Legislature(2023 - 2024)ADAMS 519

03/22/2023 01:30 PM House FINANCE

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02:37:54 PM Start
02:40:46 PM HB39 || HB41
02:40:48 PM Public Testimony: Fairbanks, Delta Junction, Kenai, Bethel, Cordova, Kotzebue, Nome, Utqiagvik
04:11:47 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Meeting Delayed Immediately After Session --
+ Presentation: Spring Revenue Forecast by TELECONFERENCED
Commissioner-Designee Adam Crum, Dan Stickel,
Chief Economist, and Colleen Glover, Tax
Division Director, Department of Revenue
+= HB 39 APPROP: OPERATING BUDGET/LOANS/FUND; SUPP TELECONFERENCED
Heard & Held
-- Public Testimony <2 Minute Limit> --
+= HB 41 APPROP: MENTAL HEALTH BUDGET TELECONFERENCED
Heard & Held
-- Public Testimony <2 Minute Limit> --
- Public Testimony 2:30 - 4:30 PM
- Fairbanks, Delta Junction, Kenai, Bethel,
Cordova, Kotzebue, Nome, Utqiagvik
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allotted time or testimony will close early
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Send written testimony to house.finance@akleg.gov
+ Bills Previously Heard/Scheduled TELECONFERENCED
                   HOUSE FINANCE COMMITTEE                                                                                      
                       March 22, 2023                                                                                           
                          2:37 p.m.                                                                                             
                                                                                                                                
2:37:54 PM                                                                                                                    
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair Johnson called the  House Finance Committee meeting                                                                    
to order at 2:37 p.m.                                                                                                           
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Bryce Edgmon, Co-Chair                                                                                           
Representative Neal Foster, Co-Chair                                                                                            
Representative DeLena Johnson, Co-Chair                                                                                         
Representative Julie Coulombe                                                                                                   
Representative Mike Cronk                                                                                                       
Representative Alyse Galvin                                                                                                     
Representative Sara Hannan                                                                                                      
Representative Andy Josephson                                                                                                   
Representative Dan Ortiz                                                                                                        
Representative Will Stapp                                                                                                       
Representative Frank Tomaszewski                                                                                                
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
None                                                                                                                            
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Gina Schumaker,  Alaska Center for FASD,  Anchorage; Michael                                                                    
Jeffery, Alaska  Center for  FASD, Utqiagvik;  Brian Ridley,                                                                    
Chief  Chairman, Tanana  Chiefs Conference,  Eagle; Danielle                                                                    
Logan, Self, Fairbanks.                                                                                                         
                                                                                                                                
PRESENT VIA TELECONFERENCE                                                                                                    
                                                                                                                                
Kara Carlson,  Deputy Director,  Interior Alaska  Center for                                                                    
Non-Violent  Living,  Fairbanks  LIO; Ana  Barbosa,  Victims                                                                    
Services  Director, Interior  Alaska Center  for Non-Violent                                                                    
Living,  Fairbanks; Brother  Tom Patmor,  Community of  Clam                                                                    
Culch,  Clam  Culch;  Susanna  Litwiniak,  President,  Kenai                                                                    
Peninsula Educational  Support Association, Moose  Pass; Jim                                                                    
Williams,  Mayor's  Office,  Fairbanks North  Star  Borough,                                                                    
Fairbanks;   Winter   Marshall-Allen,  Self,   Homer;   Kira                                                                    
Eckenweiler,  Administrative   Director,  Behavioral  Health                                                                    
Services, Norton Sound Health  Corp, Unalakleet; Sue Sherif,                                                                    
Self,  Fairbanks;  Margaret   Henson,  President,  Northwest                                                                    
Arctic  Borough School  District,  Kotzebue; Eileen  Arnold,                                                                    
Tundra  Womens   Coalition,  Bethel;  Roseann   Eban,  Self,                                                                    
Bethel;  Ellen  Ganley,  Self,  Fairbanks;  Maggie  Winston,                                                                    
Self,  Kenai;   Keisha  Simmons,  Self,   Fairbanks;  George                                                                    
Pierce,  Self, Kasilof;  Sarah Sears,  Self, Bethel;  Nathan                                                                    
Erfurth, President,  Kenai Peninsula  Education Association,                                                                    
Kenai;  Jaela Milford,  Self,  Bethel;  Patricia Lee,  Self,                                                                    
Fairbanks  LIO;   Nicole  Bowers,  Self,   Juneau;  Kathleen                                                                    
Douglass,  Self,  Kotzebue;  Alana  Greear,  Self,  Kachemak                                                                    
Selo;  Andy  Degraw,  Chief  Operations  Officer,  Fairbanks                                                                    
North Star School District,  Fairbanks; Zacary Nelson, Self,                                                                    
Fairbanks; David  Brighton, Self,  Kenai; June  Rogers, City                                                                    
Council   Member,  City   of  Fairbanks,   Fairbanks;  Marie                                                                    
Franich, Self,  Fairbanks; Sandi Ryan,  President, Fairbanks                                                                    
Education Association, Fairbanks.                                                                                               
                                                                                                                                
SUMMARY                                                                                                                       
                                                                                                                                
HB 39     APPROP: OPERATING BUDGET/LOANS/FUND; SUPP                                                                             
                                                                                                                                
          HB 39 was HEARD and HELD in committee for further                                                                     
          consideration.                                                                                                        
                                                                                                                                
HB 41     APPROP: MENTAL HEALTH BUDGET                                                                                          
                                                                                                                                
          HB 41 was HEARD and HELD in committee for further                                                                     
          consideration.                                                                                                        
                                                                                                                                
Co-Chair Johnson  reviewed the meeting agenda.  She reviewed                                                                    
public testimony protocol and call-in information.                                                                              
                                                                                                                                
HOUSE BILL NO. 39                                                                                                             
                                                                                                                                
     "An  Act making  appropriations for  the operating  and                                                                    
     loan  program  expenses  of state  government  and  for                                                                    
     certain   programs;    capitalizing   funds;   amending                                                                    
     appropriations;    making   reappropriations;    making                                                                    
     supplemental   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."                                                                                
                                                                                                                                
HOUSE BILL NO. 41                                                                                                             
     "An  Act making  appropriations for  the operating  and                                                                    
     capital    expenses   of    the   state's    integrated                                                                    
     comprehensive mental health  program; and providing for                                                                    
     an effective date."                                                                                                        
                                                                                                                                
2:40:46 PM                                                                                                                    
                                                                                                                                
^PUBLIC   TESTIMONY:  FAIRBANKS,   DELTA  JUNCTION,   KENAI,                                                                  
BETHEL, CORDOVA, KOTZEBUE, NOME, UTQIAGVIK                                                                                    
                                                                                                                                
2:40:48 PM                                                                                                                    
                                                                                                                                
GINA SCHUMAKER,  ALASKA CENTER  FOR FASD  (ACFF), ANCHORAGE,                                                                    
supported  funding for  aging and  disabilities. She  shared                                                                    
her  personal story  with Fetal  Alcohol Spectrum  Disorders                                                                    
(FASD). She communicated that she  was on the ACFF board and                                                                    
discussed  her career  and what  the  centers  mission.  She                                                                    
explained that  she was  diagnosed with FASD  at age  50 and                                                                    
had always  felt that something  was wrong with  her because                                                                    
she  learned differently  than  others.  She shared  details                                                                    
about  her personal  life. She  was reluctant  to share  her                                                                    
invisible disability  with others  in the  workplace because                                                                    
of  the  difficulty  people with  disabilities  had  finding                                                                    
jobs.  She spoke  in support  for the  Alaska Mental  Health                                                                    
Trusts   (AMHTA) recommendation  for  $300,000 and  $250,000                                                                    
for  aging  and  disability  centers in  the  Department  of                                                                    
Health  (DOH)  and  for  $1.5000,000   for  the  Crisis  Now                                                                    
Continuum of Care. She thanked the committee.                                                                                   
                                                                                                                                
2:43:14 PM                                                                                                                    
                                                                                                                                
MICHAEL JEFFERY,  ALASKA CENTER  FOR FASD,  UTQIAGVIK, spoke                                                                    
in favor of  funding for disability services.  He shared his                                                                    
life experience and noted that  he had been a Superior Court                                                                    
Judge for 36 years and  had experience working with FASD. He                                                                    
reported  that  FASD was  an  invisible  disability. In  his                                                                    
prior career  he realized  that there  were many  people who                                                                    
had needs  for adaptation,  but it was  not visible,  and he                                                                    
was unaware of  the issue. He had to change  his approach to                                                                    
his  work. He  asked the  committee to  support the  AMHTAs                                                                     
recommended  amount  for  the Aging  &  Disability  Resource                                                                    
Centers  (ADRC). The  Crisis Now  Continuum  of Care  within                                                                    
DOH,  and  wholistic  defense  within  the  Public  Defender                                                                    
Agency. He  believed that  all of  the items  helped provide                                                                    
important services  for individuals that  needed adaptations                                                                    
to live their lives.                                                                                                            
                                                                                                                                
2:45:25 PM                                                                                                                    
                                                                                                                                
KARA CARLSON,  DEPUTY DIRECTOR,  INTERIOR ALASKA  CENTER FOR                                                                    
NON-VIOLENT  LIVING,  FAIRBANKS  LIO  (via  teleconference),                                                                    
testified in  support of increased  funding for  the Council                                                                    
on  Domestic  Violence and  Sexual  Assault  (CDVSA) in  the                                                                    
Department of  Public Safety (DPS) for  victim services. She                                                                    
indicated that  the budget included a  one-time increment of                                                                    
$3  million  in  General  Funds (GF)  and  $3.5  million  in                                                                    
federal funding  for victim services.  She was  grateful for                                                                    
the  one-time increase  but  emphasized  that utilities  and                                                                    
expenses had increased for the  center, but funding had not.                                                                    
She hoped  the committee  could find adequate  funding going                                                                    
forward. She was in support  of two additional positions for                                                                    
the Violent  Crimes Compensation Board (VCCB).  She believed                                                                    
that when  victims were  compensated in  a timely  manner it                                                                    
facilitated  healing. In  addition, she  requested increased                                                                    
support  in the  areas of  domestic violence  prevention and                                                                    
accountability  of  offenders  through  prevention  programs                                                                    
that were  crucial in changing societal  and community norms                                                                    
to help break the cycle of violence.                                                                                            
                                                                                                                                
2:47:41 PM                                                                                                                    
                                                                                                                                
ANA  BARBOSA,  VICTIMS  SERVICES DIRECTOR,  INTERIOR  ALASKA                                                                    
CENTER    FOR    NON-VIOLENT    LIVING,    FAIRBANKS    (via                                                                    
teleconference),  testified in  support of  CDVSAs  victims'                                                                    
support services  in DPS.  She relayed  that the  center had                                                                    
been struggling  with staff retention and  had experienced a                                                                    
high  turnover rate.  Staff was  working long  hours without                                                                    
additional  compensation  to  keep  up  with  the  increased                                                                    
workload.  The  center was  unable  to  hire more  staff  to                                                                    
provide  its wide  range of  services  and support  employee                                                                    
morale  and  workload.  The cost  of  living  had  increased                                                                    
significantly, and the centers   average employee was unable                                                                    
to sustain itself  on the current salary.  She believed that                                                                    
a  long-term solution  for the  agency's budget  was needed.                                                                    
She  emphasized  the  importance  of  programs  in  violence                                                                    
prevention and developing new programs  to decrease crime in                                                                    
the state and advocated for more support in these areas.                                                                        
                                                                                                                                
2:50:15 PM                                                                                                                    
                                                                                                                                
BRIAN  RIDLEY,  CHIEF  CHAIRMAN, TANANA  CHIEFS  CONFERENCE,                                                                    
EAGLE, requested  support for an  increase in the  K-12 Base                                                                    
Student  Allocation (BSA)  and  for  inflation proofing  the                                                                    
education  budget.   He  related   that  he  was   not  only                                                                    
testifying on  behalf of the Tanana  Chiefs Conference (TCC)                                                                    
but also  the Alaska Regional Coalition  (ARC), a consortium                                                                    
of four  Alaska regional native nonprofit  organizations and                                                                    
one  regional  tribe  that represented  101  tribes  and  65                                                                    
thousand   Alaskans  around   the   state.  The   conference                                                                    
supported  increased  public   education  funding  including                                                                    
inflation  proofing  and  indicated that  lacking  inflation                                                                    
proofing  amounted  to  funding  cuts.  The  coalition  also                                                                    
supported early childhood programs  including $5 million for                                                                    
Head  Start and  cultural specialists  for The  Alaska Reads                                                                    
Act.  In addition,  the coalition  supported funding  in the                                                                    
Department  of  Health to  eliminate  the  SNAP backlog  and                                                                    
upgrade  its computer  systems.  The organization  supported                                                                    
expanded  Medicaid Postpartum  Care  services and  requested                                                                    
enhanced support for behavioral  health services not covered                                                                    
by  the   1115  Medicaid   waiver.  Lastly,   the  coalition                                                                    
supported  the  enhancement  of the  Village  Public  Safety                                                                    
Officer (VPSO) program by 10  officers for $2.8 million, the                                                                    
VPSO  director position,  and  proposed  increase for  rural                                                                    
trooper housing. He asked the  committee to consider ways to                                                                    
maximize  federal  infrastructure   grants  in  the  capital                                                                    
budget.                                                                                                                         
                                                                                                                                
2:53:53 PM                                                                                                                    
                                                                                                                                
Representative Cronk thanked Chief  Ridley for his testimony                                                                    
in person.                                                                                                                      
                                                                                                                                
2:54:10 PM                                                                                                                    
                                                                                                                                
BROTHER  TOM PATMOR,  COMMUNITY  OF CLAM  CULCH, CLAM  CULCH                                                                    
(via teleconference), spoke in  support of road improvements                                                                    
for  his community.  He  shared that  the  community had  no                                                                    
stores, church, communal  buildings, or other infrastructure                                                                    
except  for one  road. He  explained  that the  road in  the                                                                    
community  was  the only  public  access  to the  beach  and                                                                    
during  clam digging  season over  2 thousand  people a  day                                                                    
used the  road. The  road was designated  for two  lanes but                                                                    
there were  several places it  was too narrow for  both cars                                                                    
and had no guardrails. He  noted that the road was dangerous                                                                    
and  shared  personal  experience of  a  perilous  situation                                                                    
where people could have died.  He indicated that it would be                                                                    
the perfect year to fix the road.                                                                                               
                                                                                                                                
2:57:00 PM                                                                                                                    
                                                                                                                                
Co-Chair Johnson recognized  Representative Justin Ruffridge                                                                    
in the audience.                                                                                                                
                                                                                                                                
2:57:43 PM                                                                                                                    
                                                                                                                                
SUSANNA  LITWINIAK, PRESIDENT,  KENAI PENINSULA  EDUCATIONAL                                                                    
SUPPORT    ASSOCIATION     (PESA),    MOOSE     PASS    (via                                                                    
teleconference),  testified in  support of  a BSA  increase.                                                                    
She shared that  she was a secretary in a  public school and                                                                    
the  mother of  a  student in  the  Kenai Peninsula  Borough                                                                    
School   District  (KPBSD).   She  requested   a  meaningful                                                                    
increase in  the education budget  in order to  retain vital                                                                    
and essential support staff that  served schools in a number                                                                    
of   capacities   that  included   administrative   support,                                                                    
custodians, and  nurses. She  related that  individuals were                                                                    
leaving the district  because they could not  afford to work                                                                    
there.  She   believed  that  students  lost   a   sense  of                                                                    
belonging  in their  schools  when  they lose  support staff                                                                    
that carried  out vital school  functions. She spoke  of the                                                                    
residual effects of insufficient  support staff on remaining                                                                    
staff  that  included  burnout,   which  created  even  more                                                                    
vacancies.  Due  to  the  anticipated  budget  deficit,  the                                                                    
district  was   considering  cutting  school   managers  and                                                                    
theatre  technicians. She  asked for  a meaningful  increase                                                                    
for  education  in  consideration   of  the  impacts  budget                                                                    
shortfalls  imposed on  students,  essential support  staff,                                                                    
and the community.                                                                                                              
                                                                                                                                
3:00:10 PM                                                                                                                    
                                                                                                                                
JIM WILLIAMS,  MAYOR'S OFFICE, FAIRBANKS NORTH  STAR BOROUGH                                                                    
(FNSB), FAIRBANKS  (via teleconference),  spoke in  favor of                                                                    
community assistance,  school debt reimbursement, and  a BSA                                                                    
increase. He informed the committee  that the mayors  office                                                                    
was  in the  process of  writing next  years  education  and                                                                    
overall  budget. He  highlighted the  impacts of  inflation,                                                                    
workforce, and  interest rates on  the community.  They were                                                                    
working  to  bring  down  mill rates  and  create  a  frugal                                                                    
budget. He spoke  in support of community  assistance in the                                                                    
amount of  $30 million, full school  debt reimbursement, and                                                                    
a  BSA increase.  He noted  it  had been  seven years  since                                                                    
there had  been an increase  in the BSA and  added inflation                                                                    
was  eating up  school funds.  The community  was unable  to                                                                    
contribute enough  to makeup for inflation  and he requested                                                                    
the state increase BSA funding.                                                                                                 
                                                                                                                                
Representative Stapp thanked Mr. Williams for testifying.                                                                       
3:03:19 PM                                                                                                                    
                                                                                                                                
WINTER  MARSHALL-ALLEN,  SELF, HOMER  (via  teleconference),                                                                    
testified in  support of education funding.  She agreed with                                                                    
the  prior caller  about the  detrimental effects  of losing                                                                    
support and certified education  staff. There were currently                                                                    
over 2,100 certified positions  open statewide. She reminded                                                                    
the  committee that  the Department  of Education  and Early                                                                    
Developments   (DEED)  motto  was   to   reach,  teach,  and                                                                    
inspire,   was  not  happening   under  the  current  fiscal                                                                    
situation.  She   stated  the   squeeze  of   inflation  was                                                                    
impacting  schools  and  direct services  to  Alaskans.  She                                                                    
believed  it  was  imperative the  state  find  new  revenue                                                                    
streams. She emphasized that  the states  financial problems                                                                    
were  increasingly compounding.  She  had observed  teachers                                                                    
leaving the state  10 years prior and  thought the situation                                                                    
did  not  provide  stability  nor  a  quality  education  to                                                                    
students. She  requested adequate funding for  education and                                                                    
all support services in the  state and asked the legislature                                                                    
to  help  communities  find  solutions  that  would  make  a                                                                    
difference.                                                                                                                     
                                                                                                                                
3:06:19 PM                                                                                                                    
                                                                                                                                
KIRA   ECKENWEILER,   ADMINISTRATIVE  DIRECTOR,   BEHAVIORAL                                                                    
HEALTH SERVICES,  NORTON SOUND HEALTH CORP,  UNALAKLEET (via                                                                    
teleconference), supported  behavioral health  services. She                                                                    
discussed  the  benefits of  growing  up  in a  small  rural                                                                    
community  , yet  acknowledged there  were also  issues. She                                                                    
shared  that she  knew 20  individuals who  had taken  their                                                                    
lives. She  had lost family  to murder and  substance abuse.                                                                    
She had  experienced many things  she did not  want children                                                                    
to  experience  and  wanted her  community  to  thrive.  She                                                                    
reported   on   the   difficulty  people   experience   when                                                                    
attempting to  receive care. She  stated that 50  percent of                                                                    
her clients were  on acute care and went  to Emergency Rooms                                                                    
(ER) for  mental health and substance  abuse issues. Funding                                                                    
from  the  state  was  vital  to  help  fund  mental  health                                                                    
clinicians, build  substance abuse prevention  programs, and                                                                    
help the  community feel empowered. She  emphasized that the                                                                    
work was not a moneymaking business.                                                                                            
                                                                                                                                
3:08:33 PM                                                                                                                    
                                                                                                                                
SUE SHERIF, SELF,  FAIRBANKS (via teleconference), testified                                                                    
against the  elimination of $403,700 for  the Public Library                                                                    
Assistance  Grant  program.  She characterized  the  cut  as                                                                    
 devastating.   She  relayed  that  she  founded  the  Healy                                                                    
library and had worked with  the states  rural libraries for                                                                    
9 years.  She knew the  impact the reduction would  bring to                                                                    
the state library program. She  indicated that the cut would                                                                    
be detrimental to small community  based libraries where the                                                                    
$7,000  grant   represented  50  percent  of   their  annual                                                                    
operating  budget  that  included maintaining  at  least  10                                                                    
hours  of services  each week.  She added  that most  of the                                                                    
small  community libraries  survived on  the state  grant as                                                                    
well as  matching grants from  other sources,  fund raisers,                                                                    
volunteers, and lots  of community support and  did not have                                                                    
the  funding larger  urban  libraries  had through  property                                                                    
tax.  The  small  libraries  were a  bargain  to  the  state                                                                    
providing  learning, cultural  programs, reading  materials,                                                                    
and  internet access  in rural  areas.  She emphasized  that                                                                    
there was no  waste to be cut. The modest  program should be                                                                    
a point of pride  in a high cost state and  not a target for                                                                    
budget cuts.  She spoke of  the effectiveness of  the grant.                                                                    
She  also  requested  $635,000  for  the  Statewide  Library                                                                    
Electronic Doorway (SLED) program.                                                                                              
                                                                                                                                
Representative  Galvin   thanked  Ms.  Sherif   for  helping                                                                    
legislators  to understand  that  a  rural library  operates                                                                    
differently than  an urban  library and  placed them  in the                                                                    
context  of how  their  services  provide critically  needed                                                                    
opportunities in those communities.                                                                                             
                                                                                                                                
Representative Josephson asked Ms.  Sherif for a description                                                                    
of  the SLED  program.  Ms. Sherif  answered  that the  SLED                                                                    
program was  an online  database were the  digital resources                                                                    
allowed  people all  over  the state  to  get authentic  and                                                                    
authoritative   information   versus   just   googling   the                                                                    
information and reinforced the work  of rural libraries. She                                                                    
stressed that it  was a vital resource for  people living in                                                                    
communities without a library.                                                                                                  
                                                                                                                                
3:13:03 PM                                                                                                                    
                                                                                                                                
MARGARET HENSON, PRESIDENT,  NORTHWEST ARCTIC BOROUGH SCHOOL                                                                    
DISTRICT,  KOTZEBUE   (via  teleconference),   testified  in                                                                    
support of  an increase to education  funding. She supported                                                                    
an  increase  to the  BSA  to  $7,210  on  behalf of  the  2                                                                    
thousand  students  in  her  district.  She  referenced  the                                                                    
governors   initiative  to   recruit,  attract,  and  retain                                                                    
qualified  teachers however,  the  school districts  growing                                                                    
financial crisis  was being ignored.  She shared  that COVID                                                                    
funding;  the  Elementary  and  Secondary  School  Emergency                                                                    
Relief Fund  (ESSER Fund), had  helped the district  pay for                                                                    
Pre-K,   counselors,   major   maintenance,   and   critical                                                                    
personnel over  the past three  years as well as  $1 million                                                                    
to  provide  school lunches.  She  reported  that the  ESSER                                                                    
funding  was  no  longer  available  to  cover  the  program                                                                    
shortfalls  and  the  district   was  facing  a  $1  million                                                                    
deficit. She  emphasized that the  state could  not continue                                                                    
to  ignore the  education  financial crisis.  She asked  the                                                                    
state  to take  care of  its  most valuable  resource    its                                                                    
children. She urged support for the funding increase.                                                                           
                                                                                                                                
3:15:58 PM                                                                                                                    
                                                                                                                                
Co-Chair   Edgmon  temporarily   chaired  the   meeting  and                                                                    
reminded individuals of the two-minute testimony limit.                                                                         
                                                                                                                                
EILEEN ARNOLD,  TUNDRA WOMENS  COALITION (TWC),  BETHEL (via                                                                    
teleconference), testified  in support for  CDVSAs  victim's                                                                    
services in the DPS budget.  She shared that over 900 people                                                                    
sought  services from  TWC in  2022. She  listed all  of the                                                                    
services  TWC  provided  including shelter,  teen  advocacy,                                                                    
youth  advocacy,   housing  vouchers  and   assistance,  and                                                                    
outreach  and  education.  She reported  that  it  could  be                                                                    
difficult to get a law  enforcement response in rural Alaska                                                                    
and people  could turn to  victims' services  in communities                                                                    
where  law enforcement  was lacking.  The agency  spent over                                                                    
$10,000 on heating fuel in  January in addition to increased                                                                    
food costs and not  accounting for the increases represented                                                                    
a  loss  to  the  program. She  believed  that  victims  and                                                                    
survivors deserved  excellent advocates  and TWC had  to pay                                                                    
competitive  salaries in  the region.  She noted  that staff                                                                    
turnover  dropped when  TWC increased  its wages.  She asked                                                                    
the committee to consider victims services in the budget.                                                                       
                                                                                                                                
3:18:38 PM                                                                                                                    
                                                                                                                                
ROSEANN EBAN,  SELF, BETHEL (via  teleconference), supported                                                                    
funding  for  CDVSA  and  shared that  she  was  a  domestic                                                                    
violence  survivor.  She appreciated  all  of  the help  she                                                                    
received when she and her  son arrived at TWC and emphasized                                                                    
that the organization saved her life.                                                                                           
                                                                                                                                
Representative  Galvin  thanked  Ms.  Eban  for  having  the                                                                    
courage to share her story.                                                                                                     
                                                                                                                                
3:20:22 PM                                                                                                                    
                                                                                                                                
ELLEN   GANLEY,   SELF,  FAIRBANKS   (via   teleconference),                                                                    
testified  in support  of  the  Medicaid Self-Directed  Care                                                                    
Services  program  for  seniors and  disabled  persons.  She                                                                    
explained  that   the  programs   services   were  typically                                                                    
provided  through agencies,  which tended  to slow  services                                                                    
down and was especially  needed in rural communities lacking                                                                    
care workers and where family  and friends could be employed                                                                    
by  the person  needing home  support and  paid through  the                                                                    
Medicaid  program directly.  She indicated  that there  were                                                                    
cost  savings associated  with the  program and  many senior                                                                    
and  disabled  people  wished  to   remain  in  their  home.                                                                    
Assisted living  and institutional  care cost more  than the                                                                    
self-directed care  programs. She supported an  amendment to                                                                    
the  budget to  support the  first years   development of  a                                                                    
program and after that it would  be a waiver program with no                                                                    
impact to the state.                                                                                                            
                                                                                                                                
3:23:27 PM                                                                                                                    
                                                                                                                                
MAGGIE WINSTON, SELF,  KENAI (via teleconference), testified                                                                    
in favor of spending on  Medicaid services. She relayed that                                                                    
she   relied  on   Medicaid  services   and  supported   the                                                                    
governor's   $1.5    million   increment    that   supported                                                                    
independent  living centers  in  the  Senior and  Disability                                                                    
Services (SDS) Community Based  Grant program versus relying                                                                    
on costly nursing facilities. She  thanked the committee for                                                                    
its support.  She was pleased  for the growing  awareness in                                                                    
the   legislature  about   participant  self-directed   care                                                                    
services.  She voiced  that the  option would  allow her  to                                                                    
have  more autonomy  and control  over her  services and  it                                                                    
addressed   crucial  workforce   issues.   She  favored   an                                                                    
additional increment for SDS self-directed services.                                                                            
                                                                                                                                
3:24:56 PM                                                                                                                    
                                                                                                                                
KEISHA  SIMMONS,   SELF,  FAIRBANKS   (via  teleconference),                                                                    
supported  disability  funding.  She  shared  that  she  was                                                                    
paralyzed from the chest down  resulting from an accident at                                                                    
15 years  of age. Prior  to her  waiver, her mom  and sister                                                                    
were doing everything  for her at home.  Her Medicaid waiver                                                                    
enabled her mother and sister to have successful careers.                                                                       
She  had  been  able  to  get a  master's  degree  from  the                                                                    
University  of  Alaska  Fairbanks (UAF)  and  was  gainfully                                                                    
employed  for  21  years.  She  believed  that  people  with                                                                    
disabilities  are  more  reliable and  work harder   because                                                                    
they had to  fight  to  be employed. The Medicaid waiver had                                                                    
been incredible for her and  her family whom all turned into                                                                    
productive  taxpayers.  She  currently had  caregivers  that                                                                    
came to her  home and got her out in  the community. She was                                                                    
an active volunteer in the  community. She expressed sadness                                                                    
because  she  had  considered moving  into  a  nursing  home                                                                    
because of the shortage of  caregivers. She reported that it                                                                    
was even  sadder for families  without a waiver  because the                                                                    
waiting list  was so long.  There was  a real crisis  in the                                                                    
caregiving  world  due  to low  wages.  She  also  supported                                                                    
participant directed  Medicaid services and funding  to help                                                                    
increase  caregiver salaries.  She  urged  the committee  to                                                                    
fund disability services.                                                                                                       
                                                                                                                                
3:28:46 PM                                                                                                                    
                                                                                                                                
GEORGE PIERCE,  SELF, KASILOF (via  teleconference), opposed                                                                    
any  increases   in  the  budget.  He   indicated  that  the                                                                    
following years   budget would comprise 65  percent of state                                                                    
revenue from  the Permanent Fund  and roughly 30  percent to                                                                    
35 percent from oil revenue.  He believed that Alaska needed                                                                    
to recover from  excessive  government spending.  He pointed                                                                    
out that the price of  oil fluctuated. He opposed the salary                                                                    
increase  for  legislators.  He believed  that  Undesignated                                                                    
General Fund (UGF) would decline  by 20 percent by next year                                                                    
and  supported a  spending limit.  He  supported a  balanced                                                                    
approach and  felt the  state should not  be reliant  on the                                                                    
price of oil.                                                                                                                   
                                                                                                                                
3:32:24 PM                                                                                                                    
                                                                                                                                
SARAH  SEARS, SELF,  BETHEL (via  teleconference), testified                                                                    
in support for CDVSA victim  services in the DPS budget. She                                                                    
shared  that she  was a  family nurse  practitioner. In  her                                                                    
work, she  carried out  the forensic  exams on  children who                                                                    
arrived  at the  Child Advocacy  Center following  sexual or                                                                    
physical abuse  or after  witnessing domestic  violence. She                                                                    
requested full funding for  victims' services. She explained                                                                    
that she was  the leader of the medical  sexual assault team                                                                    
and  the child  maltreatment  team  for the  Yukon-Kuskokwim                                                                    
Delta  (YK  Delta).  She worked  closely  with  many  native                                                                    
organizations and  state agencies.  She detailed  that after                                                                    
an   incident  advocates,   law  enforcement,   and  medical                                                                    
practitioners   come  together   and  provide   support  and                                                                    
resources for the survivor until  the case was resolved. She                                                                    
reiterated  that   TWC  provided   shelter  for   women  and                                                                    
children. She voiced that TWC  had to constantly worry about                                                                    
insufficient funding and coupled  with inflation they had to                                                                    
provide less programmatic support.                                                                                              
3:34:30 PM                                                                                                                    
                                                                                                                                
NATHAN   ERFURTH,  PRESIDENT,   KENAI  PENINSULA   EDUCATION                                                                    
ASSOCIATION,  KENAI  (via   teleconference),  advocated  for                                                                    
increased education  funding and  support for  mental health                                                                    
services. He relayed  that he was a history  teacher and had                                                                    
lost  students to  suicide. He  shared his  experience about                                                                    
the loss of  a student that had been  threatening suicide at                                                                    
school and  subsequently died  due to  insufficient support.                                                                    
He  emphasized that  mental health  issues were  endemic and                                                                    
increasing and he considered it  a crisis. Mental health was                                                                    
a top priority for  educators because students often confide                                                                    
in teachers  when more help  was needed. He  emphasized that                                                                    
the statistics  in Alaska were terrifying.  He believed that                                                                    
more  young  people  would survive  with  more  support  and                                                                    
resources. He asked for an  increase in education funding in                                                                    
the BSA and  added that stable funding was  critical for all                                                                    
students   futures.  Cutting  schools  or  leaving  them  to                                                                    
languish  did  not serve  students,  the  workforce, or  the                                                                    
state.  He commented  that running  a  healthy society  took                                                                    
resources.                                                                                                                      
                                                                                                                                
3:36:45 PM                                                                                                                    
                                                                                                                                
JAELA MILFORD,  SELF, BETHEL (via teleconference),  spoke in                                                                    
favor  of funding  for CDVSA  victims  services.  She shared                                                                    
that she worked as the  Executive Director for Winter House,                                                                    
a homeless shelter  in Bethel. She referenced  TWC in Bethel                                                                    
and  relayed that  Winter  House and  TWC  had been  service                                                                    
partners  for  many  years.  Currently,  TWC  provided  free                                                                    
clothing  and   winter  gear   for  Winter   House.  Similar                                                                    
donations and support enabled Winter  House to operate as an                                                                    
emergency   shelter.  In   addition,  TWC   implemented  and                                                                    
continued to lead the housing  coalition to end homelessness                                                                    
in Bethel. With  the help of TWC, Winter House  will build a                                                                    
24 unit apartment complex and  offer other homeless services                                                                    
throughout the  region. Full funding  will help  TWC provide                                                                    
life changing resources.                                                                                                        
                                                                                                                                
3:39:02 PM                                                                                                                    
                                                                                                                                
PATRICIA  LEE,  SELF,  FAIRBANKS LIO  (via  teleconference),                                                                    
spoke  in favor  of  support for  people with  disabilities,                                                                    
caregivers, and  reducing the waiver  list. She  shared that                                                                    
her son had recently passed  away. She had the  opportunity                                                                     
to help  her son and learn  how to obtain care  for a person                                                                    
with disabilities. She discussed  the low salary provided to                                                                    
caregivers.  She   indicated  that  the  pay   for  personal                                                                    
caregivers  was  so low  that  an  individual had  a  higher                                                                    
salary working at McDonalds.  She emphasized that caregivers                                                                    
were   very  important   to  the   lives   of  people   with                                                                    
disabilities  and  their families.  She  had  to become  her                                                                    
sons  personal caregiver and was  allotted 18 hours per week                                                                    
at $15 per  hour even though she provided 24  hour care. She                                                                    
wondered who  could live on such  a low a salary.  She asked                                                                    
the committee to consider giving  a  reasonable  living wage                                                                    
of up to $25 per hour.                                                                                                          
                                                                                                                                
3:41:56 PM                                                                                                                    
                                                                                                                                
DANIELLE   LOGAN,  SELF,   FAIRBANKS,  supported   increased                                                                    
education funding.  She shared that  she was an  educator in                                                                    
the Fairbanks  North Star  Borough School  District (FNSBSD)                                                                    
and currently served as president  of the  Education Support                                                                    
Staff  Association (ESSA).  She relayed  that over  the past                                                                    
seven years the  school district had changed  due to  fiscal                                                                    
struggles.  She observed more turnover  in the support staff                                                                    
than  in  prior  years  and   many  support  positions  were                                                                    
proposed to be  cut and were often the first  to be cut with                                                                    
tight  funding.  The  custodial staff  was  shorthanded  and                                                                    
often  schools  were  run without  custodial  services.  She                                                                    
shared that undertrained  staff were being asked  to do jobs                                                                    
that were not in their  area of expertise. She believed that                                                                    
students ultimately suffer from  the situation. She believed                                                                    
that  being   an  educator  was  becoming   harder  and  the                                                                    
situation existed  prior to the pandemic.  She believed that                                                                    
every  educator cared  about students  and  wanted what  was                                                                    
best for  their students.  She commented that  support staff                                                                    
were essential to running a  school and they were the lowest                                                                    
paid employees  in the  district. She  listed the  many ways                                                                    
support staff  assisted running the school.  She stated that                                                                    
there  was rapid  turnover and  over 80  percent of  support                                                                    
staff  had a  second  job. She  characterized support  staff                                                                    
jobs as  hard.  She asked  for a significant increase to the                                                                    
BSA.                                                                                                                            
                                                                                                                                
Representative  Stapp  thanked  Ms. Logan  for  representing                                                                    
Fairbanks.                                                                                                                      
                                                                                                                                
3:45:24 PM                                                                                                                    
                                                                                                                                
NICOLE BOWERS, SELF,  JUNEAU (via teleconference), supported                                                                    
funding for  childcare grants.  She related  that she  was a                                                                    
teacher at a daycare center  for 5 years. She explained that                                                                    
the funding went directly to  support wages for teachers and                                                                    
staff.   Currently,    daycare   centers    were   extremely                                                                    
understaffed,  and  they  were struggling  to  keep  quality                                                                    
staff  primarily  due to  low  wages.  She shared  that  she                                                                    
previously   switched  her   workplace  because   the  prior                                                                    
childcare  center   closed  due   to  lack  of   staff.  She                                                                    
emphasized  that   someone  made   more  money   working  at                                                                    
McDonalds  than  caring  for   children.  She  reminded  the                                                                    
committee that  without  teachers the childcare system would                                                                    
crumble,  which was  already happening.  Higher wages  would                                                                    
help mitigate the problem.                                                                                                      
                                                                                                                                
3:47:23 PM                                                                                                                    
                                                                                                                                
KATHLEEN  DOUGLASS,  SELF,  KOTZEBUE  (via  teleconference),                                                                    
spoke  in  favor of  funding  for  disability services.  She                                                                    
shared  that she  was  the  mother of  a  son with  multiple                                                                    
disabilities  who  could not  do  any  of his  daily  living                                                                    
chores by himself.  He was happy and currently  living in an                                                                    
adult  facility  for   individuals  with  disabilities.  She                                                                    
detailed  that  the  family had  a  longtime  caregiver  who                                                                    
eventually  moved  away, and  they  were  unable to  find  a                                                                    
replacement.  Subsequently, her  husband,  the son's  father                                                                    
was killed  in an automobile  accident, and she was  left as                                                                    
the sole provider  and had to reduce her  work to part-time,                                                                    
which was a  hardship. He moved into a  disability home when                                                                    
he was 16  and she was grateful for the  home and great care                                                                    
they  provide her  son. She  communicated that  the facility                                                                    
was short-staffed  and needed additional funding.  She asked                                                                    
for an increase for home and community disability services.                                                                     
                                                                                                                                
3:50:40 PM                                                                                                                    
                                                                                                                                
ALANA  GREEAR,  SELF,  KACHEMAK SELO  (via  teleconference),                                                                    
called  in  support of  education  funding.  She was  a  K-6                                                                    
teacher and  was the  only certified  staff in  the district                                                                    
due  to  budget  cuts  over  the  past  several  years.  She                                                                    
believed that  the students were not  thriving academically.                                                                    
She had  heard students cry  and testify from  all districts                                                                    
about  what  made  schools   important  for  them;  theatre,                                                                    
sports,  pools, etc.  She observed  new  teachers having  to                                                                    
leave because they could not  afford housing and because the                                                                    
retirement system was  broken. She asked for  an increase to                                                                    
the BSA.                                                                                                                        
                                                                                                                                
3:53:02 PM                                                                                                                    
ANDY DEGRAW, CHIEF OPERATIONS  OFFICER, FAIRBANKS NORTH STAR                                                                    
SCHOOL DISTRICT,  FAIRBANKS (via  teleconference), testified                                                                    
in support of an increase  in education funding. He spoke to                                                                    
the  arguments regarding  education spending  and felt  they                                                                    
lacked  context.  He  indicated that  FNSBSD  was  currently                                                                    
facing a $17  million deficit and was out  of cash reserves.                                                                    
The  district  was  in  the process  of  spending  down  the                                                                    
remaining  $4  million  in COVID  funds.  The  district  was                                                                    
forced  to  eliminate  85  staff  (over  6  percent  of  the                                                                    
workforce)  in all  areas of  the district  and had  cut 230                                                                    
positions  representing  a little  over  13  percent of  its                                                                    
workforce in the last 3  years. He believed that pointing to                                                                    
statistics  and  figures  lacked   context,  but  his  prior                                                                    
figures did  not need  any to  understand the  situation. In                                                                    
addition,  the district  was increasing  class sizes  at the                                                                    
kindergarten  level  up to  27  students,  which meant  some                                                                    
classes would end  up with 30 students. He  stressed that 30                                                                    
kids  in a  classroom was  a  lot. The  high school  classes                                                                    
would increase  up to  35 students  per class.  He indicated                                                                    
that  the   district  eliminated  millions  of   dollars  in                                                                    
contracts  and leases.  He called  for action  on increasing                                                                    
the BSA.                                                                                                                        
                                                                                                                                
Representative Stapp thanked Mr. Degraw for calling in.                                                                         
                                                                                                                                
3:56:55 PM                                                                                                                    
                                                                                                                                
ZACARY  NELSON, SELF,  FAIRBANKS  (via teleconference),  was                                                                    
calling on  behalf of a friend  who had suffered from  a car                                                                    
accident  a number  of  years back.  He  indicated that  the                                                                    
individual did  receive a Medicaid  waiver yet  struggled to                                                                    
get  caregivers.  He  stated the  family  spent  $15,000  to                                                                    
$20,000  annually  to support  the  individual.  He did  not                                                                    
believe  people understood  the level  of need  that existed                                                                    
when  someone  suffered  a disability.  He  felt  that  that                                                                    
amount  was unreachable  for many  middleclass families.  He                                                                    
was grateful for the help  that was given and indicated that                                                                    
it was hard to compete  with McDonalds. He supported funding                                                                    
for a living wage for caregivers. He thanked the committee.                                                                     
                                                                                                                                
Representative Stapp thanked Mr. Nelson for calling in.                                                                         
                                                                                                                                
3:59:44 PM                                                                                                                    
                                                                                                                                
DAVID BRIGHTON, SELF,  KENAI (via teleconference), supported                                                                    
an increase  to the BSA.  He offered  that he was  a special                                                                    
education  teacher  and  father   of  two  students  in  the                                                                    
district.  He stressed  that schools  had been  bleeding for                                                                    
years  from small  cuts. He  stated that  inflation made  it                                                                    
impossible  to maintain  the same  level  of education.  His                                                                    
classroom  no longer  had a  whiteboard because  it was  too                                                                    
expensive and  he was using  shower wall material  from Home                                                                    
Depot, which was  inadequate. He emphasized the  need for an                                                                    
increase. He  had worked for  the district for 15  years and                                                                    
saw many  teachers leaving  the state  due to  an inadequate                                                                    
retirement  system.   He  characterized  the   situation  as                                                                    
 dire. He underscored the need for a BSA increase.                                                                              
                                                                                                                                
4:01:52 PM                                                                                                                    
                                                                                                                                
JUNE  ROGERS,  CITY  COUNCIL   MEMBER,  CITY  OF  FAIRBANKS,                                                                    
FAIRBANKS  (via  teleconference),  urged  the  committee  to                                                                    
fully  recapitalize the  community  assistance  fund for  FY                                                                    
2024.   She  believed   that  it   was   a  very   important                                                                    
 partnership.   She   vocalized  support  for   funding  the                                                                    
service  cost for  the Public  Employees' Retirement  System                                                                    
(PERS). In  addition, she  supported maintaining  the sexual                                                                    
assault response team  funding in the DPS  budget. She asked                                                                    
the committee  to give attention  to all of the  issues. She                                                                    
thanked the committee.                                                                                                          
                                                                                                                                
Representative Stapp thanked Ms. Rogers for calling in.                                                                         
                                                                                                                                
4:04:49 PM                                                                                                                    
                                                                                                                                
MARIE FRANICH,  SELF, FAIRBANKS (via  teleconference), spoke                                                                    
in support for disability services.  She shared that her son                                                                    
was  severely disabled,  and she  shared  details about  her                                                                    
son's  disability.  She   supported  increased  funding  for                                                                    
caregivers under  the Medicaid  waiver. She shared  that her                                                                    
son's  caregiver  had to  manage  her  hours with  her  SNAP                                                                    
benefits and heating assistance and  could not make a living                                                                    
wage as a  single mom. She stated that  disabled people were                                                                    
community members too. Her son had  a waiver and very few of                                                                    
the $89,000 available was spent  because they could not find                                                                    
care  attendants  that  would  help get  him  out  into  the                                                                    
community.  She believed  that people  deserved  to be  paid                                                                    
adequately  to  take care  of  others.  She asked  committee                                                                    
members  to  consider  the hardship  of  everyday  life  for                                                                    
disabled  people.  She  supported an  increase  in  Medicaid                                                                    
funding.                                                                                                                        
                                                                                                                                
4:08:21 PM                                                                                                                    
                                                                                                                                
SANDI  RYAN,  PRESIDENT,  FAIRBANKS  EDUCATION  ASSOCIATION,                                                                    
FAIRBANKS  (via  teleconference),  testified in  support  of                                                                    
funding for education.  She shared that she  was an educator                                                                    
for  36 years  and was  ending her  classroom career  with a                                                                    
sense of  satisfaction and  enjoyment. She  observed younger                                                                    
colleagues  having   a  worse  experience   with  inadequate                                                                    
retirement  and lower  wages and  observed  them needing  to                                                                    
relocate  or  leave  the profession.  She  advocated  for  a                                                                    
meaningful  increase  in  the  BSA  and  felt  that  it  was                                                                    
critical. The district  no longer had anything  left to cut.                                                                    
She wanted  to retain the  best and brightest  teachers. She                                                                    
thanked the committee.                                                                                                          
                                                                                                                                
Representative Stapp  thanked Ms.  Ryan for her  service and                                                                    
testimony.                                                                                                                      
                                                                                                                                
HB  39  was   HEARD  and  HELD  in   committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
HB  41  was   HEARD  and  HELD  in   committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
Co-Chair  Johnson reviewed  the schedule  for the  following                                                                    
meeting.                                                                                                                        
                                                                                                                                
#ADJOURNMENT                                                                                                                  
                                                                                                                                
4:11:47 PM                                                                                                                    
                                                                                                                                
The meeting was adjourned at 4:11 p.m.                                                                                          
                                                                                                                                
                                                                                                                                

Document Name Date/Time Subjects
HFIN Spring 2023 Revenue Forecast Presentation 2023.03.22.pdf HFIN 3/22/2023 1:30:00 PM