was reported out of Committee with no
recommendations.
SB 45 "An Act relating to persons under 21 years of age;
providing for designation of `safe homes' for
runaway minors; and providing for an effective
date."
HCS CSSB 45 (JUD) was assigned to a subcommittee
consisting of Representative Therriault as Chair
and Representatives Parnell and Brown.
HOUSE BILL NO. 456
"An Act making appropriations to satisfy the
agreed-upon monetary terms of certain collective
bargaining agreements for certain public employees; and
providing for an effective date."
NANCY BEAR-USERA, COMMISSIONER, DEPARTMENT OF ADMINISTRATION
testifie1d on behalf of HB 456. She explained that HB 456
would ratify labor contracts negotiated by the Department.
HB 456 would make a total appropriation of $368,630.0
thousand dollars to satisfy the monetary terms of collective
bargaining agreements with the Alaska Vocational Technical
Center Teachers' Association (AVTEC) and the Marine
Engineers' Beneficial Association (MEBA). She provided
members with a list of the Department's contract negotiation
goals and objectives (copy on file). She stressed that the
Department's goals are to:
* Maximize the quality, cost effectiveness, and
productivity of government services to the public;
* Enhance management flexibility to respond
effectively to changes in economic conditions and
operational needs;
* Realign the cost of wages and benefits to, bring
the state's compensation package back into
appropriate standards, reflect the current and
foreseeable economic environment, and prioritize
benefits and funding to meet labor and
managements's common interest in providing for
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employees' greatest benefit needs; and
* Modify the contract to provide opportunities for
improving productivity, accountability,
consistency, and efficiency of state government
operations.
Commissioner Usera emphasized the Department's desire to
provide a more flexible benefit package. She stressed the
importance of employee involvement. She maintained that
growth and inflation factors must be included in
considerations. She reminded members that during the time
the Alaska pipeline was being constructed the state had
difficulty attracting and maintaining qualified employees.
She asserted that one of the goals of the Department is to
continue to attract and maintain qualified employees.
Commissioner Usera provided members with a summary of the
state's eleven bargaining units (copy on file). She
reviewed the status of each of the bargaining unit's labor
contract negotiations.
Commissioner Usera discussed the AVTEC contract. She
observed that the unit is comprised of 36 employees who are
affiliated with the National Educational Association. She
noted that the contract contains:
* A management rights clause;
* Clarification of layoff procedures, specific to
the facility;
* Added, at employer discretion, sabbaticals after
seven years of continuous service;
* Eliminated and cashed out FY 95 annual leave,
(employees now receive five days of annual leave
and sick leave.)
* Added complaint procedures for disputes other than
interpretation of contract;
* Clarified that additional educational credits must
be job-related;
* Allowed a COLA of up to 2 percent;
* Established a per employee health coverage cost to
allow unions to determine individual packages.
Co-Chair Larson noted that HB 456 funding information is
incorrect. He observed that sections 2 and 3 make
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appropriations from the Alaska Marine Highway System Fund.
Funding contained in section 2 was added to other funds.
Section 3 was added to general funds. He suggested that, in
order to maintain consistency, funding in sections 2 and 3
should be listed together.
DAN SPENCER, FISCAL ANALYST, OFFICE OF THE GOVERNOR noted
that the Office of the Governor advises that appropriations
from the Alaska Marine Highway System fund be listed as
other funds.
Representative Martin requested information regarding
frequent flyer mileage. Commissioner Usera noted that
negotiations by the previous administration awarded
ownership of frequent flyer miles to employees through a
letter of agreement.
Representative Martin expressed concern that the highest
paid employees receive the best benefit packages.
Commissioner Usera noted that health coverage benefits are a
set amount per employee. Retirement benefits are tied to
salary.
Commissioner Usera provided members with a detailed
breakdown of the MEBA contract (copy on file).
Co-Chair MacLean asked if the Department of Administration
had considered a unilateral COLA freeze. Commissioner Usera
explained that the Department has placed a COLA freeze on
exempt employees. She observed that the state is under
obligation to bargain with other units.
Representative Brown asked how many employees participate in
the MEBA Vacation Committee. Commissioner Usera clarified
that 4 or 5 employees participate on the committee.
MILA DOYLE, LABOR RELATIONS ANALYST explained that employees
meet 2 to 3 times a year. Issues are resolved in one to
five days.
Representative Navarre MOVED to report HB 456 out of
Committee with individual recommendations. There being NO
OBJECTION, it was so ordered.
HB 456 was reported out of Committee with no
recommendations.
HOUSE BILL NO. 421
"An Act authorizing grants for temporary housing
assistance during emergencies and disasters."
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TIM SULLIVAN, STAFF, REPRESENTATIVE MULDER spoke in support
of HB 421. He noted that the legislation was introduced at
the request of the state of Alaska's Division of Emergency
Services. He explained that under current state statute,
people that are displaced from their homes during a state
declared disaster must have temporary housing arrangements
negotiated individually by the Department of Military and
Veterans Affairs. He observed that this can be a lengthy,
tedious process. He observed that the Federal Emergency
Management Agency makes grants directly to displaced
individuals who make their own housing arrangements.
Mr. Sullivan noted that HB 421 adds language to AS 26.23.100
to allow the Division of Emergency Services the ability to
grant funds to displaced people for temporary housing during
state declared disasters. Eligibility for these funds would
be determined by criteria established by the Division of
Emergency Services. He asserted that the change will result
in a more efficient response to temporary housing needs
during a state declared disaster.
Co-Chair MacLean MOVED to report HB 421 out of Committee
with individual recommendations and with the accompanying
fiscal notes. There being NO OBJECTION, it was so ordered.
HB 421 MOVED was reported out of Committee with a "do pass"
recommendation and with a zero fiscal note by the Department
of Military and Veterans Affairs, dated 2/14/94.
SENATE BILL NO. 45
"An Act relating to persons under 21 years of age;
providing for designation of `safe homes' for runaway
minors; and providing for an effective date."
SENATE RANDY PHILLIPS emphasized that the intent of HCS CSSB
45 (JUD) is to balance the rights of parents and children.
PAT O'BRIEN, SOCIAL SERVICES PROGRAM OFFICER, DIVISION OF
FAMILY AND YOUTH SERVICES, DEPARTMENT OF HEALTH AND SOCIAL
SERVICES explained that the state of Alaska currently
assists youths that have abuse and neglect issues. She
observed that the state has a substantial runaway problem.
She explained that HCS CSSB 45 (JUD) would create shelters
to serve as short term safe places for runaways until other
plans can be made for their care. She noted that
communities across the state have an informal network to
deal with runaways. Shelters would be created through
private agencies. She noted that there are approximately a
dozen licensed child placement agencies. She anticipated
that many of the private agencies would not be interested in
participating in the program. She stressed that staff from
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the Division of Family and Youth Services (DFYS) would need
to work with communities to begin the program. She added
that there may be some evaluation of homes by the Division.
Ms. O'Brien referred to the fiscal notes by DFYS. She
explained that $20.0 would be used to create a task force to
write regulations. Three community care licensing
speciallist positions would be funded. The first year a
position would be added in South Central Alaska. The second
year a position would be added in Northern Alaska. The
third year a position would be added in Southeast Alaska.
Representative Brown noted that there are five fiscal notes
from DFYS. Ms. O'Brien explained that a fiscal note was
submitted for each region. In addition, a fiscal note was
submitted for the task force and one was submitted for the
Delinquency Prevention Component.
In response to a question by Representative Brown, Ms.
O'Brien clarified that the state does not provide funding
for the current system. She observed that runaway programs
are operated by nonprofit organizations. She emphasized
that the legislation would effect smaller communities that
do not have nonprofit entities that can compete for existing
federal funding. The legislation would provide for smaller
scale safe homes.
Representative Brown referred to licensing requirements.
Ms. O'Brien observed that regulations governing licensing
will be drafted. She stressed the need for a task force to
help draft the regulations.
(Tape Change, HFC 94-41, Side 1)
JERRY BURNETT, STAFF, SENATOR PHILLIPS explained, in
response to a question by Representative Martin, that
references to individuals between the ages of 18 and 21 were
deleted from the legislation.
Ms. O'Brien clarified that the composition of the task force
has not been decided. She explained that fiscal notes
reflect COLA variations between regions.
Ms. O'Brien noted that police could take juveniles to safe
homes. Senator Phillips observed that page 6, line 19
addresses the issue of police discretion.
In response to a question by Representative Brown, Ms.
O'Brien clarified that the legislation provides the police
officer with two options. He can take the child home or to
the Department of Health and Social Services.
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Representative Brown stressed that it is not the intent of
the legislation to presume that the child be returned home.
Senator Phillips agreed that the child can be returned home
or if physical or sexual abuse is suspected the child can be
taken to the Department of Health and Social Services for
further placement.
Representative Brown noted the current language that allows
minors to determine if they will be returned to their
parents was deleted in the House Judiciary version. Ms.
O'Brien pointed out that the House Judiciary Committee added
language on page 6, lines 23 - 26 to assure that the officer
would not return juveniles to their home if "the officer has
reasonable cause to suspect that the minor has experienced
physical or sexual abuse".
Representative Martin questioned whether 12 hours was
sufficient time to allow the Department of Health and Social
Services to notify parents of the custody of their child.
Ms. O'Brien observed that 12 hours is a standard time frame
employed for purposes of litigation.
Representative Therriault referred to sections 12 and 16.
He clarified that these sections were included at the
request of the Juvenile Justice Committee. He stressed that
minors that choose not to return to their home are not
placed in state custody. He observed that minors brought to
shelters in Fairbanks check themselves in and then
immediately return to the street.
Representative Parnell referred to provisions for
emancipation. He observed that parents are allowed to
petition for emancipation from their child. Senator
Phillips gave the example of a child who stole their
parent's car and charge card. The child was responsible for
excessive damages and bills. The parent lost custody of the
child but was still responsible for the bills. He asserted
that parent's rights are being eroded as children's rights
are being enhanced.
Representative Parnell questioned if under those
circumstances it would be in the best interest of the minor
to be emancipated from the parent.
Representative Brown expressed concern that the Sponsor
Statement contradicts testimony regarding the intent of the
legislation to allow police officers to take minors to the
Department of Health and Social Services. She noted that
the Sponsor Statement states that "HCS CSSB 45 (JUD) would
require the peace officer to return a minor to his/her
parents or legal guardian, unless there is evidence that
the minor has been abused." She stressed that it would be
the officer's discretion to take the minor home or to the
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Department of Health and Social Services. She added that if
the officer had reasonable cause to suspected physical or
sexual abuse they could not exercise the option of taking
the minor home. Ms. O'Brien agreed that the House Judiciary
version agrees with Representative Brown's interpretation.
Senator Phillips agreed with Representative Brown's
assessment.
Representative Brown suggested that language in section 12
prohibiting incarceration of minors in adult prisons may be
in conflict with laws allowing juveniles to be waived into
the adult system and incarcerated as an adult.
DONNA SCHULTZ, ASSOCIATE COORDINATOR, DIVISION OF FAMILY AND
YOUTH SERVICES, DEPARTMENT OF HEALTH AND SOCIAL SERVICES
noted that abused and neglected minors were being held in
adult jails in lockups due to a lack of other community
facilities. The language in section 12 is a result of
federal mandates created to address this problem. According
to the Department's fiscal note, the Division receives a
minimum annual allocation of $325.0 thousand dollars in
federal funding through the U.S. Department of Justice,
Office of Juvenile Justice and Delinquency Prevention. This
funding will be discontinued if the state of Alaska does not
come into compliance with the Juvenile Justice and
Delinquency Prevention Act, prohibiting the incarceration of
juveniles in the safe facility as an adult. Passage of HCS
CSSB 45 (JUD) would bring the state into compliance. She
emphasized that minors waived into adult status are
considered an adult.
ELMER LINDSTROM, DEPARTMENT OF HEALTH AND SOCIAL SERVICES
reiterated that a juvenile waived into adult status is not a
juvenile in the mind of the federal government.
Representative Brown stressed the need to use consistent
terminology.
Representative Brown referred to section 10. She noted that
employment of minors would be restricted. A minor "may not
be employed or allowed to work after 10:00 p.m. on the night
before the minor's school is in session unless the minor has
graduated from secondary school or its equivalent; however,
a minor under 16 years of age may not be employed to work
after 9:00 p.m." Mr. Burnett pointed out that provisions
preventing 16 year olds to work past 9:00 p.m. are in
current statutes. Senator Phillips emphasized that section
10 was added as a response to requests by parents. Co-Chair
Larson questioned how section 10 would affect an emancipated
minor trying to support themself while attending school.
Representative Parnell noted that section 2, line 20 reflect
the purpose of the parents.
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Representative Brown observed that once a minor is
emancipated they are not eligible for services provided by
the Department of Health and Social Services, such as
emergency shelter. She suggested that involuntarily
emancipated minors continue to be eligible for services
provided by the Department. She provided members with
AMENDMENT 1 (copy on file). Amendment 1 would require that
"upon request of a minor whose disabilities of minority have
been removed for general purposes under AS 09,55.590, the
department shall offer available counseling services,
emergency shelter care, medical care, and other services
determined appropriate by the department considering the
minor's circumstances."
Ms. O'Brien pointed out that a parent may not seek to
emancipate a child unless the child is capable of self
support and independence. Ms. Schultz emphasized that
children are rarely emancipated. Ms. O'Brien stressed that
it would be inconsistent to allow emancipated minors to
obtain services after emancipation.
(Tape Change, HFC 94-41, Side 2)
Representative Brown emphasized that a minor who is capable
of self support could need temporary emergency services.
She suggested that the ability to grant temporary services
would allow a "safety net" in granting emancipation to the
parents. She stressed that a child could not stay in a
shelter if they were emancipated from their parents.
Senator Phillips reiterated that emancipations are difficult
to achieve. He asserted that the option of parental
emancipations will provide parents with a tool to control
their children.
Representative Hanley stressed that the court requires that
the minor can sustain self support, manage their financial
affairs and consent to emancipation. The court can waive
the juveniles consent if the court determines it is in the
best interest of the minor. Ms. O'Brien suggested that
regulations could allow emancipated minors to reside in
shelters as a boarder if space is available.
Senator Phillips maintained that emancipated minors are
responsible for their own actions.
Co-Chair MacLean suggested that minors be granted a three
month temporary access to services provided by the
Department of Health and Social Services.
Co-Chair Larson summarized the Committee's concerns in
regards to HCS CSSB 45 (JUD). He questioned the need for a
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task force. HCS CSSB 45 (JUD) was assigned to a
subcommittee consisting of Representative Therriault as
Chair and Representatives Parnell and Brown.
HOUSE BILL NO. 406
"An Act relating to municipal sales and use taxes
involving air carriers; and providing for an effective
date."
Co-Chair Larson assigned HB 406 to a subcommittee consisting
of Representative Foster as Chair and Representatives Martin
and Grussendorf.
ADJOURNMENT
The meeting adjourned at 3:20 p.m.
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