Legislature(1995 - 1996)
04/29/1995 12:10 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 29, 1995
12:10 P.M.
TAPE HFC 95 - 106, Side 1, #000 - end.
TAPE HFC 95 - 106, Side 2, #000 - #268.
CALL TO ORDER
Co-Chair Richard Foster called the House Finance Committee
meeting to order at 12:10 P.M.
PRESENT
Co-Chair Foster Representative Martin
Representative Mulder Representative Grussendorf
Representative Brown Representative Parnell
Representative Kelly
Representatives Hanley, Therriault and Navarre were not
present for the meeting.
ALSO PRESENT
Nancy Slagle, Director, Division of Budget Review, Office of
Management and Budget; Arthur Snowden II, Administrative
Director, Alaska Court System; Kurt Fredrikson, Director,
Division of Spill Prevention & Response, Department of
Environmental Conservation; Mike Burns, Section Chief,
Municipal Grants Section, Division of Facility Construction
& Operation, Department of Environmental Conservation;
Remond Henderson, Director, Division of Administrative
Services, Department of Community and Regional Affairs; Bob
Cole, Deputy Commissioner, Department of Corrections; Wendy
Redman, Vice President, University Relations, University of
Alaska.
SUMMARY
HB 268 An Act making appropriations for capital project
matching grant funds and to capitalize funds;
making, amending, and repealing capital
appropriations; and providing for an effective
date.
HB 268 was HELD in Committee for further
consideration.
HOUSE BILL 268
1
"An Act making appropriations for capital project
matching grant funds and to capitalize funds; making,
amending, and repealing capital appropriations; and
providing for an effective date."
THE ALASKA COURT SYSTEM
ARTHUR SNOWDEN II, ADMINISTRATIVE DIRECTOR, ALASKA COURT
SYSTEM, addressed the three priorities for the Justice
Administration. The first priority would be to finish the
Anchorage Courthouse in the amount of $2.89 million dollars.
That amount would pay for the security, phone system and new
seating.
The second project request would provide for commencing work
on the Fairbanks Courthouse design in the amount of $4.25
million dollars, which would cover costs associated with a
cost-benefits analysis and design recommendations which
would determine if the building was stable enough to
remodel.
Mr. Snowden noted that the third request would be for
computer enhancements in the civil area in the amount of
$750 thousand dollars. The request would cover the costs of
all computers in order that the Alaska Courts could
computerize and upgrade the civil section of the Court
System, by providing personal computers, operating and
application software, laser printers and terminals for court
rooms and software upgrades.
DEPARTMENT OF ENVIRONMENTAL CONSERVATION
NANCY SLAGLE, DIRECTOR, DIVISION OF BUDGET REVIEW, OFFICE OF
MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR, referenced
the Village Safe Water grant program request. She stated
that the allocation would provide basic sanitation services
for remote communities.
Ms. Slagle specifically identified the anticipated $15
million dollar allocation from the Environmental Protection
Agency (EPA) to be used for waste water concerns.
Discussion followed between Representative Martin and Ms.
Slagle regarding the importance of the proposed projects.
Ms. Slagle noted that the projects were based on a priority
ranking dealing with health-safety requirements.
Ms. Slagle spoke to the following group of projects:
Municipal matching grant program in the amount of $16.5
million dollars for projects to provide basic sanitation
services for incorporated communities. The funding
requested would satisfy federal mandates as well as basic
infrastructure needs. Ms. Slagle pointed out that all of
2
the projects would require significant local match to insure
a community commitment and long term utilization of the
facilities.
Representative Brown asked if federal funds were available
to match the proposed programs.
MIKE BURNS, SECTION CHIEF, MUNICIPAL GRANTS SECTION,
DIVISION OF FACILITY CONSTRUCTION & OPERATION, DEPARTMENT OF
ENVIRONMENTAL CONSERVATION, replied that nearly all of the
projects have some federal money associated with the request
through federal grants or federal loan programs. Ms. Slagle
provided Committee members with a breakdown of the specific
projects, identifying the federal amounts for each project.
[Attachment #1].
Ms. Slagle continued to address the next project, the
statewide fuel tank master plan request in the amount of
$400 thousand dollars. The project will allow the
Department in conjunction with the Bulk Fuel Storage Tank
Cabinet Level Task Force to develop a statewide
comprehensive strategy for resolving Alaska's fuel tank
problems.
Representative Brown pointed out that a project such as that
already exists. Ms. Slagle advised that those funds
previously appropriated addressed only a portion of that
problem.
KURT FREDRIKSON, DIRECTOR, DIVISION OF SPILL PREVENTION &
RESPONSE, DEPARTMENT OF ENVIRONMENTAL CONSERVATION,
responded that currently no comprehensive overview exists.
All funds previously appropriated have been exhausted. He
added that the requested funds would not go toward upgrading
existing tanks but rather toward creating a process which
would be effective to handle the current concerns.
Ms. Slagle continued in addressing the capital request
project from the DEC for local hazardous substance release
packages in the amount of $500 thousand dollars. She noted
that the Department is in the process of developing various
response resources to mitigate spills in rural inland areas
where equipment and containment control is not readily
available. The request would establish a response package
for local communities by providing them with basic first aid
response equipment capabilities.
Ms. Slagle continued in addressing the next project, the
coastal near-shore response cleanup equipment request in the
amount of $1 million dollars. She added that the project
would continue the current plan by establishing four more
equipment near-shore packages. She added, the locations
3
have not yet been determined.
The next request for the response team equipment,
maintenance and supplies in the amount of $100 thousand
dollars would be used for equipment to carry out monitoring
and oversight responsibilities including detection
instruments for hazardous substance identification.
Mr. Fredrikson ascertained that the package would bring the
response teams up to a basic level of equipment for
communication as well as personal protection. He concluded
that the request would bring the Department to the
foundation level and that additional funding would not need
to be requested in future years.
Ms. Slagle concluded, the last project for DEC would be the
fixed VHF repeater installation and maintenance request in
the amount of $100 thousand dollars. She noted that
currently there is not an adequate or reliable communication
system for use to responses to oil or hazardous substance
releases in Southeast or in the North Slope oil production
area. Representative Brown asked who would pay for the
maintenance on the repeaters. Mr. Fredrikson noted that the
maintenance would be covered through a response fund
allocation within the Department of Administration.
Discussion followed regarding the repeater installation and
maintenance between Representative Brown, Representative
Martin and Mr. Fredrikson. Representative Brown questioned
if the repeater plan would be necessary with the other
systems which have already been installed.
DEPARTMENT OF COMMUNITY AND REGIONAL AFFAIRS
Ms. Slagle spoke to DCRA's first capital budget request for
the bulk fuel system emergency repair/upgrades in the amount
of $1 million dollars. The allocations would be spent on
the design and repair of the bulk fuel storage and handling
in rural Alaska. She concluded that those funds are needed
to resolve significant hazards.
Representative Kelly questioned the Head Start fire, health,
safety, code compliance request in the amount of $529
thousand dollars. Ms. Slagle commented that the allocation
would cover equipment repairs for existing facilities in
Head Start. Representative Kelly asked if the request would
expand the project. Ms. Slagle understood that the funds
would not be used for expansion but instead used for basic
emergency repairs of current facilities.
Representative Brown asked about the purposed $125 thousand
dollar allocation for the Arctic Winter Games. Ms. Slagle
4
replied, that allocation would pay for the transportation,
clothing, equipment and team dues for the 1996 games to be
hosted by Alaska.
REMOND HENDERSON, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF COMMUNITY AND REGIONAL AFFAIRS,
stated that last year $250 thousand dollars had been
appropriated for that concern.
DEPARTMENT OF CORRECTIONS
BOB COLE, DEPUTY COMMISSIONER, DEPARTMENT OF CORRECTIONS,
responded to Representative Brown's question regarding the
computer system needs within the Department stressing the
importance of that need. The current criminal information
system is over ten years old making it difficult to receive
reports from it; that system does not interact well with the
criminal justice system. Representative Brown pointed out
that the request would not have a federal match.
(Tape Change, HFC 95-106, Side 2).
UNIVERSITY OF ALASKA
Representative Martin questioned the University's deferred
maintenance request in the amount of $7 million dollars. He
understood that cost had been covered last year with the $21
million dollar allocation. Ms. Slagle stated that the
University did not receive any money last year for deferred
maintenance. She noted those funds had been allocated in
1994.
WENDY REDMAN, VICE PRESIDENT, UNIVERSITY RELATIONS,
UNIVERSITY OF ALASKA, responded that the University has a
$156 dollar maintenance backlog. In 1994, the University
received a total of $12 million dollars for code corrections
and building completions, of which only $7 million dollars
went toward deferred maintenance.
Ms. Redman continued, there exists $6.5 million dollars
worth of code corrections spread throughout all the
campuses. The requested allocation would be used for $5.3
million dollars in bid-ready deferred maintenance and $6.5
million dollars for code corrections. The Governor has
allocated $7 million dollars to be used for those two
components.
Representative Martin questioned the $3 million dollar
appropriation for the University sciences building
completion and equipment. Ms. Redman stated that the total
cost of the facility was $30 million dollars. The
Legislature short funded that facility at $26 million,
5
allowing the University to use the interest for the
facility. All those funds were used for the construction of
the facility. Representative Martin asked what the interest
was used for. Ms. Redman noted that the interest had been
used for the intent for the construction of the facility.
Representative Brown referenced the University of Alaska,
Anchorage-digital communications network request in the
amount of $1.4 million dollars. She asked if the project
had been previously funded. Ms. Redman stated that it had
not received any funds to date. Representative Brown
inquired where the money originated from to complete the
first phase. Representative Brown understood that the
project would be scaled back thus providing a smaller
request. Ms. Redman noted that $1.4 million dollars was the
smaller number. The original request was for $6.5 million
dollars. Representative Brown interjected that additional
funding would be needed to complete the project and asked
for additional information regarding the need of the
project.
MUNICIPAL CAPITAL MATCHING GRANTS
Ms. Slagle advised that the following material identifies
those appropriations set aside by communities from the
appropriations which have occurred in the front section.
Specific projects have been identified which the communities
have requested based on priority listings submitted to the
Office of Management and Budget, who then determined the
appropriate allocation. Ms. Slagle noted that the dollar
amount could exceed the fiscal amount allocated, as the
communities can access those funds appropriated in the prior
two fiscal years.
Representative Martin recommended that the effective date be
changed to July, 1996. He thought that would save the State
$18.3 million dollars. Ms. Slagle stated that the money
would be appropriated to the matching grants in the front
section of the bill. They would be moved from the general
fund to the matching grant funds. The projects in the back-
section are not funded from the general fund although, they
are funded from those monies which have been appropriated
into that matching grant fund.
HB 268 was HELD in Committee for further consideration.
ADJOURNMENT
The meeting adjourned at 1:05 P.M.
HOUSE FINANCE COMMITTEE
6
APRIL 29, 1995
12:10 P.M.
TAPE HFC 95 - 106, Side 1, #000 - end.
TAPE HFC 95 - 106, Side 2, #000 - #268.
CALL TO ORDER
Co-Chair Richard Foster called the House Finance Committee
meeting to order at 12:10 P.M.
PRESENT
Co-Chair Foster Representative Martin
Representative Mulder Representative Grussendorf
Representative Brown Representative Parnell
Representative Kelly
Representatives Hanley, Therriault and Navarre were not
present for the meeting.
ALSO PRESENT
Nancy Slagle, Director, Division of Budget Review, Office of
Management and Budget; Arthur Snowden II, Administrative
Director, Alaska Court System; Kurt Fredrikson, Director,
Division of Spill Prevention & Response, Department of
Environmental Conservation; Mike Burns, Section Chief,
Municipal Grants Section, Division of Facility Construction
& Operation, Department of Environmental Conservation;
Remond Henderson, Director, Division of Administrative
Services, Department of Community and Regional Affairs; Bob
Cole, Deputy Commissioner, Department of Corrections; Wendy
Redman, Vice President, University Relations, University of
Alaska.
SUMMARY
HB 268 An Act making appropriations for capital project
matching grant funds and to capitalize funds;
making, amending, and repealing capital
appropriations; and providing for an effective
date.
HB 268 was HELD in Committee for further
consideration.
HOUSE BILL 268
"An Act making appropriations for capital project
matching grant funds and to capitalize funds; making,
amending, and repealing capital appropriations; and
7
providing for an effective date."
THE ALASKA COURT SYSTEM
ARTHUR SNOWDEN II, ADMINISTRATIVE DIRECTOR, ALASKA COURT
SYSTEM, addressed the three priorities for the Justice
Administration. The first priority would be to finish the
Anchorage Courthouse in the amount of $2.89 million dollars.
That amount would pay for the security, phone system and new
seating.
The second project request would provide for commencing work
on the Fairbanks Courthouse design in the amount of $4.25
million dollars, which would cover costs associated with a
cost-benefits analysis and design recommendations which
would determine if the building was stable enough to
remodel.
Mr. Snowden noted that the third request would be for
computer enhancements in the civil area in the amount of
$750 thousand dollars. The request would cover the costs of
all computers in order that the Alaska Courts could
computerize and upgrade the civil section of the Court
System, by providing personal computers, operating and
application software, laser printers and terminals for court
rooms and software upgrades.
DEPARTMENT OF ENVIRONMENTAL CONSERVATION
NANCY SLAGLE, DIRECTOR, DIVISION OF BUDGET REVIEW, OFFICE OF
MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR, referenced
the Village Safe Water grant program request. She stated
that the allocation would provide basic sanitation services
for remote communities.
Ms. Slagle specifically identified the anticipated $15
million dollar allocation from the Environmental Protection
Agency (EPA) to be used for waste water concerns.
Discussion followed between Representative Martin and Ms.
Slagle regarding the importance of the proposed projects.
Ms. Slagle noted that the projects were based on a priority
ranking dealing with health-safety requirements.
Ms. Slagle spoke to the following group of projects:
Municipal matching grant program in the amount of $16.5
million dollars for projects to provide basic sanitation
services for incorporated communities. The funding
requested would satisfy federal mandates as well as basic
infrastructure needs. Ms. Slagle pointed out that all of
the projects would require significant local match to insure
a community commitment and long term utilization of the
facilities.
8
Representative Brown asked if federal funds were available
to match the proposed programs.
MIKE BURNS, SECTION CHIEF, MUNICIPAL GRANTS SECTION,
DIVISION OF FACILITY CONSTRUCTION & OPERATION, DEPARTMENT OF
ENVIRONMENTAL CONSERVATION, replied that nearly all of the
projects have some federal money associated with the request
through federal grants or federal loan programs. Ms. Slagle
provided Committee members with a breakdown of the specific
projects, identifying the federal amounts for each project.
[Attachment #1].
Ms. Slagle continued to address the next project, the
statewide fuel tank master plan request in the amount of
$400 thousand dollars. The project will allow the
Department in conjunction with the Bulk Fuel Storage Tank
Cabinet Level Task Force to develop a statewide
comprehensive strategy for resolving Alaska's fuel tank
problems.
Representative Brown pointed out that a project such as that
already exists. Ms. Slagle advised that those funds
previously appropriated addressed only a portion of that
problem.
KURT FREDRIKSON, DIRECTOR, DIVISION OF SPILL PREVENTION &
RESPONSE, DEPARTMENT OF ENVIRONMENTAL CONSERVATION,
responded that currently no comprehensive overview exists.
All funds previously appropriated have been exhausted. He
added that the requested funds would not go toward upgrading
existing tanks but rather toward creating a process which
would be effective to handle the current concerns.
Ms. Slagle continued in addressing the capital request
project from the DEC for local hazardous substance release
packages in the amount of $500 thousand dollars. She noted
that the Department is in the process of developing various
response resources to mitigate spills in rural inland areas
where equipment and containment control is not readily
available. The request would establish a response package
for local communities by providing them with basic first aid
response equipment capabilities.
Ms. Slagle continued in addressing the next project, the
coastal near-shore response cleanup equipment request in the
amount of $1 million dollars. She added that the project
would continue the current plan by establishing four more
equipment near-shore packages. She added, the locations
have not yet been determined.
The next request for the response team equipment,
9
maintenance and supplies in the amount of $100 thousand
dollars would be used for equipment to carry out monitoring
and oversight responsibilities including detection
instruments for hazardous substance identification.
Mr. Fredrikson ascertained that the package would bring the
response teams up to a basic level of equipment for
communication as well as personal protection. He concluded
that the request would bring the Department to the
foundation level and that additional funding would not need
to be requested in future years.
Ms. Slagle concluded, the last project for DEC would be the
fixed VHF repeater installation and maintenance request in
the amount of $100 thousand dollars. She noted that
currently there is not an adequate or reliable communication
system for use to responses to oil or hazardous substance
releases in Southeast or in the North Slope oil production
area. Representative Brown asked who would pay for the
maintenance on the repeaters. Mr. Fredrikson noted that the
maintenance would be covered through a response fund
allocation within the Department of Administration.
Discussion followed regarding the repeater installation and
maintenance between Representative Brown, Representative
Martin and Mr. Fredrikson. Representative Brown questioned
if the repeater plan would be necessary with the other
systems which have already been installed.
DEPARTMENT OF COMMUNITY AND REGIONAL AFFAIRS
Ms. Slagle spoke to DCRA's first capital budget request for
the bulk fuel system emergency repair/upgrades in the amount
of $1 million dollars. The allocations would be spent on
the design and repair of the bulk fuel storage and handling
in rural Alaska. She concluded that those funds are needed
to resolve significant hazards.
Representative Kelly questioned the Head Start fire, health,
safety, code compliance request in the amount of $529
thousand dollars. Ms. Slagle commented that the allocation
would cover equipment repairs for existing facilities in
Head Start. Representative Kelly asked if the request would
expand the project. Ms. Slagle understood that the funds
would not be used for expansion but instead used for basic
emergency repairs of current facilities.
Representative Brown asked about the purposed $125 thousand
dollar allocation for the Arctic Winter Games. Ms. Slagle
replied, that allocation would pay for the transportation,
clothing, equipment and team dues for the 1996 games to be
hosted by Alaska.
10
REMOND HENDERSON, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF COMMUNITY AND REGIONAL AFFAIRS,
stated that last year $250 thousand dollars had been
appropriated for that concern.
DEPARTMENT OF CORRECTIONS
BOB COLE, DEPUTY COMMISSIONER, DEPARTMENT OF CORRECTIONS,
responded to Representative Brown's question regarding the
computer system needs within the Department stressing the
importance of that need. The current criminal information
system is over ten years old making it difficult to receive
reports from it; that system does not interact well with the
criminal justice system. Representative Brown pointed out
that the request would not have a federal match.
(Tape Change, HFC 95-106, Side 2).
UNIVERSITY OF ALASKA
Representative Martin questioned the University's deferred
maintenance request in the amount of $7 million dollars. He
understood that cost had been covered last year with the $21
million dollar allocation. Ms. Slagle stated that the
University did not receive any money last year for deferred
maintenance. She noted those funds had been allocated in
1994.
WENDY REDMAN, VICE PRESIDENT, UNIVERSITY RELATIONS,
UNIVERSITY OF ALASKA, responded that the University has a
$156 dollar maintenance backlog. In 1994, the University
received a total of $12 million dollars for code corrections
and building completions, of which only $7 million dollars
went toward deferred maintenance.
Ms. Redman continued, there exists $6.5 million dollars
worth of code corrections spread throughout all the
campuses. The requested allocation would be used for $5.3
million dollars in bid-ready deferred maintenance and $6.5
million dollars for code corrections. The Governor has
allocated $7 million dollars to be used for those two
components.
Representative Martin questioned the $3 million dollar
appropriation for the University sciences building
completion and equipment. Ms. Redman stated that the total
cost of the facility was $30 million dollars. The
Legislature short funded that facility at $26 million,
allowing the University to use the interest for the
facility. All those funds were used for the construction of
the facility. Representative Martin asked what the interest
11
was used for. Ms. Redman noted that the interest had been
used for the intent for the construction of the facility.
Representative Brown referenced the University of Alaska,
Anchorage-digital communications network request in the
amount of $1.4 million dollars. She asked if the project
had been previously funded. Ms. Redman stated that it had
not received any funds to date. Representative Brown
inquired where the money originated from to complete the
first phase. Representative Brown understood that the
project would be scaled back thus providing a smaller
request. Ms. Redman noted that $1.4 million dollars was the
smaller number. The original request was for $6.5 million
dollars. Representative Brown interjected that additional
funding would be needed to complete the project and asked
for additional information regarding the need of the
project.
MUNICIPAL CAPITAL MATCHING GRANTS
Ms. Slagle advised that the following material identifies
those appropriations set aside by communities from the
appropriations which have occurred in the front section.
Specific projects have been identified which the communities
have requested based on priority listings submitted to the
Office of Management and Budget, who then determined the
appropriate allocation. Ms. Slagle noted that the dollar
amount could exceed the fiscal amount allocated, as the
communities can access those funds appropriated in the prior
two fiscal years.
Representative Martin recommended that the effective date be
changed to July, 1996. He thought that would save the State
$18.3 million dollars. Ms. Slagle stated that the money
would be appropriated to the matching grants in the front
section of the bill. They would be moved from the general
fund to the matching grant funds. The projects in the back-
section are not funded from the general fund although, they
are funded from those monies which have been appropriated
into that matching grant fund.
HB 268 was HELD in Committee for further consideration.
ADJOURNMENT
The meeting adjourned at 1:05 P.M.
12
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