Legislature(1993 - 1994)

02/22/1993 01:34 PM FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
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                     HOUSE FINANCE COMMITTEE                                   
                        February 22, 1993                                      
                            1:34 p.m.                                          
                                                                               
  TAPE HFC 93-28, Side 2, #000 - end.                                          
  TAPE HFC 93-29, Side 1, #000 - end.                                          
  TAPE HFC 93-29, Side 2, #000 - 411.                                          
                                                                               
  CALL TO ORDER                                                                
                                                                               
  Co-Chair Larson called the House  Finance Committee to order                 
  at 1:34 p.m.                                                                 
                                                                               
  PRESENT                                                                      
                                                                               
  Co-Chair Larson                                                              
  Co-Chair MacLean            Representative Hoffman                           
  Vice-Chair Hanley           Representative Navarre                           
  Representative Brown        Representative Parnell                           
  Representative Foster       Representative Therriault                        
  Representative Grussendorf                                                   
                                                                               
  Representative Martin was absent from the meeting.                           
                                                                               
  ALSO PRESENT                                                                 
                                                                               
  Representative  Barnes;  Mike Greany,  Director, Legislative                 
  Finance Division; Nancy Bear-Usera, Commissioner, Department                 
  of Administration; Cheryl Frasca, Division Director,  Office                 
  of Management and Budget, Office  of the Governor; Mary  Lou                 
  BUrton, Fiscal  Analyst, Department  of Fish  and Game;  Kit                 
  Duke, Assistant  Commissioner, Department of  Public Safety;                 
  C. E. Swackhammer, Deputy Commissioner, Department of Public                 
  Safety;   Kenneth   E.  Bischoff,   Director,   Division  of                 
  Administrative Services,  Department of  Public Safety;  Bob                 
  Bartholomew, Director, Division of  Administrative Services,                 
  Department of Transportation and Public Facilities.                          
                                                                               
  SUMMARY INFORMATION                                                          
                                                                               
  HSCR 2    Disapproving Executive Order No. 87.                               
                                                                               
            HSCR  2  was reported  out  of Committee  with "no                 
            recommendation" and with a zero fiscal note by the                 
            House  Finance  Committee  for  the Department  of                 
            Transportation and Public Facilities and with  two                 
            zero fiscal notes  by the House  Finance Committee                 
            for the Department of Administration.                              
                                                                               
  HB 101    "An Act relating  to the adoption of  the National                 
                                                                               
                                1                                              
                                                                               
                                                                               
            Electrical Code and the National Electrical Safety                 
            Code."                                                             
                                                                               
            HB 101 was  reported out of  Committee with a  "do                 
            pass" recommendation  and with a zero  fiscal note                 
            by the Department of Labor, dated 2/15/93.                         
                                                                               
  HB 135    "An   Act   making   supplemental    and   special                 
            appropriations   for   the   expenses   of   state                 
            government;   making,   amending,   and  repealing                 
            capital   and   operating    appropriations;   and                 
            providing for an effective date."                                  
                                                                               
            HB 135 was HELD in Committee.                                      
                                                                               
  HOUSE SPECIAL CONCURRENT RESOLUTION NO. 2                                    
                                                                               
       Disapproving Executive Order No. 87.                                    
                                                                               
                                                                               
  REPRESENTATIVE RAMONA BARNES  gave a brief overview  of HSCR
  2.  She stated that HSCR 2 was introduced  to disapprove the                 
  Governor's    order    (EO   87)    to    transfer   leasing                 
  responsibilities  to the  Department  of Transportation  and                 
  Public  Facilities.   She  stressed  that the  Department of                 
  Transportation and Public Facilities has "repeatedly ignored                 
  the desires and mandates of the Legislature regarding budget                 
  reductions to specific programs within the Department."  She                 
  brought  to members  attention an  attached memorandum  from                 
  Legislative Finance Division dated February 10, 1993 to Rep.                 
  Eldon Mulder regarding the  FY 93 budget for the  Design and                 
  Construction components of DOT/PF (Attachment 1).                            
                                                                               
  Representative   Barnes  noted   that   the  Department   of                 
  Transportation and Public Facilities intends to  establish a                 
  sinking fund  to be  managed by  a Board  of Directors  with                 
  monies appropriated for  leasing.   She asserted that,  "the                 
  Legislature would virtually  have no control over  this fund                 
  or how it  is spent once money is transferred into it."  She                 
  pointed out that under the State of Alaska Constitution, the                 
  Legislature has sole power of appropriation.                                 
                                                                               
  KIT    DUKE,    ASSISTANT   COMMISSIONER,    DEPARTMENT   OF                 
  TRANSPORTATION AND PUBLIC FACILITIES spoke in opposition  to                 
  HSCR 2.  She  noted that an organization was  formed, Alaska                 
  State  Facilities   Administrators  (ASFA)  to   assess  the                 
  condition  of  the  State's  building  inventory.    It  was                 
  determined  by ASFA  that the  State's  deferred maintenance                 
  backlog is approximately $250.0 million dollars and that the                 
  State's  buildings  are  deteriorating  due  to  a  lack  of                 
                                                                               
                                2                                              
                                                                               
                                                                               
  sufficient maintenance.  There are currently eight executive                 
  branch   agencies   with    responsibility   for    building                 
  maintenance.   The Department  of Transportation  and Public                 
  Facilities has responsibility for approximately one-third of                 
  the State's buildings.  She noted that the State must comply                 
  with the Americans with Disability  Act (ADA).  She asserted                 
  that the State needs to conserve energy.  She noted that the                 
  State spends $20 million a year on energy consumption.                       
                                                                               
  Ms.  Duke  stressed that  the  State must  also  improve its                 
  management  of leased  facilities  to assure  safe,  healthy                 
  buildings.  The  Department anticipates that savings  can be                 
  found to defer expenses the State is facing.  She noted that                 
  compliance with  ADA could cost $400.0 million dollars.  She                 
  maintained that the State cannot afford to allow Departments                 
  to separately address ADA  compliance.  She asserted  that a                 
  statewide maintenance plan  must be  developed.  She  avowed                 
  that  a centralized plan would allow the State to accomplish                 
  more for the same amount of funding.                                         
                                                                               
  Representative Brown asked  the status of legislation  which                 
  is  being drafted  to  implement  an  authority.   Ms.  Duke                 
  replied that  the Department  of Law  has  produced a  draft                 
  which is being  reviewed.   Ms. Duke assured  Representative                 
  Brown  that  Legislators will  be able  to review  the draft                 
  legislation prior to a vote.                                                 
                                                                               
  Representative Brown questioned  how EO 87 will  affect land                 
  disposal.  Ms.  Duke stated  that EO 87  clarifies that  the                 
  Department  of  Transportation  and  Public  Facilities  has                 
  authority  to  purchase  and  dispose  of  land  for  public                 
  facilities.  She elucidated that the purpose of the language                 
  is to allow the Department  to acquire land for construction                 
  of public facilities.                                                        
                                                                               
  Co-Chair  MacLean  inquired  further into  the  Department's                 
  authority to acquire and  dispose land.  She noted  that the                 
  Department would have broad authority.  Ms. Duke assured her                 
  that the Department's regulation requires  due process.  She                 
  was not  aware of  any lands  that the  Department would  be                 
  disposing.   She noted  that the  Department  of Health  and                 
  Social Services  will construct juvenile  facilities through                 
  the Department of Transportation and Public Facilities.  The                 
  Department  of Transportation and  Public Facilities will be                 
  the overall authority for construction  of new facilities by                 
  other departments.                                                           
                                                                               
  Representative Hoffman  spoke  in support  of  HSCR 2.    He                 
  referred  to  problems within  his  district  concerning the                 
  Department   of   Transportation   and  Public   Facilities'                 
  maintenance of  airport facilities.   He  asserted that  the                 
  Department  has not  provided  sufficient  support to  rural                 
                                                                               
                                3                                              
                                                                               
                                                                               
  facilities.                                                                  
                                                                               
  Representative Brown asked  if EO  87 would change  agencies                 
  lease/purchase arrangements.  She noted that the Legislature                 
  would  have authority  over leases  of more that  $1 million                 
  dollars a year.  The Department of Transportation and Public                 
  Facilities   would   have  authority   over   smaller  lease                 
  arrangements.  This represents a  transfer of authority from                 
  the  Department  of  Administration  to  the  Department  of                 
  Transportation and Public Facilities.                                        
                                                                               
  Representative Navarre spoke in support  of a uniform policy                 
  for  cost control  and allocation of  state facilities.   He                 
  noted  that  the  Department  of Transportation  and  Public                 
  Facilities has  not received sufficient funding for deferred                 
  maintenance.  He expressed  concern with the creation  of an                 
  additional authority.                                                        
                                                                               
  Representative   Hoffman   felt  that   the   Department  of                 
  Transportation   and  Public   Facilities   has  not   given                 
  sufficient priority to rural areas.   Representative Navarre                 
  pointed  out  that  some funding  within  the  Department of                 
  Transportation and Public Facilities cannot be shifted.                      
                                                                               
  Representative Barnes and  Representative Navarre  discussed                 
  FY 93 funding to the Department of Transportation and Public                 
  Facilities' Design and Engineering Component.                                
                                                                               
  Representative Grussendorf  noted  that  the  Department  of                 
  Transportation  and Public Facilities  is the  State's "most                 
  complex  and complicated  division."    He acknowledged  the                 
  difficulty the  State has had  to clean up  the Department's                 
  accounting  for  projects  and  reappropriations.    He  was                 
  hesitant to add new authority to the Department.                             
                                                                               
  Representative Brown noted that a fact sheet provided by Ms.                 
  Duke  states  that,  "The  merger  will  prevent  additional                 
  expense to the  Budget.   It will be  less costly to  comply                 
  with  ADA and  code  upgrade requirements  with consolidated                 
  management  than  if  many   agencies  are  each  separately                 
  responsible."  Representative Brown asked  how EO 87 affects                 
  ADA  compliance.   She  noted  that an  administrative order                 
  gives authority to  agencies to comply  with ADA.  Ms.  Duke                 
  stressed that the administrative order would not be affected                 
  by   EO  87.     She  emphasized  that   the  Department  of                 
  Transportation and Public Facilities will focus and plan for                 
  ADA   compliance.     Each   agency   will  retain   overall                 
  responsibility for ADA compliance.                                           
                                                                               
  Representative  Parnell asked  for  specific projections  of                 
  cost and efficiency savings resulting from  EO 87.  He noted                 
  that the State will  expend $200.0 thousand dollars  for the                 
                                                                               
                                4                                              
                                                                               
                                                                               
  consolidation   of   services    in   the   Department    of                 
  Transportation and Public Facilities.   Ms. Duke stated that                 
  the Department  is endeavoring  to identify  savings to  the                 
  State.   She gave as an  example a pilot  project which will                 
  combine personnel  of four agencies to  complete maintenance                 
  projects as a  team.  She noted that the  Department is also                 
  using  FY  93 CIP  funds  for energy  management  to predict                 
  energy savings to the operating budget.                                      
                                                                               
  Representative  Barnes  asked  if agencies  other  than  the                 
  Department  of Transportation  and  Public Facilities  could                 
  perform  energy studies.   Ms. Duke  replied that  one focus                 
  point would more efficiently accomplish the task.                            
                                                                               
  Representative Navarre  reiterated his concern that there is                 
  no coordination in the statewide leasing  program.  He added                 
  that  other  factors   such  as;   down  time,  moving   and                 
  reconfiguation  costs are  not  included in  calculations of                 
  cost savings.   He gave as example  a case involving a lease                 
  by the Department of Fish and Game in Kenai.                                 
                                                                               
  Representative Therriault  observed that fiscal notes for EO                 
  87 are zero.  He asked  why fiscal notes do not reflect  the                 
  costs  involved.     Ms.  Duke  stated  that   the  proposed                 
  legislation  forming an  authority  will reflect  the fiscal                 
  costs.                                                                       
                                                                               
  NANCY BEAR-USERA, COMMISSIONER, DEPARTMENT OF ADMINISTRATION                 
  spoke  in  support of  EO  87.   She  acknowledged  that the                 
  Department  of  Administration  has  had  a  difficult  time                 
  managing the State's leasing program.  She noted that leases                 
  have been  short-funded in an effort to force the Department                 
  to better manage  the program.  The  Department has analyzed                 
  the leasing program.   She  emphasized that the  procurement                 
  code and the competitive bidding process has made management                 
  difficult.                                                                   
                                                                               
  Commissioner  Usera  stressed  the need  to  coordinate  the                 
  State's leasing program.   She observed that  lease expenses                 
  are not included  as expenses  in all department's  budgets.                 
  She recommended a lease or  facility cost charge-back system                 
  to assure that departments evenly  share the burden of these                 
  costs.      She   agreed  that   both   the   Department  of                 
  Transportation  and  Public  Facilities  and  Department  of                 
  Administration have had problems in managing lease programs.                 
  She acknowledged that EO 87 would only be a first step.                      
                                                                               
  (Tape Change, HFC 93-29, Side 1)                                             
                                                                               
  Commissioner Usera  stated  that  programs  and  departments                 
  would do cost accounting on the  amount of space they occupy                 
  and overhead costs.   She emphasized that the  Department of                 
                                                                               
                                5                                              
                                                                               
                                                                               
  Administration supports EO 87.  If EO 87 is not accepted the                 
  Department  of   Administration  will  need   to  reconsider                 
  management  changes  to improve  the  lease and  state owned                 
  facilities program.   Commissioner  Usera did  not know  the                 
  composition of the proposed Board of Directors.                              
                                                                               
  Representative Navarre encouraged the Legislature to address                 
  the lease  and deferred  maintenance problem.   Commissioner                 
  Usera agreed with Representative Navarre.  She stressed that                 
  changes in the program's structure are needed.                               
                                                                               
  Representative Navarre  noted that the  Legislature mandated                 
  that  the Department of Transportation and Public Facilities                 
  use  FY  93  CIP receipts  for  the  Design  and Engineering                 
  component.      Representative   Barnes  asserted   that   a                 
  reappropriation occurred allowing the Department to add back                 
  $1.5  million  dollars  into   the  Design  and  Engineering                 
  Component, after Conference Committee deliberations.                         
                                                                               
  Representative  Parnell stressed  that  more information  is                 
  needed  regarding  potential   cost  savings.     Ms.   Duke                 
  emphasized  that   savings  will   be  realized  in   gained                 
  efficiencies.  She stressed that  savings cannot be assessed                 
  until  the  Department  has  an   opportunity  to  test  the                 
  consolidation effort.  She underscored  that an authority is                 
  important to guarantee accountability.   She assured members                 
  that the  Department  does not  intend  that funds  will  be                 
  outside of legislative oversight and action.                                 
                                                                               
  Ms. Duke discussed the proposed sinking fund.   She observed                 
  that monies will be appropriated to agencies.  Agencies will                 
  deposit funds for deferred maintenance  in the sinking fund.                 
  The  sinking  fund  allows  monies   for  repair  and  major                 
  maintenance  beyond  the  fiscal  year.   This  will  permit                 
  agencies   to   plan  for   major  maintenance   and  repair                 
  activities.                                                                  
                                                                               
  Ms.  Duke  clarified  that  the  State  would  only  perform                 
  maintenance  on leased  buildings  if the  State's  contract                 
  contained provisions for maintenance.   Representative Brown                 
  asked  how  rent  is  affected  by  where  the  function  is                 
  performed.   Ms.  Duke  agreed that  where  the function  is                 
  performed would not affect the rent paid.                                    
                                                                               
  Members discussed parliamentary proceedings  regarding House                 
  Special Concurrent Resolutions.                                              
                                                                               
  Representative  Hoffman  MOVED  to  report  HSCR  2  out  of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal  note.  There being NO OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
                                                                               
                                6                                              
                                                                               
                                                                               
  HSCR   2   was   reported   out   of  Committee   with   "no                 
  recommendation" and  with a  zero fiscal  note by  the House                 
  Finance Committee  for the Department of  Transportation and                 
  Public Facilities  and with  two  zero fiscal  notes by  the                 
  House   Finance    Committee   for    the   Department    of                 
  Administration.                                                              
                                                                               
                                                                               
  HOUSE BILL NO. 101                                                           
                                                                               
       "An  Act  relating  to  the  adoption of  the  National                 
       Electrical  Code  and  the  National Electrical  Safety                 
       Code."                                                                  
                                                                               
  Co-Chair Larson  noted that  HB 101  was passed  out of  the                 
  Labor   and  Commerce   Committee   with   five  "do   pass"                 
  recommendations.  He noted that HB  101 was requested by the                 
  International Brotherhood  of Electrical  Workers to  assure                 
  the  State's  adoption  of  the  minimum  electrical  safety                 
  standards for  the  State as  set by  the American  National                 
  Standards Institute.                                                         
                                                                               
  Representative Grussendorf  MOVED to  report HB  101 out  of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal notes.  There being NO OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
  HB  101  was reported  out  of  Committee with  a  "do pass"                 
  recommendation and with a zero fiscal note by the Department                 
  of Labor, dated 2/15/93.                                                     
                                                                               
  HOUSE BILL NO. 78                                                            
                                                                               
       "An  Act  relating  to  the  testimony of  children  in                 
       certain  criminal  proceedings;  and  providing for  an                 
       effective date."                                                        
                                                                               
  Co-Chair MacLean submitted a request to waive HB 78 from the                 
                                                                               
  House Finance Committee.   Co-Chair Larson noted  that HB 78                 
  relates to the  testimony of children.  He stated that HB 78                 
  is accompanied by a zero fiscal note and is supported by the                 
  Department of Law.  He observed that, "under current law, in                 
  a criminal proceeding  involving a child victim  or witness,                 
  the court can order that the testimony of the child be taken                 
  by closed circuit  television or through one-way  mirrors if                 
  it determines that the child's  testimony under normal court                 
  procedures  would  result  in   the  child's  inability   to                 
  effectively communicate."   House  Bill 78  would allow  the                 
  court to extend those  privileges to children to the  age of                 
                                                                               
                                7                                              
                                                                               
                                                                               
  16, up from the current age of 13.                                           
                                                                               
  Co-Chair Larson informed  members of his intention  to waive                 
  HB 78 if there are no objections from members.  Members were                 
  informed to contact his  office if they objected to  waiving                 
  HB 78.                                                                       
                                                                               
  HOUSE BILL NO. 135                                                           
                                                                               
       "An Act making supplemental and special  appropriations                 
       for the expenses of state government; making, amending,                 
       and repealing capital and operating appropriations; and                 
       providing for an effective date."                                       
                                                                               
  CHERYL  FRASCA, DIVISION DIRECTOR,  OFFICE OF MANAGEMENT AND                 
  BUDGET,  OFFICE OF THE GOVERNOR reviewed  HB 135 by section.                 
  She began  on  section 28.    (See House  Finance  Committee                 
  minutes 2/18/93)                                                             
                                                                               
  DEPARTMENT OF COMMERCE AND ECONOMIC DEVELOPMENT                              
                                                                               
       *    Sec. 28   ASMI - $196.3 thousand dollars                           
                                                                               
            This request would provide a general fund match to                 
            federal   dollars   for  the   overseas  marketing                 
            program.                                                           
                                                                               
       *    Sec. 29   ASMI -  $60.0  thousand  dollars  FY  92                 
                      extension                                                
                                                                               
            This request would extend the lapse date of the FY                 
            92 balance to  be used as general  fund (GF) match                 
            for the  federal grant contained in section 28.                    
                                                                               
  DEPARTMENT OF MILITARY AND VETERANS AFFAIRS                                  
                                                                               
       *    Sec. 30   Veterans Death Gratuity - $90.0 thousand                 
                      dollars                                                  
                                                                               
            This request would respond to increased claims.                    
                                                                               
  DEPARTMENT OF NATURAL RESOURCES                                              
                                                                               
       *    Sec. 31   Fire Suppression - $6.0 million dollars                  
                                                                               
            Three million dollars would provide funding in the                 
            case of  a fire prior to  fiscal year FY  94.  The                 
            Department incurs  $3.6 million  dollars in  fixed                 
            costs.  Unused funds would  lapse into the General                 
            Fund.                                                              
                                                                               
                                                                               
                                8                                              
                                                                               
                                                                               
  Representative Grussendorf referred to a letter submitted by                 
  the Governor to  the Legislative Budget and  Audit Committee                 
  requesting emergency funding for fire suppression.  He noted                 
  that no emergency existed.  He recalled that the Legislative                 
  Budget  and  Audit  Committee  decided  not  to  appropriate                 
  emergency  funding  for  possible  future  fire  suppression                 
  needs.                                                                       
                                                                               
       *    Sec. 32   Land Selection Program - $641.0 thousand                 
                      dollars                                                  
                                                                               
            This request is  the result  of the expedition  of                 
            land selection in order to meet federal deadlines.                 
                                                                               
       *    Sec. 33   Challenge Alaska Grants -                                
                                                                               
            This  request  would change  the  scope of  a 1989                 
            capital project grant.                                             
                                                                               
  DEPARTMENT OF FISH AND GAME                                                  
                                                                               
       *    Sec. 34   Division  of  Boards  - $492.0  thousand                 
                      dollars                                                  
                                                                               
            This request is the result of legislation  enacted                 
            during the  Special  Session  of  the  Seventeenth                 
            Alaska  Legislature.   (The  original fiscal  note                 
            associated with legislation passed  was for $365.0                 
            thousand  dollars.    There  was  no  vehicle  for                 
            passage   of   fiscal   notes    associated   with                 
            legislation.)  The  Division of Boards has  had an                 
            increase in board meetings.                                        
                                                                               
       *    Sec. 35   Division of Subsistence -  $8.0 thousand                 
                      dollars                                                  
                                                                               
            This request is the result of  legislation enacted                 
            during the  Special  Session  of  the  Seventeenth                 
            Alaska Legislature.   The original  request by the                 
            Division   of   Subsistence  was   $55.0  thousand                 
            dollars.                                                           
                                                                               
       *    Sec. 36   King  Salmon  Tags   -  $84.3   thousand                 
                      dollars                                                  
                                                                               
            This request  would make vendor  payments for King                 
            Salmon tags.   The  request is  the result  of new                 
            legislation.  The associated fiscal note failed to                 
            be  included  in  the  FY   93  Operating  Budget.                 
            Funding will be from the General Fund.                             
                                                                               
       *    Sec. 37   Ratify and Amend Prior Year Expenditures                 
                                                                               
                                9                                              
                                                                               
                                                                               
                      -                                                        
                                                                               
            Old appropriations that have not been corrected in                 
            the accounting system will be cleared.                             
                                                                               
       *    Sec. 38   Fund Shift -                                             
                                                                               
            This will replace unrealized federal receipts from                 
            a  1987  CIP  appropriation for  Sport  Fisheries,                 
            Public  Access  Acquisition.   Unrealized  federal                 
            receipts will be replaced by an appropriation from                 
            the Fish and Game Fund of $134.7 thousand dollars.                 
            The  Department  of  Fish   and  Game  incorrectly                 
            identified state matching contributions.                           
                                                                               
  MARY LOU BURTON, FISCAL OFFICER, DEPARTMENT OF FISH AND GAME                 
  explained that state  CIP funds  were insufficient to  match                 
  federal  funds.   She added  that  the Department  failed to                 
  properly  account  for the  state  match.   Section  38 will                 
  replace monies that were spent out  of the General Fund with                 
  Fish and Game funds.                                                         
                                                                               
  DEPARTMENT OF PUBLIC SAFETY                                                  
                                                                               
       *    Sec. 39   Contract Jails - $690.4 thousand dollars                 
                                                                               
                                                                               
            This request would meet increased operating costs.                 
            The FY 94  Operating Budget  has been adjusted  to                 
            include FY 93 supplemental costs.                                  
                                                                               
  Co-Chair Larson asked for information concerning state  jail                 
  contracts.                                                                   
                                                                               
  C. E. SWACKHAMMER, DEPUTY COMMISSIONER, DEPARTMENT OF PUBLIC                 
  SAFETY explained that  contract jails  are negotiated on  an                 
  annual  basis.   He  noted that  there  is a  state mandated                 
  responsibility  for  prisoners.    Disputes  have   occurred                 
  between the State and municipality's concerning fair cost.                   
                                                                               
  Representative Parnell asked if costs  are based on prisoner                 
  days.  Mr. Swackhammer stated that there are fixed costs for                 
  each municipalities that provides the service.  In addition,                 
  variables exist.                                                             
                                                                               
  KEN BISCHOFF, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,                 
  DEPARTMENT OF  PUBLIC SAFETY  noted that  contracts are  not                 
  negotiated   for  prior  to  appropriation  requests.    Mr.                 
  Swackhammer  stressed  that prisoner  location  and prisoner                 
  days are included in cost assessments.                                       
                                                                               
       *    Sec. 40   Criminal   Records   and  Id.   -  $90.6                 
                                                                               
                               10                                              
                                                                               
                                                                               
                      thousand dollars                                         
                                                                               
            This request represents an increase in system use.                 
            New  legislation  has   been  approved   requiring                 
            applicants  for  teacher  certification and  other                 
            activities   to   supply   fingerprint  background                 
            checks.                                                            
                                                                               
       *    Sec. 41   Bloodborne Pathogens  - $126.7  thousand                 
                      dollars                                                  
                                                                               
            This request would allow  the Department to comply                 
            with requirements regarding  bloodborne pathogens.                 
            The Department  will purchase disposable  gear and                 
            vaccines.                                                          
                                                                               
                                                                               
       *    Sec. 42   Prisoner    Transportation   -    $125.0                 
            thousand dollars                                                   
                                                                               
            This request would  pay for the cost  of increased                 
            prisoner transportation.  Costs  are primarily for                 
            air transportation.                                                
                                                                               
       *    Sec. 43   Arbitration Settlement - $101.4 thousand                 
                      dollars                                                  
                                                                               
            This  request  would  pay   settlement  costs  for                 
            arbitration involving an employee and a controlled                 
            substance.                                                         
                                                                               
  (Tape Change, HFC 93-29, Side 2)                                             
                                                                               
       *    Sec. 44   Civil  Air  Patrol  -   $125.0  thousand                 
                      dollars                                                  
                                                                               
            This  request  is  for  aircraft  maintenance  and                 
            operation costs.                                                   
                                                                               
                                                                               
  DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES                           
                                                                               
       *    Sec. 45   Arbitrator's  Award  -  $539.6  thousand                 
                      dollars other funds.                                     
                                                                               
            This  request would  pay  for overtime  of on-site                 
            construction engineers.   The overtime  dates back                 
            to 1991 and is the result of arbitration.                          
                                                                               
  BOB  BARTHOLOMEW,  DIRECTOR,   DIVISION  OF   ADMINISTRATIVE                 
  SERVICES, DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES                 
  clarified that engineers are not eligible for overtime under                 
                                                                               
                               11                                              
                                                                               
                                                                               
  federal law.  During  summer construction seasons  engineers                 
  work  from  60 -  80 hours  a  week.   Administrative policy                 
  provided for straight time overtime  for hours in excess  of                 
  37.5.  In  1981, the Department implemented  overtime policy                 
  which provided that employees receive:                                       
                                                                               
       *    37.5 - 50.0 hours - no compensation,                               
       *    50.0 - 72.0 hours - compensation.                                  
                                                                               
  Arbitrators  ruled on behalf of  the union that the overtime                 
  policy could not be changed  without union negotiation.  Mr.                 
  Bartholomew explained that  the settlement has been  paid to                 
  employees.   The FY 93 CIP  projects will be short funded if                 
  section 45 is  not appropriated.  Employees  are classified,                 
  range 16 and 18, field engineers.                                            
                                                                               
       *    Sec. 46   Dalton   Highway   -   $1,222.9  million                 
                      dollars                                                  
                                                                               
            This request  would  pay  for  snow  removal,  ice                 
            control and maintenance related activities.                        
                                                                               
       *    Sec. 47   Ratification  of  Prior Year  Supply and                 
            Inventory Asset Account Expenditures                               
                                                                               
            Spoilage and  breakage were  not accounted  for in                 
            assessing supply and inventory assets.                             
                                                                               
       *    Sec. 48   Extend FY 93 Operating Lapse Date -                      
                                                                               
            This  request would  extend  the  FY 93  Operating                 
            Budget lapse date for maintenance and operations.                  
                                                                               
  DEPARTMENT OF ENVIRONMENTAL CONSERVATION                                     
                                                                               
       *    Sec. 49   Seafood  and  Sanitation   Activities  -                 
                      $351.2 thousand dollars                                  
                                                                               
            This  request  would  replace  unrealized  program                 
            receipts.  The Department did not receive approval                 
            to  implement  regulations  assessing  fees  until                 
            February 19, 1993.                                                 
                                                                               
       *    Sec. 50   Paralytic Shellfish Poison Inspections -                 
                       $109.9 thousand dollars                                 
                                                                               
            This request is the result of PSP infected crabs.                  
                                                                               
       *    Sec. 51   Water Quality Standards Advisory Group -                 
                       $41.4 thousand dollars                                  
                                                                               
            This request would pay for meeting costs.                          
                                                                               
                               12                                              
                                                                               
                                                                               
  DEPARTMENT OF COMMUNITY AND REGIONAL AFFAIRS                                 
                                                                               
       *    Sec. 52   Organizational Grant  - $300.0  thousand                 
            dollars                                                            
                                                                               
            This   request   would   pay   the   first    year                 
            organizational grant for the Yakutat Borough.                      
                                                                               
       *    Sec. 53   Revenue Sharing - $25.6 thousand dollars                 
                                                                               
                                                                               
            The Department  of Community and  Regional Affairs                 
            used  incorrect  population  figures to  calculate                 
            revenue sharing for the Central Mat-Su and Greater                 
            Palmer fire service areas.                                         
                                                                               
  DEPARTMENT OF CORRECTIONS                                                    
                                                                               
       *    Sec. 54   Operations - $6,879.4 million dollars                    
                                                                               
  UNIVERSITY OF ALASKA                                                         
                                                                               
       *    Sec. 55   UAF  Snow  Removal  -   $375.0  thousand                 
                      dollars                                                  
                                                                               
  ALASKA COURT SYSTEM                                                          
                                                                               
       *    Sec. 56   Mental  Health Trust  Case  Law Clerk  -                 
                      $19.9  thousand  dollars  Mental  Health                 
                      Trust                                                    
                                                                               
            This request would add a law clerk to assist Judge                 
            Green  with  the backlog  involved  in  the Mental                 
            Health Trust Case.                                                 
                                                                               
  MULTIPLE DEPARTMENTS                                                         
                                                                               
       *    Sec. 57   Miscellaneous  Claims  and   Stale-Dated                 
                      Warrants - $159.6 thousand dollars                       
                                                                               
            This request would settle claims and billings that                 
            are more than two years old for the  Department of                 
            Administration,  Department  of Health  and Social                 
            Services,  Department  of  Labor,   Department  of                 
            Public  Safety,  Department of  Transportation and                 
            Public Facilities, Department  of Corrections  and                 
            Department of Military and Veterans Affairs.                       
                                                                               
  HB 135 was HELD in Committee.                                                
                                                                               
                               13                                              
                                                                               
                                                                               
  ADJOURNMENT                                                                  
                                                                               
  The meeting adjourned at 3:30 p.m.                                           
                                                                               
                                                                               
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