Legislature(2001 - 2002)
04/17/2001 01:46 PM House FIN
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE
April 17, 2001
1:46 P.M.
TAPE HFC 01 - 83, Side A
TAPE HFC 01 - 83, Side B
TAPE HFC 01 - 84, Side A
CALL TO ORDER
Co-Chair Williams called the House Finance Committee meeting
to order at 1:46 P.M.
MEMBERS PRESENT
Representative Bill Williams, Co-Chair
Representative Eldon Mulder, Co-Chair
Representative Con Bunde, Vice-Chair
Representative Eric Croft
Representative John Davies
Representative Carl Moses
Representative Richard Foster
Representative John Harris
Representative Bill Hudson
Representative Ken Lancaster
Representative Jim Whitaker
MEMBERS ABSENT
None
ALSO PRESENT
Representative Gary Stevens; Representative Norman Rokeberg;
Lori Backes, Staff, Representative Jim Whitaker; Karen
Perdue, Commissioner, Department of Health and Social
Services; Diane Barrans, Executive Director, Postsecondary
Education Commission, Department of Education; Janet Clarke,
Director, Division of Administrative Services, Department of
Health and Social Services; Janet Seitz, Staff,
Representative Norman Rokeberg; Kevin Brooks, Director,
Division of Administrative Services, Department of Fish and
Game; Randal Burns, CEO, Alaska Psychiatric Institute,
Anchorage; Margo Waring, Alaska Mental Health Board, Juneau;
Caren Robinson, Chair, Alaska Mental Health Trust Authority,
Juneau; Wendy Redman, Vice President, Statewide Programs,
University of Alaska; Steve Blanche, Executive Director,
Alaska Mental Health Trust Land Office, Anchorage.
PRESENT VIA TELECONFERENCE
Jeff Jesse, Executive Director, Alaska Mental Health Trust,
Anchorage
SUMMARY
HB 76 An Act authorizing the commissioner of health and
social services to provide for the design and
construction of psychiatric treatment facilities
to replace the facilities of the Alaska
Psychiatric Institute.
HB 76 was HEARD and HELD in Committee for further
consideration.
HB 187 An Act relating to the destruction, desecration,
and vandalism of cemeteries and graves.
CS HB 187 (JUD) was reported out of Committee with
a "do pass" recommendation and with a zero fiscal
note by the Department of Law dated 4/10/01 and
the Alaska Court System dated 4/10/01 and an
indeterminate note by the Department of
Administration dated 4/10/01.
HB 194 An Act relating to fees for commercial fishing
licenses and permits; and providing for an
effective date.
CS HB 194 (FIN) was reported out of Committee with
a "do pass" recommendation and with new fiscal
notes by the Commercial Fisheries Entry Commission
and the Department of Fish and Game.
HB 204 An Act relating to the Alaska Commission on
Postsecondary Education and the Alaska Student
Loan Corporation; relating to student financial
aid programs and the financing of those programs;
establishing the Alaska Advantage Loan Program and
the Alaska Supplemental Education Loan Program;
increasing the bonding authorization of the Alaska
Student Loan Corporation; providing for liens
resulting from a default under AS 14.43 or AS
14.44; relating to the duties of the recorder
regarding those liens; relating to defaults under
the Western Regional Higher Education Compact;
relating to the prohibition on discrimination
regarding programs under AS 14.43; relating to
fees for the review of certain postsecondary
institutions; making conforming amendments; and
providing for an effective date.
HB 204 was reported out of Committee with a "do
pass" recommendation and with a fiscal note by the
Alaska Commission on Postsecondary Education dated
4/04/01.
HOUSE BILL NO. 194
An Act relating to fees for commercial fishing licenses
and permits; and providing for an effective date.
REPRESENTATIVE GARY STEVENS commented that a good compromise
had been reached which was included in the committee
substitute, work draft version 22-LS0441\B, Utermohle,
4/17/01.
Representative Hudson MOVED that committee substitute
version be the version of the bill before the Committee.
There being NO OBJECTION, it was adopted.
Representative Harris MOVED to ADOPT Amendment #1, 22-
LS0441\O.2, Utermohle, 4/09/01. [Copy on File]. Co-Chair
Mulder OBJECTED for the purpose of discussing concerns
previously voiced by the Committee.
Representative Stevens noted that the changed language would
insert the words:
"not to exceed a maximum of $50 for each license holder
for each year;".
Representative Stevens stated that the increase would add
more money into the fund than necessary, which had been
addressed through the amendment.
Co-Chair Mulder questioned where the excess money would go.
Representative Stevens replied that the money would
eventually end up in commercial fisheries. He added that
the fishermen were "happy" with the proposed change.
KEVIN BROOKS, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF FISH AND GAME, explained that the revenue from
the sale of the licenses was addressed in the language in
the front of the bill, placing a deposit into the Fish and
Game Fund. There is a component in that Fund which has been
separated out for the commercial fisheries and it is
available for appropriation for commercial fishing projects.
Representative Davies asked what the fiscal impact would be.
Mr. Brooks replied that without the amendment, there would
be a potential increase of $116 thousand dollars, and that
by FY03; it would amount to $300 thousand dollars.
Co-Chair Mulder WITHDREW his OBJECTION. Representative
Croft pointed out that the drafters should note that the
page numbers shifted with the adoption of the current
version. There being NO FURTHER OBJECTION, Amendment #1 was
adopted.
Representative Davies MOVED a change to Page 4, Line 9,
deleting "does not exceed" and inserting language "is as
close as is practical to". Co-Chair Williams OBJECTED for
purposed of discussion.
Representative Davies explained the bill would provide
direction. He stated that it should not be equal to the
maximum as the amounts vary from year to year. The proposed
language would give the necessary instruction to maximize
the concern.
Representative Hudson suggested a "friendly" amendment,
deleting the language proposed by Representative J. Davies
and instead adding "is". Representative Davies explained
that the other language had been chosen as a result from
previous discussion requiring them to enter a maximum amount
every year. Representative Hudson WITHDREW his MOTION to
amend.
Mr. Brooks commented that the fee had been based on the
prior year's expenditures. Much of the language is to deal
with the logistics of that. At the heart of the license
issue, originally there was a $500 dollar spread.
Historically, the charge was between $30 and $90 dollars.
Now it is between $60 and $125 dollars. He pointed out that
the gap is $100 dollars or less. If the Courts came back
with a differential, there could be a crewmember charge of
$60 dollars for a resident and $160 dollars for a non-
resident. He discussed the magnitude of the differential on
the low end rather than focusing on the high end.
Representative Stevens referenced Page 2, Line 13, advising
that the wording would need to be changed there
additionally.
Representative Davies MOVED the amendment to include
language on both Page 2 and Page 4.
Co-Chair Williams WITHDREW his OBJECTION. There being NO
further OBJECTION, the amendment was adopted.
Co-Chair Mulder pointed out that there was no fiscal note
from the Department of Fish and Game. Mr. Brooks indicated
that it would be forth coming.
Co-Chair Mulder MOVED to report CS HB 194 (FIN) out of
Committee with individual recommendations and with the
accompanying fiscal notes.
CS HB 194 (FIN) was reported out of Committee with a "do
pass" recommendation and with a fiscal note by the
Commercial Fisheries Entry Commission and the Department of
Fish and Game.
HOUSE BILL NO. 187
An Act relating to the destruction, desecration, and
vandalism of cemeteries and graves.
REPRESENTATIVE JIM WHITTAKER introduced his Chief of Staff,
Lori Backes. He noted that under the current Alaska
Statutes, there are no provisions relating to the vandalism
or desecration of modern cemeteries and memorials.
LORI BACKES, STAFF, REPRESENTATIVE JIM WHITAKER, commented
that acts of vandalism are currently punishable under
statutes that relate to criminal mischief, however, the
degree of crime centers around monetary value of the damage
and does not recognize the personal insult and emotional
injury to a family, community or tribe that has suffered
when these areas are vandalized.
Ms. Backes noted that HB 187 clearly states that it is a
crime of criminal mischief in the second degree if a person
intentionally abuses these sites. The bill would insert
language into statutute making it a crime of criminal
mischief in the second degree. Recognizing that there may
be circumstances where memorials, tombs or gravesites must
be altered, moved or removed, HB 187 places into statute an
affirmative defense if the defendant is an employee of the
cemetery acting on behalf of the cemetery or is "otherwise
authorized by law to engage in the conduct.
Vice-Chair Bunde asked how the legislation would impact
archeological digs. Ms. Backes explained that
Representative Whitaker's office had been in contact with
the University of Alaska's Anthropology Department and they
have no problem with the wording of the legislation. They
are already protected under laws that allow them to obtain
State permits and/or federal permits if the sites are on
federal land.
Vice-Chair Bunde asked if the legislation would give false
hope to certain Native groups that think that archeological
digs would stop with passage of the legislation. Ms. Backes
replied that the legislation would not give them false hope.
Burial sites are already protected under the Preservation
Act. The hope that the bill is attempting to give is that
there will be some type of penalty that a person could be
charged with if a person were to damage a modern cemetery.
The bill's verbiage does not address the historic sites.
Representative Whitaker added that the bill was not all
encompassing and that it should not be misconstrued to be.
Representative Croft asked the appeal portion found in AS
41.25.200©. Ms. Backes replied that statute was the portion
of statute intended to protect gravesites, however, it had
been placed under the Alaska Historic Preservation Act. The
concern with that is that it would mainly protect historical
burial sites, not modern cemeteries. The proposed bill
would move the protection to another statute.
Representative Croft referenced Page 2, Line 18, noting that
the exception when on a State permit. He asked when on
federal land, would the archeological digs have to obtain
both a State and federal permit. Ms. Backes explained that
on federal land, they would not need to obtain a State
permit. She stated that the bill drafter suggests that the
language "authorized by law" would cover that concern.
Representative Davies asked what the penalty for crime of
criminal mischief in the second degree would be classified
as. Ms. Backes advised that penalty would be a Class C
felony and would result up to five years in prison and a
$50,000 dollar fine.
Representative Whitaker interjected that it was intentional
to raise it to that level. He noted that there had been
extensive hearings in the House Judiciary Committee
regarding those concerns. He added that there would be no
fiscal impact.
Representative Hudson MOVED to report CS HB 187 (JUD) out of
Committee with individual recommendations and the fiscal
notes.
Representative Harris asked the reason for the indeterminate
fiscal note by the Department of Administration. Ms. Backes
explained that it was indeterminate because the Department
is not certain how often there would be prosecuted cases
coming forward and what those costs would be.
There being NO OBJECTION, it was so ordered.
CS HB 187 (JUD) was reported out of Committee with a "do
pass" recommendation and with zero fiscal notes by the
Department of Law dated 4/10/01, the Alaska Court System
dated 4/10/01, and Department of Administration dated
4/10/01.
HOUSE BILL NO. 204
An Act relating to the Alaska Commission on
Postsecondary Education and the Alaska Student Loan
Corporation; relating to student financial aid programs
and the financing of those programs; establishing the
Alaska Advantage Loan Program and the Alaska
Supplemental Education Loan Program; increasing the
bonding authorization of the Alaska Student Loan
Corporation; providing for liens resulting from a
default under AS 14.43 or AS 14.44; relating to the
duties of the recorder regarding those liens; relating
to defaults under the Western Regional Higher Education
Compact; relating to the prohibition on discrimination
regarding programs under AS 14.43; relating to fees for
the review of certain postsecondary institutions;
making conforming amendments; and providing for an
effective date.
DIANE BARRANS, EXECUTIVE DIRECTOR, POSTSECONDARY EDUCATION
COMMISSION, DEPARTMENT OF EDUCATION, explained that the
Alaska Student Loan Program has achieved great success in
the past few years. The Commission on Postsecondary
Education and the Alaska Student Loan Corporation have
turned the program around, running it in the black for the
first time in history and paying a dividend back to the
State. The bill would establish the AlaskaAdvantage Loan
Program. Under the legislation, Alaska would participate in
the federal guaranteed student loan program, which brings
benefits including low interest rates for borrowers and
reduces risk to the State through federal loan guarantees.
Ms. Barrens testified that the bill would create a
supplemental loan program to provide financial assistance in
the event that the AlaskaAdvantage Loan program was
insufficient to cover education costs if the student does
not qualify for assistance under the federal guaranteed
student loan program. The bill would create a one-stop
financial aid information center and financial opportunity,
guarantee the lowest possible borrowing rates, streamline
aid delivery and reduce financial risk to the State through
the federal guarantee. The program would also offer
expanded options for borrowers with special needs in loan
repayment.
Co-Chair Mulder pointed out the renaming of the student loan
program. Ms. Barrens replied that because there would be
loans offered to none resident students, the choice was to
go with a "generic" name.
Co-Chair Mulder referenced Page 11, the increase bond
issuance by $75 million dollars. Ms. Barrens replied that
at this point, it is not anticipated that the annual bonding
will need to be increased, however, in the future if there
is a substantial jump, the Division would like to be able to
make that effort.
Co-Chair Mulder clarified that only bonds necessary to
substantiate the application would be issued. Ms. Barrans
replied that was correct.
Vice-Chair Bunde asked about the students that remain in
Alaska following graduation. Ms. Barrens explained that the
State believes that there could be efficiencies created with
the automation and connection with the institutions in
Alaska that could result in lower servicing costs of the
loans. The bill proposes to offer a preferred interest
reduction for individuals that remain in Alaska. There
currently is not a program of that kind in existence. The
financial model that underlies the program has some new
revenues coming into the corporation. In the past, the
Division lost money and those programs were not feasible.
As the Commission has moved from the "red" into the "black",
they have been reluctant to be overly aggressive of reducing
costs at the low market without some revenue stream
associated with that. The benefits of the program will
allow the Commission to afford new programs.
Vice-Chair Bunde asked the current "dead beat" rate. Ms.
Barren replied that there are not good statistics on the
average debt of the person graduating from the program. The
average debt of a borrower is around $15,000 dollars. She
added that this year, the default rate fell below 10%.
Representative Davies inquired the incentives for the
students that stay within the State and at what point would
they become eligible. He pointed out that if the incentives
were not provided to the students, the dividend to the State
would become larger.
Ms. Barrens explained that as the Commission moves forward
for the next six to nine months, they will be undertaking
financial modeling. At this time, the plan is to make it
available to anyone who borrows to attend an institution in
Alaska or for those attending outside Alaska, they would
need to return to Alaska upon graduation. Administratively,
that would be a much simpler benefit to pay out. The
rational is that if you live in Alaska or attend school in
Alaska, the costs to the program are lower and therefore
that piece of interest paid for servicing should be lower.
Ms. Barrans added that because the dividend amount is
formulated and is a certain percentage of the net income,
anything that would reduce the net income would affect the
dividend to the State. She explained that one of the things
that the bill does is clarifies the mission of the
Corporation which, must be focused on the students served
and the borrowing customers. The decisions that would
reduce net income would be a direct benefit to borrowers and
would occur through the bill. She stressed that it is
important to the corporation to have that language included
in the bill.
TAPE HFC 01 - 83, Side B
Representative Hudson inquired if there was anything that
would modify the cost of the loan. Ms. Barrens noted that
there is not currently a cap on the interest that could be
charged on a loan; rather it is tied to the interest that
could be charged on a loan. It is tied to the financing of
the program. The bill would establish a cap. Ms. Barrans
added that the residency definition was not changed, but it
does allow the loans to be made to people that come to
Alaska to go to an Alaskan institutions. That is a change.
She added that change is one that the Commissioner believes
is necessary.
Vice-Chair Bunde MOVED to report HB 204 out of Committee
with individual recommendations and with the accompanying
fiscal notes. Representative Davies OBJECTED.
Representative J. Davies pointed out that there was not a
fiscal note included that indicates the effect on the
general fund. Ms. Barrans replied that the fiscal note
included with the bill is a positive fiscal note.
Implementing the program would be creating a positive effect
on the net income of the Corporation. What is not included
are the various pieces. The Corporation will have the
flexibility within its own statute to authorize benefit
programs to the borrowers. There is nothing that states
there should be a net zero value and the Commission could
offer below market rate interest. That rate would be
variable and the rate is not known and cannot be factored
into the fiscal note.
Representative Davies stated that he had a bill
substantially similar to a portion of the proposed
legislation. He advised that bill currently was in the
House Finance Committee.
Representative Whitaker understood that the Corporation
anticipates an increased number of loans. He asked how it
could be predicted that the dividend would decrease. He
acknowledged that it would be difficult to predict the
fiscal impact. Ms. Barrans agreed that this is a dilemma
and at this point the deferred terms need to be established.
Until the volume is assessed, it is nebulous. The reason
that the cost can be estimated, the interest rate should be
15-100 basis points below the rate charged other borrowers.
That is how the fiscal impact was calculated for the
program.
A roll call vote was taken on the motion.
IN FAVOR: Bunde, Foster, Harris, Hudson, Lancaster,
Whitaker, Williams, Moses
OPPOSED: Croft, Davies
Co-Chair Mulder was not present for the vote.
The MOTION PASSED (8-2).
HB 204 was reported out of Committee with a "do pass"
recommendation and with new fiscal notes by the Alaska
Commission on Post Secondary Education and the Department of
Fish and Game.
HOUSE BILL NO. 76
An Act authorizing the commissioner of health and
social services to provide for the design and
construction of psychiatric treatment facilities to
replace the facilities of the Alaska Psychiatric
Institute.
REPRESENTATIVE NORMAN ROKEBERG noted that HB 76 would
provide the replacement of the Alaska Psychiatric Institute
(API) go forward with a mixture of funds already
appropriated ($22,200,000) and proceeds from certificates of
participation to be issued by the State Bond Committee. The
legislation provides that the Commissioner of the Department
of Health & Social Services would work with the Department
of Corrections, the University of Alaska-Anchorage,
Providence Hospital in Anchorage, Alaska Regional Hospital
in Anchorage and the Municipality of Anchorage in the design
and construction of the replacement for API.
Representative Rokeberg discussed that the bill would
require that, as a part of any replacement of API, a
forensic psychiatric unit be included. Currently, there is
a 10-bed forensic psychiatric unit and the legislation would
require that such a unit be a part of the replacement
facility. The unit would be a facility for the assessment,
treatment, custody and confinement of mentally abnormal
criminal offenders as is the current facility.
The legislation encourages various State and local agencies
to cooperate in the development of the replacement facility.
Representative Rokeberg urged Committee's support of the
legislation.
Representative Rokeberg stressed the need to bring better
treatment facilities for patients. He noted that a forensic
unit would help provide local support. Issues are being
resolved. The facility is needed and the Legislature has
already provided substantial funds.
Representative Hudson noted that the total funding would be
$58 million dollars and that $19 million dollars was already
available. Representative Rokeberg understood that there was
$22 million dollars currently available.
KAREN PERDUE, COMMISSIONER, DEPARTMENT OF HEALTH AND SOCIAL
SERVICES, provided information regarding the legislation.
[Copy on File]. She observed that the issue has been before
the State for many years.
RANDAL BURNS, CEO, ALASKA PSYCHIATRIC INSTITUTE, ANCHORAGE,
provided information regarding the legislation. [Copy on
File]. He spoke in support of the replacement and noted
that the building does not meet standards. There are urgent
problems making its replacement necessary.
· API is permeated with hazardous material asbestos;
· Its fire, life safety and mechanical support
systems are worn out;
· The roof needs replacement; and
· The structure does not meet the current seismic
code.
Mr. Burns commented that API must be replaced:
· It was not designed as a psychiatric hospital and
its physical layout is not conductive to patient
care and treatment;
· API has had 39 years of hard use; and
· The need to replace the old API was recognized
long ago and replacement efforts have been ongoing
for 13 years.
Mr. Burns continued that a March 2001 report just issued by
Koonce Pfeffer Bettis, Inc. of Anchorage estimates the cost
of renovation to range between $74.5 million and $81.1
million dollars. It would be cheaper to construct a new
facility than to abate the asbestos and make the renovations
needed to make API a modern, efficient psychiatric hospital.
Mr. Burns commented on solutions that have been attempted in
the past.
· Constructing a replacement facility, however, the
implementation was halted when construction bids
substantially exceeded both engineering estimates
and appropriated funding and only the lack of
sufficient capital prevented success.
· Strategic partnerships with neighboring
institutions proved unsuccessful when essential
land swaps among partners could not be
accomplished and the partners withdrew and the
partners withdrew.
· Purchase a replacement was considered. Charter
North Hospital was the only real purchase
alternative. After two year, local planning and
zoning decisions and strong neighborhood
opposition made it impossible to complete the
purchase and use the facility.
Mr. Burns commented on what should be done now. He
recommended that the only realistic option for replacing API
would be the construction of a replacement hospital on land
very near the existing facility. He mentioned that there
has been an agreement made regarding the complicated
situations. The University of Alaska Medical landowners and
the institutions have agreed to a parcel from the Alaska
Mental Health Trust Authority (AMHTA) for the new facility.
AMHTA, Providence Hospital, the University and the
Department of Health and Social Services have signed an
agreement.
· The agreement sets forth the framework for land
conveyances, potential land purchases and
exchanges, and continued commitments to working
agreements.
· It sets the parameters for the future development
of the important University-Medical District in
Anchorage.
Mr. Burns advised that the parties believe building on the
U-Med parcel makes sense.
· The API parcels are zoned for the use;
· API is a well-established, accepted and necessary
institution on its present site;
· UAA nursing students do their psych rotations at
API each semester;
· UAA social work and psychology students intern at
API each semester; and
· WAMI medical students rely on API as a teaching
site.
Mr. Burns noted that building on the present site makes
sense because:
· API must be located near an acute care hospital in
case a person needs to be medically cleared before
admission to API and when the API patient needs
emergency medical care;
· The University Community Council and area
residents are supportive of API; and
· The Alaska Native Medical Center has stated that
it has no plans within the next 10 years to
provide inpatient psychiatric services and will
continue to rely on API.
Mr. Burns commented that replacing API would be the key to a
broader effort of:
· Developing private treatment alternatives to API
hospitalization;
· Enhancing the quality of care at API; and
· Replacing the API building.
Mr. Burns spoke to the intent of development of delivery for
community based services and the single point of entry. At
that point, it would be decided where each patient would be
sent.
Mr. Burns acknowledged that there have been questions of why
API is needed. He advised:
· That service is a core function of government and
that API provides the services that private
providers cannot or will not do;
· Patient needs can exceed local private treatment
options;
· Inpatient treatments is nonexistent or uncertain
in some communities; and
· API Treats forensic and NGRI patients and provides
competency evaluation services to the courts.
Mr. Burns commented on why the State should build a hospital
that can accommodate up to 72 beds.
· Successful operations of a smaller facility (54
beds) are contingent on a full array of private
community services;
· Community services are not all in place;
· Future bed needs at API are not predictable with
absolute precision; and
· Irresponsible to build for an ideal situation
without capacity to cope with emergencies or
population growth.
Mr. Burns discussed building with a flexible capacity in
mind. As the State's safety net, API must have a range of
inpatient bed capacity. He stressed that the bottom line is
that API cannot close its doors. API must admit any person
who is involuntarily committed or court-ordered to API for
evaluation and/or treatment.
Mr. Burns emphasized that the Legislature could help to
solve these problems through passing HB 76.
Representative Hudson asked if the increased operational
costs had been computed. Mr. Burns replied that the
operating costs would drop. Currently, a very "poor"
heating system exists, however, staying at the current bed
size, there would not be a reduction in staff costs.
Representative Hudson inquired if Alaskans are currently
being sent out-of-State. Mr. Burns replied that no one is
being sent out-of-State.
Commissioner Perdue commented that it was the intent to have
as small of a hospital as possible. The community hospitals
have developed the first level of response on these
concerns, which is being encouraged throughout the entire
State. In Anchorage, API is filling that function. API is
the last resort for many of the patients.
Commissioner Perdue stated that over the next ten years, it
is anticipated that there will be other community efforts
that help people to do readmissions to API.
Co-Chair Williams noted that it was not his intention to
move the bill from committee at this time. He noted that a
committee substitute would be prepared and at that time,
there would be public testimony taken.
Vice-Chair Bunde endorsed keeping the hospital at a small
size.
In response to Vice-Chair Bunde, Commissioner Perdue
acknowledged that hospital care is the most expensive care
and for patients that do not need that, it is important to
try to keep crisis from escalating. She pointed out that in
less than two decades, the community process has made
tremendous progress in meeting the needs of the mentally ill
in the Alaskan communities.
TAPE HFC 01 - 84, Side A
Representative Lancaster asked if the land agreement had
been resolved. Commissioner Perdue stated that the land
agreement had been settled.
JEFF JESSE, (TESTIFIED VIA TELECONFERENCE), EXECUTIVE
DIRECTOR, ALASKA MENTAL HEALTH TRUST AUTHORITY, ANCHORAGE,
testified in support of the proposed legislation and moving
forward with a committee substitute. He noted that a shared
vision for the interest exists, however, the funding
replacement is essential.
Representative Hudson inquired the approximate dollar value
in the land transactions. Mr. Jesse deferred to Steve
Blanche.
STEVE BLANCHE, EXECUTIVE DIRECTOR, ALASKA MENTAL HEALTH
TRUST LAND OFFICE, ANCHORAGE, responded that none of the
budget would go for the land. The hospital would be clearly
a beneficiary purpose under statute making it possible.
Representative Davies questioned if the land deal was
complete. Mr. Blanche replied that AMHTA believes that the
land deal has been substantially completed. It would
require a full set of processes required by statute
regarding the best interest decisions, complete appraisals
for transactions with Providence Hospital, public notice and
Trust Authority consultation. He noted that AMTHA has been
working on the concern for three years.
CAREN ROBINSON, CHAIR, ALASKA MENTAL HEALTH TRUST AUTHORITY,
JUNEAU, added that the members of the Trust Authority are
committed to everything that has been signed off and
acknowledged the rules and regulations, which need to be
followed.
MARGO WARING, ALASKA MENTAL HEALTH BOARD, JUNEAU, stated
that the Board had been working on a replacement for the API
facility for over twelve years. She commented that the
Board recognizes the need for a new building and the need
for a more therapeutic environment for the Alaskan citizens.
The Board has been the primary force in recognizing that the
future of the hospital has to be in an environment of
community-based services.
Ms. Waring added that the Board looks forward to the time
when there is a new hospital that can serve the goal for the
entire State that can focus on a treatment program and
treatment facility for psychiatric services.
Ms. Waring voiced appreciation for Representative Rokeberg's
attention to the needs of the State efforts for bringing
forward an acute care facility.
WENDY REDMAN, VICE PRESIDENT, STATEWIDE PROGRAMS, UNIVERSITY
OF ALASKA, FAIRBANKS, noted that the University has been
involved with the community plan. The Board of Regents have
voiced their support for the plan. She admitted that the
area that will be used will be a little "land-locked" and
that there will be many mutual programs and purposes. The
agreement of shared vision cannot go forward without the
construction funding. She urged the Committee's support for
the legislation.
HB 76 was HELD in Committee for further consideration.
ADJOURNMENT
The meeting was adjourned at 3:35 p.m.
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