Legislature(2015 - 2016)Anch LIO BUILDING

05/22/2015 11:00 AM House FINANCE


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11:08:59 AM Start
11:09:33 AM HB2001
11:16:19 AM Public Testimony: Statewide
02:09:38 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
Location: A, B, C Conference Room
+= HB2001 APPROP: OPERATING BUDGET/LOANS/FUNDS TELECONFERENCED
Heard & Held
-- Statewide Public Testimony --
Testimony is limited to 2 min.
Testimony will close at 2:00 p.m.
**Audio streamed live on AKL.tv**
**Due to construction, audio streaming available
in Juneau in Capitol Rm 106**
-- Written testimony can be submitted via email
at lhscfin@akleg.gov --
                  HOUSE FINANCE COMMITTEE                                                                                       
                  SECOND SPECIAL SESSION                                                                                        
                       May 22, 2015                                                                                             
                        11:08 a.m.                                                                                              
                                                                                                                                
[NOTE:  Meeting  took  place in  Anchorage,  Alaska  at  the                                                                    
Legislative Information Office]                                                                                                 
                                                                                                                                
11:08:59 AM                                                                                                                   
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair Neuman  called the House Finance  Committee meeting                                                                    
to order at 11:08 a.m.                                                                                                          
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Mark Neuman, Co-Chair                                                                                            
Representative Steve Thompson, Co-Chair                                                                                         
Representative Dan Saddler, Vice-Chair                                                                                          
Representative Bryce Edgmon                                                                                                     
Representative Les Gara                                                                                                         
Representative Lynn Gattis                                                                                                      
Representative David Guttenberg                                                                                                 
Representative Scott Kawasaki                                                                                                   
Representative Cathy Munoz                                                                                                      
Representative Lance Pruitt                                                                                                     
Representative Tammie Wilson                                                                                                    
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Mary  Schallert,  Self,   Anchorage;  Pat  Higgins,  Member,                                                                    
Anchorage  School  Board,  Anchorage;  Alise  Galvin,  Great                                                                    
Alaska Schools, Anchorage; Ahnie  Loncle, Facing Foster Care                                                                    
in Alaska,  Anchorage; Andrea  Gonzales, Facing  Foster Care                                                                    
in Alaska, Anchorage; Mr. Gary  Lose, Self, Anchorage; Robin                                                                    
Ahgupuk,   Self,  Anchorage;   Amanda  Metivier,   Executive                                                                    
Director,  Facing  Foster  Care in  Alaska,  Anchorage;  Don                                                                    
Moore,  Self,  Anchorage;  Rachel Bedsworth,  Facing  Foster                                                                    
Care   in   Alaska,   Anchorage;  Katherine   Hicks,   Self,                                                                    
Anchorage;  Cheryl   Lovegreen,  Self,   Anchorage;  Carolyn                                                                    
Ramsey,  Citizens  For Responsible  Development,  Anchorage;                                                                    
Vince Beltrani,  AK AFL-CIO,  Anchorage; Butch  Moore, Self,                                                                    
Anchorage; Andy  Holleman, Anchorage  Education Association,                                                                    
Anchorage;  Tom  Lakosh,  Self, Anchorage;  Deena  Mitchell,                                                                    
Self,  Anchorage;  Jeremy  Price, Americans  for  Prosperity                                                                    
Alaska,  Anchorage;  Phillip  Walters,  Self,  Eagle  River;                                                                    
David   Boyle,  Self,   Anchorage;   Charles  McKee,   Self,                                                                    
Anchorage; Michael Chambers,  United for Liberty, Anchorage;                                                                    
Aaron  Springer,   Self,  Anchorage;  Sarah   Hetemi,  Self,                                                                    
Anchorage;  Krista   Von  Bergen,  Self,   Anchorage;  Laura                                                                    
Bonner,  Self,  Anchorage;   Representative  Sam  Kito  III;                                                                    
Representative    Lora    Reinbold;   Representative    Andy                                                                    
Josephson;  Representative  Shelley  Hughes;  Representative                                                                    
Paul Seaton; Representative Dan Ortiz.                                                                                          
                                                                                                                                
PRESENT VIA TELECONFERENCE                                                                                                    
                                                                                                                                
David   Brighton,  President,   Kenai  Peninsula   Education                                                                    
Association,   Kenai;  Bill   Warren,  Self,   Nikiski;  Lon                                                                    
Garrison,  President,   Sitka  School  Board,   Sitka;  Tara                                                                    
Schmidt,  Self,  Homer;  Steve  Gibson,  Self,  Homer;  Judy                                                                    
Andree,  League  of  Women   Voters,  Juneau;  Mark  Miller,                                                                    
Superintendent,  Juneau  School   District,  Juneau;  George                                                                    
Pierce,  Self, Kasilof;  Tanya  McPherson, Self,  Anchorage;                                                                    
Andi  Story, Alaska  Association of  School Boards,  Juneau;                                                                    
Todd   Poage,  Superintendent,   Tok;   Frank  Gold,   Self,                                                                    
Fairbanks;  Charlene  Arneson,   President,  Chugiak  School                                                                    
District,  Whittier;   Donna  Beran,  Self,   Homer;  Robert                                                                    
Coghill,  Juneau; David  Johnson,  Self,  Prudhoe Bay;  John                                                                    
Anderson,  Self,  Valdez;  Tim Cheydleur,  Self,  Fairbanks;                                                                    
Colleen Redman, Self, Fairbanks;  Don Gray, Self, Fairbanks;                                                                    
Dan  Johnson,  Interior  Region Emergency  Medical  Services                                                                    
(EMS)  Council,  Inc.,  Fairbanks; Richard  Fineberg,  Self,                                                                    
Fairbanks;  Michelle Church,  Self, Palmer;  Bruce Bridwell,                                                                    
Self, Fairbanks; David Neese,  Self, Anchorage; Norm Wooten,                                                                    
Association of  Alaska School Boards, Juneau;  Janie Taylor,                                                                    
Self,   Anchorage;  Celia   Rozen,  Self,   Anchorage;  Ross                                                                    
Mullins,  Self, Cordova;  Antonia Sparrow,  Self, Anchorage;                                                                    
Scott  Macmanus,  Assistant Superintendent,  Gateway  School                                                                    
District,  Tok;  Kevin  Shipley, Kake  School  District;  JR                                                                    
Myers,   Alaska   Constitution  Party,   Soldatna;   Francis                                                                    
Bennett, Self,  Anchorage; Martha  Moore, Self,  Juneau; Tom                                                                    
Chard,   Alaska  Behavioral   Health  Association,   Juneau;                                                                    
Penelope Oswalt, Self, Cordova;  George Brown, Self, Juneau;                                                                    
Chad   Fishel,   Self,   Juneau;  Karen   Greenberg,   Self,                                                                    
Anchorage;  Carl  Benson,  Self,  Fairbanks;  Rosalie  Rein,                                                                    
Self,   Fairbanks;  Fred   Sturman,  Self,   Soldotna;  Drew                                                                    
McElvain,  Self, Wasilla;  Barbara  Marsh, Self,  Anchorage;                                                                    
Sue Hull,  Association of  Alaska School  Boards, Fairbanks;                                                                    
Alex Wertheimer, Self,  Juneau; Bob Crumley, Superintendent,                                                                    
Chugach  School   District,  Chugach;  Sarah   Kehoe,  Self,                                                                    
Talkeetna;   Susan   Hansen,   Self,   Fairbanks;   Marybeth                                                                    
Holleman, Self, Anchorage;  Sylvia Ettefagh, Self, Wrangell;                                                                    
Joseph  Dingman, Alaska  Mental  Health  Board, Barrow;  Tim                                                                    
Walters,  President  of  the Mat-Su  Education  Association,                                                                    
Mat-Su;                                                                                                                         
                                                                                                                                
SUMMARY                                                                                                                       
                                                                                                                                
HB 2001   APPROP: OPERATING BUDGET/LOANS/FUNDS                                                                                  
                                                                                                                                
          HB 2001 was HEARD and HELD in committee for                                                                           
          further consideration.                                                                                                
                                                                                                                                
HOUSE BILL NO. 2001                                                                                                           
                                                                                                                                
     "An  Act making  appropriations for  the operating  and                                                                    
     loan  program  expenses  of state  government  and  for                                                                    
     certain  programs  and  capitalizing  funds;  repealing                                                                    
     appropriations;  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."                                                                                                    
                                                                                                                                
11:09:33 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
11:15:50 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
Co-Chair Neuman noted Representative Kito was in the room.                                                                      
                                                                                                                                
^PUBLIC TESTIMONY: STATEWIDE                                                                                                  
                                                                                                                                
11:16:19 AM                                                                                                                   
                                                                                                                                
[Secretary's  note: The  sign-in  sheet for  the first  nine                                                                    
testifiers is missing.]                                                                                                         
                                                                                                                                
MARY  SCHALLERT,  SELF,  ANCHORAGE,   spoke  in  support  of                                                                    
funding for  education, Medicaid expansion, and  Erin's law.                                                                    
She  spoke  of her  education  and  teaching experience  and                                                                    
conveyed that  she was  a mother of  two. She  discussed the                                                                    
importance of funding schools and  believed more funding was                                                                    
provided to the  jail system over the  public school system.                                                                    
She  opined  that prevention  was  more  important and  less                                                                    
costly than  fixing problems in  the future.  She reiterated                                                                    
her support  of funding  education, expanding  Medicaid, and                                                                    
supporting  Erin's law.  She thanked  the committee  for its                                                                    
time.                                                                                                                           
                                                                                                                                
11:18:28 AM                                                                                                                   
                                                                                                                                
Co-Chair  Neuman encouraged  written testimony  and provided                                                                    
the  committee fax  number:  (907) 269-0229.  Alternatively,                                                                    
written testimony could be submitted  via email to either of                                                                    
the co-chair offices.                                                                                                           
                                                                                                                                
11:19:04 AM                                                                                                                   
                                                                                                                                
PAT  HIGGINS,  MEMBER,  ANCHORAGE SCHOOL  BOARD,  ANCHORAGE,                                                                    
testified  in support  of funds  for education.  He stressed                                                                    
that the  district's ability to recruit  teachers throughout                                                                    
the  state was  being negatively  impacted. Other  areas and                                                                    
districts  in   the  Lower  48  were   currently  recruiting                                                                    
positions. He stressed that the  district was trying to hire                                                                    
special  education  teachers   and  other  highly  qualified                                                                    
individuals.   He  spoke   about  school   district  funding                                                                    
expectations. The  changing numbers made it  challenging for                                                                    
schools  to plan.  He emphasized  that the  district had  no                                                                    
idea what funding  it would receive. There  were many things                                                                    
on  the  table that  needed  to  be addressed,  but  without                                                                    
knowing  funding  levels  the  district  was  in  limbo.  He                                                                    
thanked the committee for hearing his testimony.                                                                                
                                                                                                                                
11:21:35 AM                                                                                                                   
                                                                                                                                
ALISE GALVIN, GREAT ALASKA  SCHOOLS, ANCHORAGE, testified in                                                                    
support of quality education for  all children. She spoke to                                                                    
the   importance  of   adequate,  predictable   funding  for                                                                    
education. She  addressed legislators  who were in  favor of                                                                    
making  large cuts  to education.  She  stressed that  there                                                                    
were currently funds  to pay for what the  state valued. She                                                                    
relayed  that two-thirds  of Alaskans  supported the  public                                                                    
education component  of what the state  provided. She agreed                                                                    
that there was room for  improvement in the public education                                                                    
system, but it  was difficult to engage  improvement when so                                                                    
much  energy  was focused  on  just  getting funds  to  move                                                                    
forward. She urged members to support public education.                                                                         
                                                                                                                                
Co-Chair Neuman referred to the two minute time limit.                                                                          
                                                                                                                                
11:24:48 AM                                                                                                                   
                                                                                                                                
AHNIE  LONCLE,  FACING  FOSTER CARE  IN  ALASKA,  ANCHORAGE,                                                                    
testified  in   support  of  funds  for   additional  social                                                                    
workers.  She  shared  her personal  story  about  being  in                                                                    
foster  care as  a  child.  She spoke  to  the factors  that                                                                    
enabled  her  to  succeed. She  had  five  different  social                                                                    
workers  who  had  cared  for her.  She  reported  that  the                                                                    
average case  load for each  social worker in Alaska  was 20                                                                    
children,  above the  established maximum  of 12.  She asked                                                                    
the committee to fund social workers.                                                                                           
                                                                                                                                
11:27:29 AM                                                                                                                   
                                                                                                                                
ANDREA GONZALES,  FACING FOSTER  CARE IN  ALASKA, ANCHORAGE,                                                                    
spoke in support  of funding for social  workers. She shared                                                                    
her personal story. She stressed  that it was imperative for                                                                    
the state to have  additional social workers. Social workers                                                                    
were one of  the keys to ensuring that  foster children grew                                                                    
up to  become contributing  members of society.  Hiring more                                                                    
social  workers would  help to  alleviate burn-out  and high                                                                    
turnover  rates.  She  shared that  funding  for  additional                                                                    
social workers  would allow  for more  time and  support for                                                                    
families in need. She thanked the committee.                                                                                    
                                                                                                                                
Co-Chair  Neuman   welcomed  Representative   Josephson  and                                                                    
Representative Reinbold to the meeting.                                                                                         
                                                                                                                                
11:30:30 AM                                                                                                                   
                                                                                                                                
MR. GARY LOSE,  SELF, ANCHORAGE, spoke in  support of foster                                                                    
care.  He relayed  his  personal story  in  the foster  care                                                                    
system.  He stressed  that without  social workers  he would                                                                    
not  be where  he was  at present.  He stressed  that social                                                                    
workers provided  quality care  but were burdened.  He urged                                                                    
the  committee  to  provide  funding  for  foster  care.  He                                                                    
expressed  his  thanks  to the  committee  for  hearing  his                                                                    
testimony.                                                                                                                      
                                                                                                                                
11:31:38 AM                                                                                                                   
                                                                                                                                
ROBIN AHGUPUK,  SELF, ANCHORAGE, spoke in  support of foster                                                                    
care  funding. He  shared his  personal  story about  social                                                                    
workers who  had helped  him. He  noted that  social workers                                                                    
were  over-worked.  He   supported  additional  funding  for                                                                    
social workers to help youths.                                                                                                  
                                                                                                                                
11:33:06 AM                                                                                                                   
                                                                                                                                
AMANDA METIVIER,  EXECUTIVE DIRECTOR, FACING FOSTER  CARE IN                                                                    
ALASKA, ANCHORAGE,  testified in support of  foster care and                                                                    
social workers. She provided information  about a recent UAA                                                                    
study showing that one in  every 100 children in Alaska were                                                                    
currently  in foster  care. She  stated that  the number  of                                                                    
children coming into  the state system was  only expected to                                                                    
increase.   She   noted   that   the   current   case   load                                                                    
recommendation was 12 cases per  social worker. She spoke of                                                                    
a  social worker  friend  who currently  had  30 cases.  She                                                                    
urged  funding be  provided for  additional social  workers.                                                                    
The length  of stay for  children in the system  should only                                                                    
be  12  to 24  months.  Alaska  was  spending more  to  keep                                                                    
children in the system.  She requested the committee provide                                                                    
additional funding for additional case workers.                                                                                 
                                                                                                                                
11:35:30 AM                                                                                                                   
                                                                                                                                
DON MOORE,  SELF, ANCHORAGE, expressed her  appreciation for                                                                    
all  of  the work  the  legislature  was  doing to  cut  the                                                                    
budget. She thanked the committee  members and asked them to                                                                    
keep cutting the budget.                                                                                                        
                                                                                                                                
11:35:53 AM                                                                                                                   
                                                                                                                                
DAVID   BRIGHTON,  PRESIDENT,   KENAI  PENINSULA   EDUCATION                                                                    
ASSOCIATION,  KENAI   (via  teleconference),   testified  in                                                                    
support of  education funds. He encouraged  the committee to                                                                    
find a solution to  funding education. He supported Medicaid                                                                    
expansion  and  believed  expansion  could  be  done  before                                                                    
reform and noted that many  of the concerns with the billing                                                                    
system had  been solved.  He relayed  that the  local school                                                                    
district had  passed a  budget based  on the  original cuts.                                                                    
Additional  cuts  made  by the  Senate  would  mean  cutting                                                                    
teachers.  He stressed  that education  was constitutionally                                                                    
mandated and implored the committee to fund education.                                                                          
                                                                                                                                
11:38:36 AM                                                                                                                   
                                                                                                                                
BILL WARREN,  SELF, NIKISKI  (via teleconference),  spoke in                                                                    
support  of an  income  tax and  a  Permanent Fund  Dividend                                                                    
(PFD)  surtax. He  emphasized that  oil taxes  needed to  be                                                                    
addressed. He stressed that the  legislature did not respect                                                                    
the governor who knew a lot  about gas. He stressed that the                                                                    
legislature  refused  to   support  Medicaid  expansion.  He                                                                    
stated that reform  was possible and that  Alaskans were not                                                                    
just special interest people. He  spoke to the importance of                                                                    
education.  He concluded  by  stating  that the  legislature                                                                    
needed to get its act together.                                                                                                 
                                                                                                                                
11:41:22 AM                                                                                                                   
                                                                                                                                
LON  GARRISON, PRESIDENT,  SITKA  SCHOOL  BOARD, SITKA  (via                                                                    
teleconference),  testified  in  support  of  education.  He                                                                    
spoke to the constitutional  requirement for the legislature                                                                    
to fund public  education and stressed that a  lack of funds                                                                    
was  causing uncertainty  for the  public school  system and                                                                    
the districts. The City of Sitka  was working to do its part                                                                    
for   sustainable  education   funding.   He  stressed   the                                                                    
importance  of fully  funding  the  Base Student  Allocation                                                                    
(BSA). He stated  that it was time for the  game of politics                                                                    
to be set aside  for the good of the state.  He spoke to the                                                                    
recent high school  graduation in Sitka. He  referred to the                                                                    
need to  succeed when there  was a  will to. He  pressed the                                                                    
committee to fund education.                                                                                                    
                                                                                                                                
Co-Chair  Neuman asked  those  interested  in testifying  to                                                                    
keep their testimonies to two minutes.                                                                                          
                                                                                                                                
11:44:31 AM                                                                                                                   
                                                                                                                                
TARA SCHMIDT,  SELF, HOMER (via  teleconference), encouraged                                                                    
the  committee to  add funds  for the  Office of  Children's                                                                    
Services,  Pre-K,   Parents  as   Teachers  and   to  expand                                                                    
Medicaid. She  shared a personal  story related to  a friend                                                                    
who  had been  raped in  college. She  encouraged funds  for                                                                    
sexual   assault  and   domestic  violence   prevention  and                                                                    
encouraged the  passage of Erin's  law. She was a  Green Dot                                                                    
instructor  and  taught  prevention.   She  stated  that  to                                                                    
exclude Erin's law was to  take a pro-sexual assault stance.                                                                    
She  stressed that  Alaskans needed  to take  a stance  that                                                                    
domestic  violence   and  sexual  assault  were   no  longer                                                                    
acceptable.                                                                                                                     
                                                                                                                                
11:46:49 AM                                                                                                                   
                                                                                                                                
STEVE  GIBSON, SELF,  HOMER (via  teleconference), spoke  in                                                                    
support of the  prior testimony. He testified  in support of                                                                    
Medicaid  expansion and  believed the  legislature's reasons                                                                    
for not addressing  expansion were phony. He  added that the                                                                    
Medicaid  system  was  not  in  ill  repair.  He  asked  the                                                                    
committee  to fully  fund education.  He was  discouraged by                                                                    
the  House's  lack of  responsiveness  to  public input.  He                                                                    
concluded by  thanking the committee for  the opportunity to                                                                    
testify.                                                                                                                        
                                                                                                                                
11:49:21 AM                                                                                                                   
                                                                                                                                
JUDY   ANDREE,  LEAGUE   OF   WOMEN   VOTERS,  JUNEAU   (via                                                                    
teleconference),  thanked  the  group  of  legislators  that                                                                    
wrote  a letter  supporting  the Permanent  Fund. She  added                                                                    
that  the  league  applauded   House  Speaker  Chenault  and                                                                    
Minority Leader Tuck  for their continuing work  on a budget                                                                    
compromise. She stressed that the  state had a democracy and                                                                    
could  not be  ruled  by the  majority.  She encouraged  the                                                                    
legislature  to make  public education  a top  priority. She                                                                    
quoted  Thomas  Jefferson,  "If   a  nation  expects  to  be                                                                    
ignorant  and free  in a  state of  civilization it  expects                                                                    
what  never  was   and  never  shall  be."   She  asked  the                                                                    
legislature   to  support   Medicaid   expansion  that   was                                                                    
supported  by  the majority  of  Alaskans.  The league  also                                                                    
supported  transparency  and  compromise. The  league  asked                                                                    
that the legislature fully fund  the public education system                                                                    
which was  the underlying support of  democracy. She relayed                                                                    
that the league  also supported the safe  children's act and                                                                    
asked the committee to support Erin's law.                                                                                      
                                                                                                                                
Co-Chair  Neuman  recognized  Representative Hughes  in  the                                                                    
room.                                                                                                                           
                                                                                                                                
11:52:41 AM                                                                                                                   
                                                                                                                                
MARK MILLER, SUPERINTENDENT,  JUNEAU SCHOOL DISTRICT, JUNEAU                                                                    
(via teleconference),  testified in  support of  funding for                                                                    
public education. He stressed  that the district's plate was                                                                    
full.  The district  was  doing all  that  it could  educate                                                                    
students  and continue  to watch  out for  kids' safety  and                                                                    
well-being. However, he pointed  out that the district could                                                                    
not do  more and more with  less and less funding.  He asked                                                                    
the legislature to be careful  about cutting. He thanked the                                                                    
committee for its time.                                                                                                         
                                                                                                                                
11:54:02 AM                                                                                                                   
                                                                                                                                
GEORGE  PIERCE, SELF,  KASILOF (via  teleconference), shamed                                                                    
the  legislature for  fighting with  the governor.  He spoke                                                                    
against  the removal  of the  film tax  credit that  brought                                                                    
money  to   the  private  sector.   He  stressed   that  the                                                                    
legislature needed  to consider reducing credits  to the oil                                                                    
industry. He  asked the legislature  not give into  big oil.                                                                    
He  did  not want  to  see  the  Permanent Fund  raided  and                                                                    
supported funding for education and healthcare.                                                                                 
                                                                                                                                
11:55:55 AM                                                                                                                   
                                                                                                                                
TANYA  MCPHERSON,  SELF,   ANCHORAGE  (via  teleconference),                                                                    
spoke  against taking  $5 billion  from the  Permanent Fund.                                                                    
She  suggested reducing  tax credits  for the  oil companies                                                                    
and   was  against   the  funding   of  the   Susitna-Watana                                                                    
Hydroelectric  Project. She  spoke in  favor of  funding for                                                                    
education.  She  advised  moving the  Anchorage  Legislative                                                                    
Information  Office  (LIO)  into  the  Atwood  building  and                                                                    
opposed  the Bragaw  Extension  Project.  She stressed  that                                                                    
children  were  the  future of  Alaska  and  concluded  that                                                                    
funding  should go  towards more  social workers  and public                                                                    
education.                                                                                                                      
                                                                                                                                
Co-Chair  Neuman  recognized  Representative Seaton  in  the                                                                    
room.                                                                                                                           
                                                                                                                                
11:57:23 AM                                                                                                                   
                                                                                                                                
ANDI  STORY, ALASKA  ASSOCIATION  OF  SCHOOL BOARDS,  JUNEAU                                                                    
(via  teleconference), testified  in  support of  education.                                                                    
She  encouraged  full funding  of  the  BSA. She  urged  the                                                                    
legislature  to  pass  a  fully   funded  budget  which  was                                                                    
critical to funding the upcoming  school year. She asked the                                                                    
committee  to approve  a fully  funded budget  providing for                                                                    
certainty and an  investment in the children  of Alaska. She                                                                    
thanked the committee.                                                                                                          
                                                                                                                                
11:59:38 AM                                                                                                                   
                                                                                                                                
TODD  POAGE,   SUPERINTENDENT,  TOK   (via  teleconference),                                                                    
testified in  support of education funding.  The legislature                                                                    
had made  a commitment to  education the prior year  and had                                                                    
rescinded its offer. Districts needed  a fully funded budget                                                                    
in order  to make plans.  He suggested that instead  of only                                                                    
cutting the budget, he favored  revenue solutions to balance                                                                    
the  budget.  He  stressed  that  public  education  funding                                                                    
should  be  adjusted  gradually over  a  three-year  period.                                                                    
Districts  did their  best to  use funds  as efficiently  as                                                                    
possible and  to make sure  they went directly  to students.                                                                    
He thanked the committee for its consideration.                                                                                 
                                                                                                                                
12:02:09 PM                                                                                                                   
                                                                                                                                
FRANK GOLD,  SELF, FAIRBANKS (via  teleconference), stressed                                                                    
that cutting the  budget was no longer an  option. He stated                                                                    
that it  was time  to eliminate  some programs  entirely. He                                                                    
believed it was time to realize  that it was not possible to                                                                    
fund everything.  He stressed  that no  one would  come home                                                                    
unscathed by  the session. He  stated that there would  be a                                                                    
price  to  pay  for  all legislators.  He  believed  it  was                                                                    
unfortunate for people  to have to travel  for medical care,                                                                    
education,  and other.  He reiterated  that the  state could                                                                    
not afford  to provide all  the programs it  was delivering.                                                                    
He  asked  the  legislature  to set  its  focus  on  forward                                                                    
funding. He thanked the committee.                                                                                              
                                                                                                                                
12:05:00 PM                                                                                                                   
                                                                                                                                
CHARLENE  ARNESON,   PRESIDENT,  CHUGIAK   SCHOOL  DISTRICT,                                                                    
WHITTIER  (via  teleconference),  testified  in  support  of                                                                    
education funding. She concurred  with Lon Garrison and Andi                                                                    
Story. She  stressed that the  best thing that  had happened                                                                    
to  education  had  resulted  from  a  task  force  lead  by                                                                    
Representative Mike  Hawker. She  stressed that  funding for                                                                    
education had not even kept up  with the cost of living. She                                                                    
observed that  education funding had been  held hostage over                                                                    
the years as a bargaining chip at the end of session.                                                                           
                                                                                                                                
12:08:36 PM                                                                                                                   
                                                                                                                                
DONNA BERAN, SELF, HOMER  (via teleconference), testified in                                                                    
support of funds  for Parents as Teachers  and other related                                                                    
programs.  She stressed  how helpful  the  programs were  to                                                                    
children and to creating  productive members of society. She                                                                    
encouraged the  legislature to fully fund  education, expand                                                                    
Medicaid,  and fund  prevention  programs.  She thanked  the                                                                    
committee for the opportunity to testify.                                                                                       
                                                                                                                                
12:11:00 PM                                                                                                                   
                                                                                                                                
JOSEPH  DINGMAN, ALASKA  MENTAL  HEALTH  BOARD, BARROW  (via                                                                    
teleconference), Spoke  in favor  of Medicaid  expansion. He                                                                    
mentioned  the  executive  authority to  move  forward  with                                                                    
expansion without the need to  pass legislation to do so. He                                                                    
expressed his appreciation for the committee's hard work.                                                                       
                                                                                                                                
12:11:50 PM                                                                                                                   
                                                                                                                                
ROBERT  COGHILL, JUNEAU  (via teleconference),  Board Chair,                                                                    
Alcohol  and   Drug  Abuse  spoke   in  favor   of  Medicaid                                                                    
expansion. He  realized there were  problems with  the Xerox                                                                    
billing system  for Medicaid and  that it was  under repair.                                                                    
Maryland had  similar problems but  went ahead  and expanded                                                                    
Medicaid. He felt  that the governor's budget,  HB 2001, was                                                                    
an acceptable  compromise. He thanked the  committee for its                                                                    
service.                                                                                                                        
                                                                                                                                
12:13:07 PM                                                                                                                   
                                                                                                                                
DAVID  JOHNSON,  SELF,  PRUDHOE  BAY  (via  teleconference),                                                                    
urged the committee to reach  a compromise on the budget. He                                                                    
spoke  in favor  of Medicaid  expansion and  Erin's Law  but                                                                    
opposed  using  the  permanent  fund  earnings  reserve.  He                                                                    
thanked the committee.                                                                                                          
                                                                                                                                
12:14:11 PM                                                                                                                   
                                                                                                                                
JOHN ANDERSON,  SELF, VALDEZ (via teleconference),  spoke in                                                                    
support of  public radio expressing his  appreciation of its                                                                    
restored  funding. He  thanked committee  members for  their                                                                    
time and hard work on the budget.                                                                                               
                                                                                                                                
12:16:21 PM                                                                                                                   
                                                                                                                                
TIM CHEYDLEUR,  SELF, FAIRBANKS (via  teleconference), spoke                                                                    
in  favor  of  fully  funding  the  BSA  for  education  and                                                                    
encouraged Medicaid expansion. He  supported capping the PFD                                                                    
and  opposed  drawing  from   the  permanent  fund  earnings                                                                    
reserve.  He  suggested   using  the  Constitutional  Budget                                                                    
Reserve (CBR)  to fill the  state's fiscal gap.  He believed                                                                    
in a state  income tax, a sales tax, and  an increase in the                                                                    
motor  fuel  tax. A  plan  was  imperative. He  thanked  the                                                                    
committee for the opportunity to testify.                                                                                       
                                                                                                                                
12:17:55 PM                                                                                                                   
                                                                                                                                
COLLEEN REDMAN, SELF,  FAIRBANKS (via teleconference), spoke                                                                    
in favor  of fully funding  education and health  and social                                                                    
services.  She  relayed  her   experience  working  for  the                                                                    
Territory of Alaska as one  of three social workers covering                                                                    
the  territory  from Barrow  to  Bethel.  She also  reported                                                                    
working  in   the  schools   realizing  the   importance  of                                                                    
education   and   favored   funding  for   early   childhood                                                                    
education. She also supported Medicaid expansion.                                                                               
                                                                                                                                
12:20:34 PM                                                                                                                   
                                                                                                                                
DON  GRAY, SELF,  FAIRBANKS  (via teleconference),  strongly                                                                    
supported  K-12 education.  He  mentioned  his children  and                                                                    
grandchildren that  attended public  school. He  opined that                                                                    
monies taken  from the university system's  budget should be                                                                    
restored and  the state should  opt for  expanding Medicaid.                                                                    
He discouraged  moving the  permanent fund  earnings reserve                                                                    
into the corpus but encouraged  reducing oil tax credits. He                                                                    
thanked the committee for its time.                                                                                             
                                                                                                                                
12:23:11 PM                                                                                                                   
                                                                                                                                
DAN  JOHNSON,  INTERIOR  REGION EMERGENCY  MEDICAL  SERVICES                                                                    
(EMS)   COUNCIL,  INC.,   FAIRBANKS  (via   teleconference),                                                                    
discussed the ramifications of a  53 percent cut to regional                                                                    
EMS programs.  He relayed that  the funding  supported seven                                                                    
regional EMS programs across the  state. He provided program                                                                    
details and  a list  of service  benefits. He  elaborated on                                                                    
the impact  of the  proposed cuts to  the program.  He asked                                                                    
the  committee to  further consider  the  effect of  reduced                                                                    
funding for the regional EMS program.                                                                                           
                                                                                                                                
12:25:23 PM                                                                                                                   
                                                                                                                                
RICHARD  FINEBERG,  SELF,  FAIRBANKS  (via  teleconference),                                                                    
indicated that  he had seven  process focus  items necessary                                                                    
for improving  understanding petroleum  quantification which                                                                    
would  enable the  formulation  and  execution of  long-term                                                                    
government  service policies.  He detailed  the seven  items                                                                    
which  could  be  found  on   his  website  and  in  written                                                                    
testimony.                                                                                                                      
                                                                                                                                
12:28:02 PM                                                                                                                   
                                                                                                                                
MICHELLE   CHURCH,   SELF,  PALMER   (via   teleconference),                                                                    
believed that the  budget described a very  narrow vision by                                                                    
the majority  caucus. She  believed that  collecting revenue                                                                    
from the most vulnerable  residents while ignoring potential                                                                    
growth from  industries such as health  care and agriculture                                                                    
was  mean-spirited.  She  opposed  Medicaid  expansion.  She                                                                    
believed that  the expansion of Medicaid  would increase the                                                                    
state's  ability to  collect the  costs of  programs at  the                                                                    
expense  of ill  Alaskans.  She expressed  concern that  the                                                                    
state's  ability  to  negotiate  a  gas  pipeline  would  be                                                                    
limited  with the  transfer of  monies out  of the  in-state                                                                    
natural  gas pipeline  fund as  noted  in Section  6 of  the                                                                    
bill.  She   opined  the   education  budget   was  woefully                                                                    
underfunded. She spoke in favor  of Erin's Law and against a                                                                    
raid on  the Permanent  Fund. She encourage  the legislature                                                                    
to negotiate and compromise.                                                                                                    
                                                                                                                                
12:30:32 PM                                                                                                                   
                                                                                                                                
RACHEL BEDSWORTH,  FACING FOSTER CARE IN  ALASKA, ANCHORAGE,                                                                    
spoke in  support of funding  additional social  workers and                                                                    
conveyed  her  experience in  the  foster  care system.  She                                                                    
reported that she  had 46 placements and  six social workers                                                                    
in her  years of care.  She relayed that her  current social                                                                    
worker was overloaded with cases  and was unable to properly                                                                    
assist her  with the support  she needed to  transition into                                                                    
adulthood. She  urged the committee  to provide  funding for                                                                    
additional  social  workers  so  that kids  like  her  could                                                                    
successfully transition into adulthood.                                                                                         
                                                                                                                                
12:32:28 PM                                                                                                                   
                                                                                                                                
KATHERINE  HICKS, SELF,  ANCHORAGE, appreciated  the efforts                                                                    
of the  legislature to reduce spending.  She voiced concerns                                                                    
about  providing  additional   funding  for  education  when                                                                    
results were down. She wanted  to see additional cuts to the                                                                    
budget. She  felt that  it was time  for the  legislature to                                                                    
make some tough decisions. She thanked the committee.                                                                           
                                                                                                                                
12:33:58 PM                                                                                                                   
                                                                                                                                
CHERYL  LOVEGREEN,  SELF,  ANCHORAGE, spoke  in  support  of                                                                    
education,   Erin's  Law,   and   Medicaid  expansion.   She                                                                    
suggested  cutting various  projects including  the Susitna-                                                                    
Watana Hydroelectric Project,  the Bragaw Extension Project,                                                                    
and  the  Knik  Arm  Crossing Project.  She  also  suggested                                                                    
looking more closely at oil  tax credits. She encouraged the                                                                    
legislature to come to a compromise  in order to use the CBR                                                                    
to  fund  the  budget.  She  did  not  support  raiding  the                                                                    
Permanent  Fund.  She   applauded  certain  legislators  for                                                                    
starting  a discussion  about creating  additional revenues.                                                                    
She thanked the committee for the opportunity to testify.                                                                       
                                                                                                                                
12:36:19 PM                                                                                                                   
                                                                                                                                
CAROLYN  RAMSEY,   CITIZENS  FOR   RESPONSIBLE  DEVELOPMENT,                                                                    
ANCHORAGE,   discouraged   funding  the   Bragaw   Extension                                                                    
Project.  She  reported  that 9  community  councils  across                                                                    
Anchorage had  passed resolutions  against the  project. She                                                                    
cited some  statistics from  various reports.  She concluded                                                                    
that residents  did not  want the road,  need the  road, nor                                                                    
could Alaska afford the road. She thanked the committee.                                                                        
                                                                                                                                
12:38:23 PM                                                                                                                   
                                                                                                                                
VINCE  BELTRANI, AK  AFL-CIO, ANCHORAGE,  spoke in  favor of                                                                    
the  legislature  honoring  the labor  contracts  that  were                                                                    
already agreed  upon. He  urged the  committee to  honor the                                                                    
state's  commitment   to  its  employees.  He   thanked  the                                                                    
committee  for the  work  it  had done  and  hoped that  the                                                                    
legislature could come to a resolution quickly.                                                                                 
                                                                                                                                
Co-Chair  Neuman  relayed  his appreciation  for  all  state                                                                    
workers. He  did not  want to  see pink  slips going  out to                                                                    
anyone.                                                                                                                         
                                                                                                                                
12:41:13 PM                                                                                                                   
                                                                                                                                
BRUCE BRIDWELL, SELF,  FAIRBANKS (via teleconference), spoke                                                                    
in support  of fully funding  education. He did  not believe                                                                    
the  state could  make enough  cuts to  solve its  financial                                                                    
problems. He opined that the  legislature needed to focus on                                                                    
generating  additional revenue  including income  taxes from                                                                    
people  and  corporations. He  supported  using  the CBR  to                                                                    
cover shortfalls but did not want  the state to dip into its                                                                    
permanent fund earnings reserve.  He thanked legislators for                                                                    
their  service and  appreciated their  attempt at  finding a                                                                    
compromise.  He  thought  it  was  time  to  listen  to  the                                                                    
governor and the minority.                                                                                                      
                                                                                                                                
12:43:09 PM                                                                                                                   
                                                                                                                                
Co-Chair Neuman  recognized Representative Dan Ortiz  in the                                                                    
audience.                                                                                                                       
                                                                                                                                
DAVID NEESE, SELF,  ANCHORAGE (via teleconference), referred                                                                    
to a  survey conducted by  Great Alaska Schools.  He relayed                                                                    
that he  had served  on the House  Education Task  Force and                                                                    
one of the  recommendations was to not  increase funding for                                                                    
education. The reason for the  recommendation was due to not                                                                    
having  any  control  of  how  the  funding  was  spent.  He                                                                    
provided   budget  information   for   the  Chugiak   School                                                                    
District.  He  pointed  out  that  the  salary  and  benefit                                                                    
package for  the district exceeded  the contribution  of the                                                                    
state.  He  believed  the  state  funding  went  to  teacher                                                                    
salaries rather  than into the  classroom. He felt  that the                                                                    
legislature had provided enough money to education.                                                                             
                                                                                                                                
NORM  WOOTEN, ASSOCIATION  OF ALASKA  SCHOOL BOARDS,  JUNEAU                                                                    
(via  teleconference),  spoke  in  favor  of  fully  funding                                                                    
education  in order  to allow  for stability  in the  school                                                                    
districts.  He also  requested  that  the legislature  fully                                                                    
fund the BSA. He thanked legislators for their support.                                                                         
                                                                                                                                
BUTCH  MOORE, SELF,  ANCHORAGE, spoke  against cuts  made to                                                                    
the Alaska Network on Domestic  Violence and Sexual Assault.                                                                    
He conveyed the importance of  the agency and the gravity of                                                                    
the number  of assault and  sexual molestation cases  in the                                                                    
state.  There   were  783  cases   of  sexual   assault  and                                                                    
molestation in  the first 3  months of the current  year. He                                                                    
offered  that  there  were not  enough  social  workers  and                                                                    
investigators  to deal  with  the case  volume.  He cited  a                                                                    
statistic  that   for  every  dollar  the   state  spent  on                                                                    
education it saved three. He thanked the committee.                                                                             
                                                                                                                                
12:50:43 PM                                                                                                                   
                                                                                                                                
JANIE  TAYLOR, SELF,  ANCHORAGE (via  teleconference), spoke                                                                    
against raiding the  Permanent Fund to fund  the budget. She                                                                    
supported Medicaid expansion and  Erin's Law in its original                                                                    
form.  She  supported  fully  funding  education  and  urged                                                                    
legislators  to  work together  to  come  up with  a  budget                                                                    
compromise. She  asked the committee  to listen to  the will                                                                    
of the  people and  thanked members  for the  opportunity to                                                                    
testify.                                                                                                                        
                                                                                                                                
12:52:50 PM                                                                                                                   
                                                                                                                                
CELIA ROZEN, SELF, ANCHORAGE  (via teleconference), spoke in                                                                    
support   of  fully   funding  education.   She  urged   the                                                                    
legislature  to reach  a  budget  compromise. She  furthered                                                                    
that funding education  was a constitutional responsibility.                                                                    
She wanted  to see the CBR  used to balance the  budget. She                                                                    
asked that  Erin's Law  (HB 44) be  restored to  the version                                                                    
prior to  the amendments made  on May 21, 2015.  She thanked                                                                    
the committee for hearing her testimony.                                                                                        
                                                                                                                                
12:54:52 PM                                                                                                                   
                                                                                                                                
ROSS MULLINS, SELF,  CORDOVA (via teleconference), expressed                                                                    
his  concern  with  the  inability  of  the  legislature  to                                                                    
compromise. He also expressed his  concerns with the changes                                                                    
introduced by  Senator Dunleavy in  the Erin's Law  bill. He                                                                    
believed the issue  of sexual and child  abuse was critica1l                                                                    
to  address. He  strongly supported  Medicaid expansion  and                                                                    
closed by thanking the committee for its time.                                                                                  
                                                                                                                                
12:57:37 PM                                                                                                                   
                                                                                                                                
ANTONIA  SPARROW,  SELF,   ANCHORAGE  (via  teleconference),                                                                    
urged support for funding  education and expanding Medicaid.                                                                    
She  disagreed with  the process  of negotiations  used this                                                                    
year  at the  legislature. She  expressed concerns  with the                                                                    
legislature  not honoring  labor contracts  and reneging  on                                                                    
funding  for education.  She felt  that it  was critical  to                                                                    
honor  the process  in place  and was  discouraged with  the                                                                    
example  legislators  were  setting for  young  people  that                                                                    
might  be interested  in  a future  in  public service.  She                                                                    
encouraged  the  legislature to  work  in  a civil  way.  In                                                                    
addition, she  thought the  important work  was to  find new                                                                    
revenues.  She  supported  a  cap   on  the  PFD  and  would                                                                    
entertain other  funding options such  as an income  tax and                                                                    
an  increased  fuel  tax.  She  thanked  the  committee  for                                                                    
listening to her testimony.                                                                                                     
                                                                                                                                
1:01:26 PM                                                                                                                    
                                                                                                                                
SCOTT  MACMANUS,  ASSISTANT SUPERINTENDENT,  GATEWAY  SCHOOL                                                                    
DISTRICT,  TOK  (via  teleconference),  spoke  in  favor  of                                                                    
investing  in   human  capital  by  funding   education.  He                                                                    
provided some personal information.  He reported the current                                                                    
impacts of the budget and  suggested focusing on the state's                                                                    
key  mission  by  getting  the most  out  of  current  state                                                                    
revenues. He encouraged legislators  to come to a compromise                                                                    
to address the state's problems. He thanked the committee.                                                                      
                                                                                                                                
1:03:39 PM                                                                                                                    
                                                                                                                                
KEVIN  SHIPLEY, KAKE  SCHOOL DISTRICT  (via teleconference),                                                                    
relayed the actions the school  district was taking with the                                                                    
proposed cuts.  He relayed that the  district's planning was                                                                    
based  on  what  the  legislature   posed  as  a  worst-case                                                                    
scenario  in  April  2015.  However,  the  budget  that  was                                                                    
finally passed  imposed an  additional cut  of 4  percent to                                                                    
the  BSA,   an  unexpected  reduction.  He   felt  that  the                                                                    
legislature did not communicate  with school districts about                                                                    
the additional  cuts and did  not allow for  public comments                                                                    
and  input. He  thought  that problems  could  be solved  by                                                                    
teamwork,  leadership, and  vision. He  was disheartened  by                                                                    
the conduct of the legislative  body in handling the current                                                                    
challenges  that   Alaska  was  facing.  He   requested  the                                                                    
reversal  of  the  4  percent   reduction  to  the  BSA.  He                                                                    
supported Erin's  Law with  the caveat  that the  state paid                                                                    
for the costs to develop  and provide curriculum. He thanked                                                                    
the committee.                                                                                                                  
                                                                                                                                
1:05:35 PM                                                                                                                    
                                                                                                                                
JR   MYERS,  ALASKA   CONSTITUTION   PARTY,  SOLDATNA   (via                                                                    
teleconference), urged  looking at  the scope  of government                                                                    
and  developing a  sustainable budget.  He did  not want  to                                                                    
burden future  generations with debt. He  suggested a review                                                                    
of government  spending rather than new  revenue sources. He                                                                    
appreciated the committee's time.                                                                                               
                                                                                                                                
1:07:00 PM                                                                                                                    
                                                                                                                                
ANDY HOLLEMAN,  ANCHORAGE EDUCATION  ASSOCIATION, ANCHORAGE,                                                                    
asked  for predictability.  He relayed  the difficulties  of                                                                    
recruitment  for  Alaska's  public  schools.  He  asked  the                                                                    
committee  to  reconsider funding  the  BSA  at 100  percent                                                                    
rather than only funding a  percentage of what was promised.                                                                    
He thanked the  committee members for the work  they did and                                                                    
wished them the best of luck.                                                                                                   
                                                                                                                                
1:09:11 PM                                                                                                                    
                                                                                                                                
LAURA  BONNER, SELF,  ANCHORAGE, spoke  in favor  of funding                                                                    
education. She  felt that  it was  important to  provide the                                                                    
proper foundation  for the future  workforce, entrepreneurs,                                                                    
and  leaders of  Alaska. She  relayed the  many benefits  in                                                                    
investing in education. She opined  that education needed to                                                                    
be  high  on  the  legislative priority  list.  She  favored                                                                    
Medicaid  expansion and  oil tax  reform  and spoke  against                                                                    
raiding the PFD. She thanked committee members.                                                                                 
                                                                                                                                
1:11:39 PM                                                                                                                    
                                                                                                                                
TOM  LAKOSH, SELF,  ANCHORAGE, Spoke  in  opposition of  the                                                                    
Susitna-Watana  Hydroelectric  Project   and  the  Knik  Arm                                                                    
Crossing  Project.  He   understood  that  Alaskan  citizens                                                                    
wanted to  protect the CBR  and PFD. He ascribed  to finding                                                                    
new revenue  sources and making  necessary cuts.  He favored                                                                    
expanding  Medicaid  not  only  because  of  the  additional                                                                    
funding it would bring to the  state but also because of the                                                                    
creation of new  jobs. He believed renewable  energy was the                                                                    
best option for the state.  He thanked committee members for                                                                    
their time.                                                                                                                     
                                                                                                                                
1:13:57 PM                                                                                                                    
                                                                                                                                
DEENA MITCHELL,  SELF, ANCHORAGE, stated that  revenues were                                                                    
down  dramatically,  which  was  the reason  the  state  had                                                                    
reserves.  She alleged  that cutting  the  budget without  a                                                                    
strategy  did  not  make  sense. She  relayed  some  of  the                                                                    
consequences of  the proposed cuts.  She thought the  job of                                                                    
the  legislature  was  to prioritize  funding.  She  favored                                                                    
supporting Medicaid  expansion and the funding  of education                                                                    
and  foster  care services.  She  commented  that the  state                                                                    
needed  predictable and  stable funding  for education.  She                                                                    
thanked the committee for its time.                                                                                             
                                                                                                                                
Co-Chair  Neuman provided  an email  for submitting  written                                                                    
testimony: lhscfin@akleg.gov                                                                                                    
                                                                                                                                
1:16:25 PM                                                                                                                    
                                                                                                                                
FRANCIS  BENNETT,  SELF,   ANCHORAGE  (via  teleconference),                                                                    
agreed with the  Senate's version of the  budget and thanked                                                                    
the committee for its work.                                                                                                     
                                                                                                                                
1:17:08 PM                                                                                                                    
                                                                                                                                
MARTHA MOORE,  SELF, JUNEAU  (via teleconference),  spoke in                                                                    
favor of Medicaid  expansion. She felt that it  was good for                                                                    
the health  of Alaskans, would  bring money into  the state,                                                                    
and  create jobs.  She  did not  feel  the payment  system's                                                                    
problems could  quickly be resolved  and should  not prevent                                                                    
the state from moving  forward with expansion. She suggested                                                                    
that services  that were currently  paid with  state dollars                                                                    
could  be paid  with federal  money. She  believed expansion                                                                    
and  reform should  be done  concurrently.  She thanked  the                                                                    
committee for the opportunity to testify.                                                                                       
                                                                                                                                
1:18:52 PM                                                                                                                    
                                                                                                                                
TOM  CHARD,  ALASKA  BEHAVIORAL HEALTH  ASSOCIATION,  JUNEAU                                                                    
(via   teleconference),   relayed  information   about   the                                                                    
association.  He  reported  that  the  association  strongly                                                                    
supported  Medicaid expansion.  He  urged  the committee  to                                                                    
fund ongoing community behavioral  health services in the FY                                                                    
16 operating  budget. He  urged the  legislature to  pass an                                                                    
operating budget  as soon as possible  to reduce uncertainty                                                                    
and  to  ensure  continuity  of  services.  He  thanked  the                                                                    
committee for its time.                                                                                                         
                                                                                                                                
1:20:31 PM                                                                                                                    
                                                                                                                                
PENELOPE   OSWALT,  SELF,   CORDOVA  (via   teleconference),                                                                    
expressed her concern  about the delay in  funding a budget.                                                                    
She hoped the  legislature could work together  for the good                                                                    
of all  citizens of Alaska.  She discouraged the use  of the                                                                    
Permanent Fund to balance the  budget. She suggested a state                                                                    
school tax  to assist  in funding education.  She encouraged                                                                    
Medicaid  expansion  and  favored  funding  for  the  Alaska                                                                    
Marine  Highway   system.  She   opined  that   funding  for                                                                    
education from Pre-K to university  levels must be restored.                                                                    
She  supported Erin's  Law in  its original  form and  urged                                                                    
members to fund child  protection including foster care. She                                                                    
opposed  oil company  tax credits  and the  Bragaw Extension                                                                    
Project. She  also suggested moving  the Anchorage LIO  to a                                                                    
less expensive facility.                                                                                                        
                                                                                                                                
1:23:51 PM                                                                                                                    
                                                                                                                                
GEORGE   BROWN,    SELF,   JUNEAU    (via   teleconference),                                                                    
highlighted the benefits of  Alaska's constitution which was                                                                    
based on  listening and working together  to solve problems.                                                                    
He  encouraged legislators  to protect  the environment  and                                                                    
ensure  the   future  of   Alaska's  children.   He  thanked                                                                    
legislators for their work in public service.                                                                                   
                                                                                                                                
1:25:21 PM                                                                                                                    
                                                                                                                                
CHAD FISHEL, SELF, JUNEAU  (via teleconference), pointed out                                                                    
that the  legislature was attempting  to cut its way  out of                                                                    
the budget  shortfall. He expressed  concern with  the state                                                                    
paying out more in oil tax  credits than it was receiving in                                                                    
oil  revenues. He  felt that  the state's  partnerships with                                                                    
the  oil  companies  were   unequal.  He  supported  funding                                                                    
education  and  other  services provided  by  the  State  of                                                                    
Alaska.  Lastly, he  expressed his  disappointment that  the                                                                    
legislature called a special session in Anchorage.                                                                              
                                                                                                                                
1:27:58 PM                                                                                                                    
                                                                                                                                
KAREN  GREENBERG,  SELF,   ANCHORAGE  (via  teleconference),                                                                    
spoke in favor  of funding education and  passing Erin's Law                                                                    
as written.  She was most  concerned about the  expansion of                                                                    
Medicaid.  She expounded  that the  state needed  to provide                                                                    
for the  citizens of  the state that  need health  care. She                                                                    
discussed  the benefits  of Medicaid  expansion and  did not                                                                    
understand  the delay  in  expansion.  She emphasized  being                                                                    
baffled.  She opposed  some  of the  mega  projects and  was                                                                    
critical  of  the  choice  to  remain  in  the  current  LIO                                                                    
building  in Anchorage.  She also  opposed  oil company  tax                                                                    
credits. She implored  that the majority try  a new approach                                                                    
to governing. She closed by saying, "Thank you."                                                                                
                                                                                                                                
1:30:52 PM                                                                                                                    
                                                                                                                                
TIM WALTERS, PRESIDENT OF  THE MAT-SU EDUCATION ASSOCIATION,                                                                    
MAT-SU (via teleconference), asked  the legislature to honor                                                                    
the  commitment it  made  in  the previous  year  in HB  278                                                                    
[Short  Title:  Education]  to  fund  public  education.  He                                                                    
relayed that HB  278 provided three years  of stable funding                                                                    
for school districts  after years of being  flat funded. The                                                                    
Mat-Su School  District had the  highest class sizes  in the                                                                    
state  for many  years translating  to less  individual help                                                                    
for  struggling students.  He relayed  additional challenges                                                                    
due to cuts  to public education. He appealed  to members of                                                                    
the committee to fully fund education.                                                                                          
                                                                                                                                
1:32:51 PM                                                                                                                    
                                                                                                                                
CARL   BENSON,   SELF,   FAIRBANKS   (via   teleconference),                                                                    
expressed his  disappointment in the legislature.  He opined                                                                    
that the oil tax structure was  broken. He spoke in favor of                                                                    
Medicaid  Expansion   and  in  opposition  of   tapping  the                                                                    
permanent fund  earnings reserve. He  supported negotiations                                                                    
between the majority  and minority. He avowed  that he would                                                                    
not pay an income tax if  it was going to help oil companies                                                                    
with tax  credits. He  urged the  legislature to  change the                                                                    
oil tax revenue  laws immediately to end  the give-a-way. He                                                                    
thanked the committee.                                                                                                          
                                                                                                                                
1:35:05 PM                                                                                                                    
                                                                                                                                
ROSALIE   REIN,   SELF,  FAIRBANKS   (via   teleconference),                                                                    
reported she was an employee  of Office of Children Services                                                                    
(OCS)  but was  representing herself  in her  testimony. She                                                                    
reported the  office was chronically  understaffed. Although                                                                    
there  were unfilled  vacancies,  the reality  was that  the                                                                    
workload was extremely high making  it difficult to fill the                                                                    
positions.  The  workload   prevented  social  workers  from                                                                    
strengthening the  families that  entered the  state system.                                                                    
She reported that about 50  percent of the children that OCS                                                                    
took into  custody ended  up available  for adoption  due to                                                                    
not  having  the workforce  to  help  reunify families.  She                                                                    
reported that 40  percent of foster youths  were homeless at                                                                    
some time in their lives and  27 percent of the children OCS                                                                    
worked with  ended up  incarcerated. She  relayed additional                                                                    
statistics.                                                                                                                     
                                                                                                                                
1:37:48 PM                                                                                                                    
                                                                                                                                
FRED  STURMAN, SELF,  SOLDOTNA  (via teleconference),  urged                                                                    
the  committee   to  make   further  cuts   and  discouraged                                                                    
additional monies being placed in  the budget. He wanted the                                                                    
committee  to make  additional decreases  to the  budget and                                                                    
suggested   closing  Department   of   Motor  Vehicles.   He                                                                    
discouraged  expanding  Medicaid   and  recommended  closing                                                                    
state   government  for   a  few   months.  He   wanted  the                                                                    
legislature to avoid taking money  from the working class in                                                                    
the  form  of  income  and   sales  taxes.  He  thanked  the                                                                    
committee for its time.                                                                                                         
                                                                                                                                
1:39:20 PM                                                                                                                    
                                                                                                                                
JEREMY  PRICE, AMERICANS  FOR PROSPERITY  ALASKA, ANCHORAGE,                                                                    
spoke in support  of the cuts made in the  budget. He opined                                                                    
that  the longer  the legislature  went without  making cuts                                                                    
the more  revenues the state  would have to generate  in the                                                                    
future. He  encouraged committee  members to stick  to their                                                                    
guns.  He  thanked  committee members  and  applauded  their                                                                    
efforts.                                                                                                                        
                                                                                                                                
1:41:04 PM                                                                                                                    
                                                                                                                                
PHILLIP WALTERS,  SELF, EAGLE RIVER,  spoke out  against the                                                                    
legislature attempting  to work  around the  minority rather                                                                    
than  working together  to  finalize a  budget.  He did  not                                                                    
understand why funding was being  removed from education and                                                                    
used for  projects such  as the  Knik Arm  Crossing Project,                                                                    
the  Susitna-Watana Hydroelectric  Project,  and the  Bragaw                                                                    
Extension  Project. He  opined  that the  projects were  not                                                                    
currently  necessary  and  that   funding  education  was  a                                                                    
priority.  He  discouraged  using   the  Permanent  Fund  to                                                                    
balance the  budget. Instead, he suggested  using funds from                                                                    
the  CBR. He  reiterated for  legislators to  cooperate with                                                                    
each other,  fund education, and  give Alaska the  future it                                                                    
deserved. In closing he thanked the committee.                                                                                  
                                                                                                                                
1:42:41 PM                                                                                                                    
                                                                                                                                
DAVID  BOYLE,  SELF,  ANCHORAGE,   spoke  in  opposition  of                                                                    
spending  additional monies  on education.  He relayed  that                                                                    
Alaska  spent approximately  $22  thousand  per student.  He                                                                    
felt that  money was not  the problem, it was  the education                                                                    
process.  He emphasized  the need  for education  reform. He                                                                    
mentioned  the Anchorage  School District  having an  excess                                                                    
balance of $25 million in  general fund dollars. He referred                                                                    
to  a  graph  and  further discussed  the  Anchorage  School                                                                    
District's finances.  He asked  the legislature to  focus on                                                                    
teacher  quality  and  improved education.  He  thanked  the                                                                    
committee for hearing his testimony.                                                                                            
                                                                                                                                
1:45:37 PM                                                                                                                    
                                                                                                                                
CHARLES  MCKEE,  SELF,  ANCHORAGE, suggested  that  Alaska's                                                                    
troubles  began  in  1933 with  the  implementation  of  the                                                                    
Federal  Reserve,  the  Internal Revenue  Service,  and  the                                                                    
Social  Security  system.  He   continued  to  provide  some                                                                    
historical background  about the federal government  and the                                                                    
State of Alaska. He thanked the committee.                                                                                      
                                                                                                                                
1:47:50 PM                                                                                                                    
                                                                                                                                
DREW   MCELVAIN,   SELF,   WASILLA   (via   teleconference),                                                                    
expressed   his  displeasure   in  the   direction  of   the                                                                    
legislative sessions and  a lack of compromise.  He spoke in                                                                    
support of education funds that  had been promised the prior                                                                    
year. He suggested  using money from the CBR  to balance the                                                                    
budget. He  also felt  the legislature  needed to  honor the                                                                    
state union contracts that were  in place and encouraged the                                                                    
legislature  to expand  Medicaid. He  hoped the  legislature                                                                    
would come  to a compromise  to use  funds from the  CBR. He                                                                    
closed by thanking committee members.                                                                                           
                                                                                                                                
1:51:00 PM                                                                                                                    
                                                                                                                                
BARBARA   MARSH,  SELF,   ANCHORAGE  (via   teleconference),                                                                    
testified  against  using  money  from  the  permanent  fund                                                                    
earnings reserve to fund the  budget. She was opposed to the                                                                    
Bragaw    Extension   Project    and   the    Susitna-Watana                                                                    
Hydroelectric Project. She favored  moving the Anchorage LIO                                                                    
to the Atwood building and  supported funding for the Office                                                                    
of  Children's Services,  Medicaid  expansion, and  Medicaid                                                                    
reform.   Additionally,  she   supported  Erin's   law;  she                                                                    
believed  the information  was  critical  for students.  She                                                                    
encouraged  members to  work together  in a  bi-partisan way                                                                    
and  expressed  her  appreciation  for  the  opportunity  to                                                                    
testify.                                                                                                                        
                                                                                                                                
1:52:24 PM                                                                                                                    
                                                                                                                                
SUE  HULL, ASSOCIATION  OF ALASKA  SCHOOL BOARDS,  FAIRBANKS                                                                    
(via  teleconference),  encouraged  the  legislature  to  do                                                                    
whatever it needed to get  to a budget resolution. She urged                                                                    
funding  for the  BSA and  public education.  She asked  the                                                                    
committee to  consider holding firm regarding  fully funding                                                                    
the BSA in order to  allow for planning. She understood that                                                                    
the decisions  were difficult, but  she asked  the committee                                                                    
to do  the right thing  for kids. She thanked  the committee                                                                    
for its time.                                                                                                                   
                                                                                                                                
1:54:10 PM                                                                                                                    
                                                                                                                                
ALEX   WERTHEIMER,   SELF,  JUNEAU   (via   teleconference),                                                                    
testified  in support  of Medicaid  expansion. Additionally,                                                                    
he  asked  the  legislature  to fulfill  its  commitment  to                                                                    
education  that  it  made  the  prior  year.  He  asked  the                                                                    
legislature  to  begin  to consider  other  revenue  sources                                                                    
outside of oil. He stressed that  the oil taxes needed to be                                                                    
revisited.  He also  suggested  considering  the Percent  of                                                                    
Value (POV)  pay out  for the Permanent  Fund down  the road                                                                    
with a  set percentage  for dividends  and a  set percentage                                                                    
for the  state operating and  capital budgets. He  asked the                                                                    
committee  to  reinstate the  state  school  tax that  would                                                                    
provide  a revenue  stream  directed  towards education.  He                                                                    
thanked committee members for the opportunity to comment.                                                                       
                                                                                                                                
1:55:36 PM                                                                                                                    
                                                                                                                                
BOB  CRUMLEY,   SUPERINTENDENT,  CHUGACH   SCHOOL  DISTRICT,                                                                    
CHUGACH  (via  teleconference),   testified  in  support  of                                                                    
public education. He stressed  that public education was the                                                                    
backbone  of  democracy.  He  encouraged  full  funding  for                                                                    
education;  uncertainty around  funds  caused challenges  in                                                                    
school   district  planning.   He  suggested   that  without                                                                    
certainty, fully  funding education,  and without  passing a                                                                    
fully  funded budget  the legislature  was putting  Alaska's                                                                    
future  at risk  in the  long-term.  He stated  that in  the                                                                    
short-term a  range of services  were being  jeopardized. He                                                                    
thanked members of the legislature who supported education.                                                                     
                                                                                                                                
1:57:18 PM                                                                                                                    
                                                                                                                                
SARAH KEHOE, SELF, TALKEETNA  (via teleconference), spoke in                                                                    
strong   support   of   Medicaid   expansion   and   reform.                                                                    
Additionally, she was  in favor of Erin's  law as originally                                                                    
written. She  supported increased funding for  the Office of                                                                    
Children's  Services,   foster  care   services,  behavioral                                                                    
health,   and  substance   abuse  treatment   programs.  She                                                                    
supported  fully  funding  education,  including  Pre-K  and                                                                    
vocational education. She  was in favor of  using funds from                                                                    
the  CBR   and  money   allocated  for   the  Susitna-Watana                                                                    
Hydroelectric Project  as well as reducing  tax credits. She                                                                    
asked  the legislature  to  pass the  budget  as quickly  as                                                                    
possible to allow school districts  to plan. She thanked the                                                                    
committee for its work.                                                                                                         
                                                                                                                                
1:59:31 PM                                                                                                                    
                                                                                                                                
SUSAN  HANSEN, SELF,  FAIRBANKS (via  teleconference), spoke                                                                    
in opposition to cuts to  the Interpreter Referral Line. She                                                                    
believed the program had been  eliminated. She stressed that                                                                    
outsourcing  the service  was not  feasible. She  emphasized                                                                    
the  need for  qualified  interpreters.  She encouraged  the                                                                    
legislature  to work  in a  bipartisan way  and thanked  the                                                                    
committee for allowing her to testify.                                                                                          
                                                                                                                                
2:01:20 PM                                                                                                                    
                                                                                                                                
MARYBETH  HOLLEMAN,  SELF, ANCHORAGE  (via  teleconference),                                                                    
testified in  support of a  bipartisan budget.  She implored                                                                    
the committee to  look at oil company  tax credits stressing                                                                    
their need  to be cut.  She pointed her comments  to Senator                                                                    
Kevin  Meyer,   her  legislator,   who  she  felt   was  not                                                                    
representing her. She  eluded that as an employee  of one of                                                                    
the oil  companies, Senator Meyer  had a  potential conflict                                                                    
of  interest and  should  not  vote on  any  oil issues.  In                                                                    
closing she said, "Thank you."                                                                                                  
                                                                                                                                
2:02:27 PM                                                                                                                    
                                                                                                                                
SYLVIA  ETTEFAGH,   SELF,  WRANGELL   (via  teleconference),                                                                    
testified against  cuts to the Alaska  Marine Highway System                                                                    
(AMHS).  Cutting  the  ferry system  had  a  severe  revenue                                                                    
impact on  reliant communities.  She hoped  that legislators                                                                    
would look clearly at everything when making cuts.                                                                              
                                                                                                                                
2:04:04 PM                                                                                                                    
                                                                                                                                
MICHAEL CHAMBERS,  UNITED FOR LIBERTY,  ANCHORAGE, testified                                                                    
against  Medicaid  expansion. He  pointed  to  a study  that                                                                    
indicated Alaska's share of  Medicaid would be approximately                                                                    
$3  billion.  He  stressed  that  legislators  had  to  make                                                                    
difficult   decisions  including   redefining  the   state's                                                                    
government  services. He  added that  education was  already                                                                    
substantially funded. He thanked the committee.                                                                                 
                                                                                                                                
2:05:52 PM                                                                                                                    
                                                                                                                                
AARON SPRINGER, SELF,  ANCHORAGE, testified against Medicaid                                                                    
expansion  because of  the investment  that it  required and                                                                    
the state's  current fiscal condition. He  thanked committee                                                                    
members.                                                                                                                        
                                                                                                                                
2:06:52 PM                                                                                                                    
                                                                                                                                
SARAH HETEMI,  SELF, ANCHORAGE, testified that  the majority                                                                    
of  Alaskans supported  reducing  the  budget. She  believed                                                                    
more  state  funding  was  not an  option  at  present.  She                                                                    
furthered that Alaska  needed to live within  its means. She                                                                    
advocated   for  fiscal   restraint  and   a  reduction   in                                                                    
government spending. She thanked the committee.                                                                                 
                                                                                                                                
2:07:57 PM                                                                                                                    
                                                                                                                                
KRISTA VON BERGEN, SELF, ANCHORAGE,  spoke in favor of cuts.                                                                    
She stressed  that it was  critical to maintain  savings and                                                                    
stressed that  it was  not the  appropriate time  to deplete                                                                    
the state's savings. She did not  believe it was the time to                                                                    
increase the pay of government  employees or accept Medicaid                                                                    
expansion.  She  stood  with the  majority  of  Alaskans  by                                                                    
asking the  legislature to  produce a  significantly reduced                                                                    
budget prior to  a discussion of raising  taxes. She thanked                                                                    
committee members for their work.                                                                                               
                                                                                                                                
                                                                                                                                
2:09:06 PM                                                                                                                    
                                                                                                                                
Co-Chair  Neuman  ended public  testimony  for  the day.  He                                                                    
noted  that  82  people  testified during  the  meeting.  He                                                                    
suggested  that  others  were   welcome  to  submit  written                                                                    
testimony.                                                                                                                      
                                                                                                                                
HB  2001  was  HEARD  and  HELD  in  committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
He announced that the next House Floor Session would be                                                                         
held the following day at 1:00 p.m.                                                                                             
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
2:09:38 PM                                                                                                                    
                                                                                                                                
The meeting was adjourned at 2:09 p.m.                                                                                          

Document Name Date/Time Subjects
HB 2001 Public Testimony Pkt 1.pdf HFIN 5/22/2015 11:00:00 AM
HB2001
HB 2001 5-22 HFC Emailed Public Testimony.pdf HFIN 5/22/2015 11:00:00 AM
HB2001