Legislature(2001 - 2002)
05/05/2001 03:42 PM House FIN
| Audio | Topic |
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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
May 05, 2001
3:42 P.M.
TAPE HFC 01 - 115, Side A
TAPE HFC 01 - 115, Side B
TAPE HFC 01 - 116, Side A
CALL TO ORDER
Co-Chair Williams called the House Finance Committee meeting
to order at 3:42 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
ALSO PRESENT
Bob Loeffler, Director, Division of Mining, Land and Water,
Department of Natural Resources; Peter Eckland, Staff,
Representative Bill Williams; Denny DeWitt, Staff,
Representative Eldon Mulder; Senator Alan Austerman; John
Bitney, Legislative Liaison, Alaska Housing Finance
Corporation, Department of Revenue; David Teal, Director,
Legislative Finance Division; Kenneth Bischoff, Director,
Division of Administrative Services, Department of Public
Safety; Eddy Jeans, Manger, School Finance and Facilities
Section, Department of Education and Early Development; Dan
Spencer, Director, Division of Administrative Services,
Department of Administration.
SUMMARY
HB 185 An Act relating to fees for certain uses of state
water and the accounting and appropriation of
those fees; relating to authorizations for the
temporary use of state water; making other
amendments to the Alaska Water Use Act; and
providing for an effective date.
CS HB 185 (FIN) was reported out of Committee with
a "do pass" recommendation and with a new fiscal
note by Department of Natural Resources.
CS SB 29 (FIN)
An Act making and amending appropriations and
reappropriations; making appropriations under art.
IX, sec. 17(c), Constitution of the State of
Alaska, from the constitutional budget reserve
fund; and providing for an effective date.
HCS CS SB 29 (FIN) was reported out of Committee
with a "do pass" recommendation.
HOUSE BILL NO. 185
An Act relating to fees for certain uses of state water
and the accounting and appropriation of those fees;
relating to authorizations for the temporary use of
state water; making other amendments to the Alaska
Water Use Act; and providing for an effective date.
Representative Davies MOVED to ADOPT 22-GH1087\P, Luckhaupt,
5/04/01, as the version of the bill before the Committee.
[Copy on File]. There being NO OBJECTION, it was adopted.
BOB LOEFFLER, DIRECTOR, DIVISION OF MINING, LAND AND WATER,
DEPARTMENT OF NATURAL RESOURCES, commented that the bill was
only one part of a solution for the Department. The Water
Management program has had a significant funding reduction
in the past several years. Currently, there are 3.5
employees running the program and the resulting consequences
is a backlog of 6,700 claims for water rights and 3,000
total actions including transfers, amendments and permit
extensions.
Mr. Loeffler addressed possible solutions:
· Streamlining the system. The Department cannot
pretend that they have enough funds to operate the
system, as it existed in the early 1980's. The
Department is proposing regulations to streamline
65% of the caseload and concentrate staff on
larger water flows and where there could be
potential for problems.
· There is $300 thousand dollars in the House and
Senate operating budgets. Even a streamlined
system could not be run statewide with four
employees. An increment consisting of $300
thousand dollars has passed the House and Senate
operating budgets.
· A long-term income source. The proposed bill will
provide that the Department may change the
reasonable direct costs of providing a service,
and would place strict limitations on what the
Department could charge to assure the public that
they will not raise fees unreasonably.
Mr. Loeffler listed a summary of bill's purpose:
· Fee limitations and
· Temporary water use authorizations.
Vice-Chair Bunde voiced concern with the large backlog of
cases. Mr. Loeffler replied that it would take four to five
years to address that size backlog. The backlog will be
prioritized, as some of the cases are not time critical.
Representative Hudson advised that funds had been added back
to address that backlog. He hoped the legislation would
help the situation and then the Department could take action
on the water permits. He believed it would take about 30
days.
Representative Lancaster inquired why no new employees would
be starting in FY02. Mr. Loeffler explained that the
employee in FY02 had already been included in the operating
budget. He added that the bill has a one-year sunset, which
he did not understand why it had been placed on the bill in
the House Judiciary committee.
Co-Chair Williams pointed out that there had been concern
voiced with extending that sunset. He added that the
Department acknowledged that they would be able to "live
with it" as currently written.
Representative Davies MOVED to ADOPT Amendment #1. [Copy on
File]. He noted the language would insert the phrase, "and
a water conservation fee under AS 46.15.035". Vice-Chair
Bunde OBJECTED for purposes of discussion.
Representative Davies explained that the amendment would
provide for technical clean up. Vice-Chair Bunde WITHDREW
the OBJECTION. There being NO further OBJECTION, Amendment
#1 was adopted.
Representative Foster MOVED to report CS HB 185 (FIN) out of
Committee with individual recommendations and with the
accompanying fiscal note. There being NO OBJECTION, it was
so ordered.
CS HB 185 (FIN) was reported out of Committee with a "do
pass" recommendation and with a new fiscal note by
Department of Natural Resources.
Recess: 4:05 p.m.
Reconvene 4:15 p.m.
CS FOR SENATE BILL NO. 29(FIN)
An Act making and amending appropriations and
reappropriations; making appropriations under art. IX,
sec. 17(c), Constitution of the State of Alaska, from
the constitutional budget reserve fund; and providing
for an effective date.
Representative Hudson MOVED that 22-GS1050\L, Cramer,
5/5/01, be the version of the bill before the Committee.
There being NO OBJECTION, it was so ordered.
Co-Chair Williams pointed out that his office had been
working with the bill for the entire session. He referenced
the amendments.
Representative Croft MOVED to ADOPT Amendment #1. [Copy on
File]. Co-Chair Williams OBJECTED.
OFFICE OF THE GOVERNOR
ADD:
Funding Source
General Fund $600,000
New Section to read:
Sec.___OFFICE OF THE GOVERNOR. The sum of $600,000 is
appropriated from the lapsing general fund balance of
the appropriation made in Sec. 1, ch. 133, SLA 2000,
page 13, line 29, and allocated on lines 30-31 to the
Office of the Governor, division of elections for
expansion of the AccuVote elections system.
Representative Croft commented that the amendment would
address needs for the Division of Elections. It would add
Accu-Vote machines in four major regions. It would place
Alaska "ahead of the curve" in that area. He requested that
the increment be funded.
Co-Chair Williams commented that the funding source was not
agreeable.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Moses, Croft
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Williams, Mulder
Vice-Chair Bunde was not present for the vote.
The MOTION FAILED (3-7).
Representative Davies requested that Amendment #2 and #3 be
HELD in Committee. [Copies on File].
Representative Croft MOVED to ADOPT Amendment #4. [Copy on
File]. Co-Chair Williams OBJECTED.
UNIVERSITY OF ALASKA
ADD:
UAA-Science/Biomedical Facilities Renovations
Fund Source
General Fund $5,500,600
ADD:
UAA-Classroom Renovations
Fund Source
General Fund $2,560,000
Representative Croft explained that the amendment would be
used to help fund some of the University of Alaska in
Anchorage facilities by upgrading existing instructional and
research labs and renovating the building interior to
accommodate the academic needs of the new Teacher Training
Preparation Grant.
Co-Chair Mulder responded that this is not the time for that
project. He added that it may happen in the near future.
A roll call vote was taken on the motion.
IN FAVOR: Croft, Davies, Moses,
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Bunde, Williams, Mulder
The MOTION FAILED (3-8).
Representative Croft MOVED to ADOPT Amendment #5. [Copy on
File]. Co-Chair Williams OBJECTED.
DEPARTMENT OF EDUCATION & EARLY DEVELOPMENT
Head Start & Safety Repairs
DELETE:
Fund Source
General Funds $200,000
ADD:
Fund Source
General Funds $300,000
Representative Croft explained that the amendment would
provide funding for necessary improvements in order to meet
the standards. He pointed out that the operating budget for
the programs is too lean to include such repairs.
A roll call vote was taken on the motion.
IN FAVOR: Croft, Davies, Moses,
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Bunde, Williams, Mulder
The MOTION FAILED (3-8).
Representative Davies WITHDREW Amendment #6. [Copy on
File].
Representative Croft MOVED to ADOPT Amendment #7. [Copy on
File]. Co-Chair Williams OBJECTED.
ANCHORAGE COURTS
Anchorage Wellness Court
DELETE:
Funding Source
General Fund $75,000
ADD:
Funding Source
General Fund $272,000
Representative Croft explained that the amendment would
provide funding for the Anchorage Wellness Court, which has
been funded by a federal grant. That grant is not
sufficient to carry the program through the end of FY02.
Co-Chair Mulder explained that there is $75,000 in the
Capital Budget and that there is additional funding in the
fiscal notes of the operating budget.
Co-Chair Williams advised that there is sufficient funding
for the program for FY02.
Representative Croft WITHDREW Amendment #7.
Representative Davies MOVED to ADOPT Amendment #8. [Copy on
File]. Co-Chair Williams OBJECTED.
DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT
Export Certification Program
ADD:
Funding Source
General Funds $80
Representative J. Davies explained that the facility is
needed for the storage of seed stock until sufficient
quantity is available for shipping.
Co-Chair Williams pointed out that the item had not been
included in the Governor's request or in the Senate's
version of the Capital Budget. He pointed out that the
funding would be straight general funds.
Representative Davies WITHDREW Amendment #8.
Representative Croft MOVED to ADOPT Amendment #9. [Copy on
File]. Co-Chair Williams OBJECTED.
DEPARTMENT OF PUBLIC SAFETY
Grants to Domestic Violence Shelters
ADD:
Fund Source
General Funds $200,000
Representative Croft explained that there is approximately
$900,000 dollars in repairs and code compliance projects
identified by the Council funded programs. The request
would address a small portion of the projects.
Co-Chair Williams commented that this was a low priority for
the Department. He added that the Department of Public
Safety was receiving funding for a new computer system this
year.
A roll call vote was taken on the motion.
IN FAVOR: Croft, Davies, Moses,
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Bunde, Williams, Mulder
The MOTION FAILED (3-8).
Representative Davies MOVED to ADOPT Amendment #10. [Copy on
File]. Co-Chair Williams OBJECTED.
DEPARTMENT OF ADMINISTRATION
Emergency Communications Infrastructure Support
ADD:
Funding Source
General Fund $650.0
Representative J. Davies commented that this item had been
proposed in the operating budget; however, it had been
placed in the capital budget in previous years. The focus
would be on the emergency communications infrastructure.
He did not think that it should be part of the charge back
system. He thought that it should be funded as a separate
item.
Co-Chair Mulder advised that the item was still "open" in
Conference Committee and is being worked on.
Representative Davies WITHDREW Amendment #10. [Copy on
File].
Representative Croft MOVED to ADOPT Amendment #11. [Copy on
File]. Co-Chair Mulder OBJECTED.
DEPARTMENT OF ADMINISTRATION
Office of Public Advocacy
ADD:
Funding Source
General Fund $1,608,400
Funding Source
General Fund $77,410.93
Representative Croft proposed that there are two "serious"
concerns listed in the supplemental budget. Amendment #11
would address the concerns registered by the Office of
Public Advocacy (OPA). The funding requested would be used
for work which has already been completed.
Co-Chair Mulder interjected that the Subcommittee was
attempting to find a funding source for a portion of the
need.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Moses, Croft
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Bunde, Williams, Mulder
The MOTION FAILED (3-8).
Representative Croft MOVED to ADOPT Amendment #12. [Copy on
File]. Co-Chair Williams OBJECTED.
DEPARTMENT OF COMMUNITY & ECONOMIC DEVELOPMENT
Power Cost Equalization
ADD:
Funding Source
Power Cost Equalization (PCE)
and Rural Development Capitalization Fund
$1,546,300
Representative Croft stated that Power Cost Equalization
(PCE) had been hit deeply for fuel costs.
Co-Chair Mulder commented that the statutory agreement
reached a couple years ago was that $15.7 million dollars
would be used to fund PCE.
Representative Lancaster noted that the Department had
received a carry forward of $1.4 million dollars from FY00.
He assumed that there should not be a problem with the
current proposed budget.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Moses, Croft
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Bunde, Williams, Mulder
The MOTION FAILED (3-8).
Representative Davies MOVED to ADOPT Amendment #13. [Copy
on File]. Co-Chair Mulder OBJECTED.
DEPARTMENT OF COMMUNITY & ECONOMIC DEVELOPMENT
Rural Power Systems Upgrade (ED99)
ADD:
Funding Source
General Fund Match $500.0
Representative Davies explained that the amendment would
provide $500 thousand dollars for the Rural Power Systems
upgrade. He commented that it would be a cost effective
appropriation.
Co-Chair Williams explained that the Denali Commission had
received federal money in the past. That funding is not
expected to be lost.
Representative Davies understood that it was not Senator
Stevens' intent to supplant State funding for the Denali
Commission. The State should maintain an effort.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Moses, Croft
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Bunde, Williams, Mulder
The MOTION FAILED (3-8).
Representative Croft WITHDREW #14. [Copy on File].
Representative Davies MOVED to ADOPT Amendment #15. [Copy
on File]. Co-Chair Williams OBJECTED.
DEPARTMENT OF NATURAL RESOURCES
Forest Legacy Federal Grant Program (ED99)
ADD:
Funding Source
1002 Federal Receipts $500,000
Representative Davies explained that the amendment would
allow the State to buy land for protecting habitat use. He
added that the State should take advantage of the federal
money that is available.
Co-Chair Williams voiced his concern with that idea.
Representative Davies indicated that the money was already
established as "inholdings". Those monies do not have a
market value and are restricted. They could be listed at
fair market value. Co-Chair Williams disagreed.
Representative J. Davies noted that he would be willing to
add a stipulation limiting it to "in holding" land only.
Representative Davies MOVED to amend Amendment #15 to
include the requirement that the money only be expended for
"in holdings" within existing park units.
Co-Chair Williams WITHDREW his OBJECTION. There being NO
further OBJECTIONS, Amendment #15 was adopted.
Representative Croft WITHDREW #16. [Copy on File].
TAPE HFC 01 - 115, Side B
Representative Davies WITHDREW Amendment #17. [Copy on
File].
Recess: 4:45 P.M.
Reconvene: 4:55 P.M.
Representative Croft MOVED to ADOPT Amendment #18. [Copy on
File]. Co-Chair Mulder OBJECTED.
DEPARTMENT OF MILITARY & VETERANS AFFAIRS
Rural Affairs Coordinator Program
ADD:
Funding Source
General Fund $107,000
Representative Croft explained that the Alaska National
Guard would see a further erosion of its ability to recruit
and retain members from rural areas of the State without a
concerted effort in the direction. The Alaska National
Guard Scouts have had a long history with the Guard. The
Department is losing ground in that area and believes that
the funds would assist in the continuation of the Alaska
Scouts in that area. It would be a joint federal/state
team.
Co-Chair Mulder commented that the request had been
discussed during the operating budget. He suggested that
the Department had come out well within their budget.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Moses, Croft
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Williams, Mulder
Vice-Chair Bunde was not present for the vote.
The MOTION FAILED (3-7).
Representative Davies MOVED to ADOPT Amendment #19. [Copy
on File].
DEPARTMENT OF TRANSPORTATION & PUBLIC FACILITIES
Alaska Marine Highway
ADD:
Funding Source
General Fund $181,300
There being NO OBJECTION, the amendment was adopted.
Representative Croft MOVED to ADOPT Amendment #20. [Copy on
File]. Co-Chair Mulder OBJECTED.
OFFICE OF THE GOVERNOR
Commission on Tolerance
ADD:
Funding Source
General Fund $203,400
Representative Croft explained that the amendment was a
possible effort to solve problems that exist throughout the
country. Co-Chair Mulder stated that the Commission was
similar to current task forces that already exist throughout
the legislature.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Moses, Croft
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Bunde, Williams, Mulder
The MOTION FAILED (3-8).
Representative Croft asked if the fiscal note section was
still open in the operating budget. Co-Chair Mulder stated
that it was.
Representative Davies commented that Amendment #21 was an
operating project that is not normally in the Capital
Budget. Co-Chair Mulder acknowledged that it should be
placed in the Capitol Budget.
Representative Croft MOVED to ADOPT Amendment #21. [Copy on
File].
DEPARTMENT OF TRANSPORTATION & PUBLIC FACILITIES
Highway Safety Related Purposes
ADD:
Funding Source
Federal Receipts $848,000
There being NO OBJECTION, Amendment #21 was adopted.
Representative Davies MOVED to ADOPT Amendment #22. [Copy
on File]. Co-Chair Williams OBJECTED.
DEPARTMENT OF REVENUE
AHFC Housing and Urban Development Federal HOME Grant
ADD:
Funding Source
AHFC Corporate Receipts $500,000
Representative Davies explained that without using the
receipts, another $2 million dollars of federal funding
would be left on the table.
Co-Chair Mulder questioned if the other funding source would
be AHFC funds. Representative J. Davies replied they would.
Co-Chair Mulder pointed out that those funds were now fully
obligated. Representative J. Davies did not believe that.
JOHN BITNEY, LEGISLATIVE LIAISON, ALASKA HOUSING FINANCE
CORPORATION, DEPARTMENT OF REVENUE, did not know the total
amount of the AHFC dividend distribution. He pointed out
that there are currently items pending within the Conference
Committee. The largest outstanding component is the $6
million dollar capitalization of the State Debt Retirement
Fund.
Co-Chair Mulder encouraged Committee members to vote no on
the amendment.
DAVID TEAL, DIRECTOR, LEGISLATIVE FINANCE DIVISION, noted
that the funding source of the amendment was corporate
receipts, not dividends. There is a limit of the dividends;
however, there is no limit on the AHFC corporate receipts.
The argument would depend on which funding source is to be
used.
Co-Chair Mulder asked where the corporate receipts would go
if they were not used here. Mr. Teal explained that they
are internal receipts received from AHFC. They could be
used for next year's dividend if the loans were profitable.
Co-Chair Mulder questioned where the monies would be coming
from. Mr. Bitney advised that AHFC makes available $103
million dollars each year, which is divided into two pieces.
The first is a transfer of assets and is part of an overall
plan. The Board will transfer that amount. The amount is
a loss of capital to the corporation. That is the limit of
what the board will approve. Within the State system, there
are various funding sources that label it differently. In
the end, it totals $103 million dollars.
Co-Chair Mulder clarified that all requests would come from
the $103 million dollars. Co-Chair Mulder maintained his
objection.
Representative Davies asked the impact that the $2 million
dollar in federal funding would have on AHFC's ability to
develop corporate receipts in the future. Mr. Bitney
explained that the proposed program has a match requirement
of 25%. The program is made available as grants and it is
geared toward low-income families. He voiced concern that
with the loss of the arbitrage programs in the corporation,
it would affect the area where affordable housing needs
would be met throughout the State. He interjected that AHFC
is trying to develop the arbitrage programs.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Moses, Croft
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Bunde, Williams, Mulder
The MOTION FAILED (3-8).
Recess: 5:10 P.M.
Reconvene: 8:25 P.M.
Co-Chair Williams MOVED to ADOPT Amendment #23. [Copy on
File]. Representative Davies OBJECTED.
DEPARTMENT OF REVENUE
Constitutional Budget Reserve
ADD:
Funding Source
Constitutional Budget Reserve
PETER ECKLAND, STAFF, REPRESENTATIVE BILL WILLIAMS,
explained the changes made through Amendment #23 on:
*Page 5, Line 12
*Page 26, Lines 14-16
*Page 102, Line 28
*Page 110, Line 18
DENNY DEWITT, STAFF, REPRESENTATIVE ELDON MULDER, walked
Committee members through the changes made through Amendment
#23 on:
*Page 68, Line 21
*Page 74, Line 23
*Page 110, Line 11
*Page 110, Line 18
*Page 110, Line 21
*Page 110, Line 23
There being NO OBJECTION, Amendment #23 was adopted.
Co-Chair Williams MOVED to ADOPT Amendment #24. [Copy on
File].
ADDS LANGUAGE:
After the word "construction" would add the language:
"and refurbishing and purchase of fire fighting
equipment, for Lazy Mountain Volunteer Fire
Department."
Co-Chair Williams explained the language. There being NO
OBJECTION, it was adopted.
Co-Chair Williams MOVED to ADOPT Amendment #25. [Copy on
File].
Kodiak-St. Herman Harbor Loading Dock Planning & Design
Under Appropriation Items
DELETE: $250,000
INSERT: $200,000
Under General Funds
DELETE: $250,000
INSERT: $200,000
Kodiak College Parking Lot Expansion
ADD:
General Funds $50,000
Appropriation Items $50,000
There being NO OBJECTION, Amendment #25 was adopted.
Co-Chair Williams MOVED to ADOPT Amendment #26. [Copy on
File].
DEPARTMENT OF COMMUNITY & ECONOMIC DEVELOPMENT
National Petroleum Reserve
ADD:
Funding Source
Federal Receipts $1,728,015
There being NO OBJECTION, Amendment #26 was adopted.
Representative Foster MOVED to ADOPT Amendment #27. [Copy
on File]. He explained that the amendment would move money
from one project in Nome to another.
DELETE:
City of Nome as a match for funds for a pilot program
for a regional learning center.
$300,000
ADD:
City of Nome as a grant for a port construction
project.
$300,000
There being NO OBJECTION, Amendment #27 was adopted.
Representative Davies MOVED to ADOPT Amendment #28.
Representative Davies MOVED to RESCIND action taken on
Amendment #15, which addresses similar issues. There being
NO OBJECTION, action was rescinded.
DEPARTMENT OF NATURAL RESOURCES
Forest Legacy Program
Funding Source
Federal Receipts $500,000
(each year for the next five years)
There being NO OBJECTION, Amendment #27 was adopted.
Co-Chair Williams MOVED to ADOPT Amendment #29. [Copy on
File]. Representative Davies OBJECTED.
DEPARTMENT OF ADMINISTRATION
Emergency Communications
Insert a new subsection:
Budget & Audit Committee $ 6,670,800
Legislative Council $20,786,800
Legislative Operating Budget $ 6,353,900
Mr. DeWitt explained that the amendment would reappropriate
dollars back into the Emergency Communications System. The
system is part of a large system that is being built
throughout the State.
Representative Davies asked how much money would the
increment generate. Mr. DeWitt explained that it would be
approximately $300,000 dollars.
Representative J. Davies WITHDREW his OBJECTION. There
being NO further OBJECTION, Amendment #29 was adopted.
Co-Chair Williams MOVE to ADOPT Amendment #30. [Copy on
File]. Representative Davies OBJECTED.
DEPARTMENT OF ADMINISTRATION
Office of Public Advocacy
Public Defender Agency
New Section
ADD:
Funding Source
General Fund
Office of Public Advocacy $543,000
Public Defender Agency $240,000
Representative Davies asked if those amounts would fill the
need for the current fiscal year. Mr. DeWitt replied that
it would not totally fill that need.
Representative Davies interjected that this was a step in
the "right direction" and proceeded to WITHDRAW his
OBJECTION. There being NO further OBJECTION, Amendment # 30
was adopted.
Co-Chair Williams MOVED to ADOPT Amendment #31. [Copy on
File].
DEPARTMENT OF ADMINISTRATION
Office of Public Advocacy
ADD:
Funding Source
General Fund $70,000
There being NO OBJECTION, Amendment #31 was adopted.
Co-Chair Williams MOVED to ADOPT Amendment #32. [Copy on
File].
DEPARTMENT OF ADMINISTRATION
Office of Public Advocacy
ADD:
Funding Source
Alaska Court System
Special Project for Child Protection
$30,000
There being NO OBJECTION, Amendment #32 was adopted.
Co-Chair Williams MOVED to ADOPT Amendment #33. [Copy on
File]. Representative Davies OBJECTED.
DEPARTMENT OF TRANSPORTATION & PUBLIC FACILITIES
To Department of Public Safety
Village Public Safety Officer Program (VPSO)
DELETE (DOTPF): $150,000
INSERT (DPS): $125,000
Mr. DeWitt explained that the amendment would offer a carry-
over of approximately $125,000 dollars for the VPSO program.
He explained how it would be used for increasing the
appropriation that is in HB 103.
Representative Davies questioned if it would allow for the
hiring of more VPSO officers or an increase in the pay.
KENNETH BISCHOFF, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF PUBLIC SAFETY, replied that it would
be used to hire more VPSO officiers. He added that these
are not State positions but rather non-profit employees.
Representative J. Davies WITHDREW his OBJECTION. There
being NO further OBJECTION, Amendment #33 was adopted.
Vice-Chair Bunde referenced discussion regarding the study
of the proposed magnitude for Department of Education &
Early Development.
EDDY JEANS, MANGER, SCHOOL FINANCE AND FACILITIES SECTION,
DEPARTMENT OF EDUCATION AND EARLY DEVELOPMENT, commented
that the Department has been on record tracking HB 203,
requesting that the report be completed and submitted to the
Legislature by January 15, 2003.
Vice-Chair Bunde asked if the State would be "better off"
waiting a year. Mr. Jeans acknowledged that was the
Administration's position. Vice-Chair Bunde MOVED to
RESCIND action taken on adopting Amendment #23. There being
NO OBJECTION, action was rescinded.
TAPE HFC 01 - 116, Side A
Vice-Chair Bunde MOVED to AMEND Amendment #23, Page 2, Line
17, change the date from "2002" to "2003". Representative
Croft OBJECTED.
Representative Croft referenced the original bill, SB 36,
and discussion regarding the sunset. He spoke to the cost
factors meeting as quickly as possible. It is known that
the current cost factors which the State is operating with,
do not work. The entire formula that the State government
is based upon is wrong and needs to be made right. It
should not be delayed.
Co-Chair Williams pointed out that the Department requests
that it be extended.
Representative Lancaster asked if it would take that long to
get a report to study from the Department.
Representative Davies MOVED to AMEND the amendment to March
31, 2002. Vice-Chair Bunde OBJECTED.
Representative Davies suggested that delaying it for one
year was too long, whereas, extending it six months would
give the Department six more months.
Co-Chair Mulder commented that the biggest issue is to do
the process correctly. He did not know how long it would
take. He believed that the more time offered, the better it
would be.
Mr. Jeans stated that he had been supporting the extended
date and that the Department would work with the Legislative
Budget and Audit Committee (LBA) for a quality project. He
supported the March 31, 2002 date.
A roll call vote was taken on the motion.
IN FAVOR: Hudson, Lancaster, Whitaker, Croft, Davies,
Williams
OPPOSED: Foster, Bunde, Mulder
Representative Moses was not present for the vote.
The MOTION PASSED (7-3).
Representative Davies MOTION to ADOPT a conceptual amendment
to adopt an effective date of May 14, 2001. There being NO
OBJECTION, the conceptual amendment was adopted.
Representative Davies MOVED to ADOPT the amended Amendment
#23. There being NO OBJECTION, it was adopted as amended.
Co-Chair Williams noted that Amendment #29 should have been
included in the Capital Lapse date.
Co-Chair Mulder MOVED to RESCIND action on moving Amendment
#30. There being NO OBJECTION, the amendment was rescinded.
Co-Chair Mulder pointed out a technical change on Line 8,
changing the language to "June 30, 2000 and 2001". He moved
the language change. There being NO OBJECTION, it was
adopted.
DAN SPENCER, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF ADMINISTRATION, advised that the Office of
Public Advocacy has $77,400 dollars worth of claims from
FY00 which are still unpaid.
There being NO OBJECTION, amended Amendment #30 was adopted.
Co-Chair Williams MOVED to RESCIND action taken on Amendment
#21. There being NO OBJECTION, Amendment #21 was before the
Committee for reconsideration.
Representative Croft MOVED to ADOPT the new Amendment #21,
#22-GS1050\L.10, Cramer, 5/5/01. There being NO OBJECTION,
the new Amendment #21 was adopted.
Co-Chair Williams MOVED to ADOPT Amendment #34. [Copy on
File]. Representative Croft OBJECTED for clarification.
DEPARTMENT OF COMMUNITY & ECONOMIC DEVELOPMENT
DELETE:
Operation Renew Hope
AHFC Dividend $500,000
INSERT:
City of Adak
AHFC Dividend $300,000
ADD:
Alternative Energy Program
AHFC Dividend $200,000
Co-Chair Williams clarified that these monies are federal
funds and that the State does not know when they will be
receiving funding authorization. With authorization, those
funds could come back next year.
There being NO OBJECTION, Amendment #34 was adopted.
Co-Chair Mulder MOVED to ADOPT Amendment #35. [Copy on
File]. Representative Davies OBJECTED for clarification.
DEPARTMENT OF COMMUNITY & ECONOMIC DEVELOPMENT
Arctic National Wildlife Refuge (ANWR)
ADD:
Funding Source
General Fund $2,000,000
Co-Chair Mulder explained that there was a request from U.S.
Representative Don Young and U.S. Senator Ted Stevens for
supplemental support for the development and opening of the
Arctic National Wildlife Refuge (ANWR) for oil and gas
exploration.
Representative Davies stated that the State had already
provided $1.5 million dollars. He pointed out that the
State had not received much money from the industry for that
endeavor.
Representative J. Davies WITHDREW his OBJECTION. There
being NO further OBJECTION, Amendment #35 was adopted.
Co-Chair Williams requested that Legislative Finance
Division and Legislative Legal Division be given authority
to make the appropriate technical changes throughout the
bill. Co-Chair Williams MOVED that OPTION. There being NO
OBJECTION, it was adopted.
Co-Chair Mulder MOVED to RESCIND action taken on Amendment
#21. There being NO OBJECTION, action was rescinded.
Co-Chair Mulder referenced Page 1, Line 4, changing "general
fund" to "federal receipts". Co-Chair Mulder MOVED to ADOPT
the corrected language. There being NO OBJECTION, it was
adopted.
Representative Davies MOVED a new Amendment #2. [Copy on
File]. Co-Chair Mulder OBJECTED.
UNIVERSITY OF ALASKA
ADD:
Funding Source
General Fund $2,000,000
Representative Davies explained that $2,000,000 was
appropriated from the Alaska Commission on Post Secondary
Education (APCE) which would bring the State up to $16.3
million dollars. That number would bring the amount close
to that which the University President had requested. The
amendment would fully fund the University's request.
Co-Chair Mulder commented that there had been discussion
regarding the amount of money appropriated to the University
this year in comparison to that appropriated last year. He
commented that there had been significant process in that
funding effort.
Representative Croft addressed the amount of funding
received last year and whether it had been only general fund
monies. He believed that the requested amendment would
cure that concern.
A roll call vote was taken on the motion.
IN FAVOR: Croft, Davies
OPPOSED: Foster, Harris, Hudson, Lancaster, Whitaker,
Williams, Mulder
Representative Moses and Vice-Chair Bunde were not present
for the vote.
The MOTION FAILED (2-7).
Representative Davies requested that the Committee treat the
$2 million dollars in the base next year. Co-Chair Mulder
agreed that the process had been difficult and he hoped to
work toward that end with the support of the Majority
Caucus. Representative Davies voiced his appreciation of
that commitment.
Co-Chair Mulder MOVED to report HCS CS SB 29 (FIN) out of
Committee with individual recommendations. There being NO
OBJECTION, it was so ordered.
HCS CS SB 29 (FIN) was reported out of Committee with a "do
pass" recommendation.
ADJOURNMENT
The meeting was adjourned at 9:15 P.M.
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