Legislature(1993 - 1994)

04/19/1993 01:36 PM FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
                                                                               
                                                                               
                     HOUSE FINANCE COMMITTEE                                   
                         April 19, 1993                                        
                             1:36 p.m.                                         
                                                                               
  TAPE HFC 93-108, Side 2, #000 - end.                                         
  TAPE HFC 93-109, Side 1, #000 - end.                                         
  TAPE HFC 93-109, Side 2, #000 - end.                                         
  TAPE HFC 93-110, Side 1, #000 - #665.                                        
                                                                               
  CALL TO ORDER                                                                
                                                                               
  Co-Chair Larson called the House  Finance Committee to order                 
  at 1:36 p.m.                                                                 
                                                                               
  PRESENT                                                                      
                                                                               
  Co-Chair Larson             Representative Hoffman                           
  Co-Chair MacLean            Representative Martin                            
  Vice-Chair Hanley           Representative Navarre                           
  Representative Brown        Representative Parnell                           
  Representative Foster       Representative Therriault                        
  Representative Grussendorf                                                   
                                                                               
  ALSO PRESENT                                                                 
                                                                               
  Representative  Ulmer;  Representative Mackie;  Mike Greany,                 
  Director,  Legislative  Finance  Division;   Cheryl  Frasca,                 
  Director, Division of  Budget Review,  Office of  Management                 
  and   Budget;   Janet   Clarke,   Director,   Division    of                 
  Administrative  Services, Department  of  Health and  Social                 
  Services; Arthur  H. Snowden,  II, Administrative  Director,                 
  Alaska Court  System; Sharon Barton,  Director, Division  of                 
  Administrative Services, Department of  Administration; Nico                 
  Bus,  Chief   Financial  Officer,   Department  of   Natural                 
  Resources;  Bruce  Botelho,   Assistant  Attorney   General,                 
  Department  of  Law;  Rod  R.  Mourant,  Special  Assistant,                 
  Department  of  Revenue;  Kenneth   E.  Bischoff,  Director,                 
  Division of  Administrative Services,  Department of  Public                 
  Safety;  Ron Lind,  Director,  Plans, Programs  and  Budget,                 
  Headquarters,  Department  of   Transportation  and   Public                 
  Facilities; Mary Lou  Burton, Fiscal Analyst,  Department of                 
  Fish and Game; Alison Elgee,  Director of Budget, University                 
  of Alaska; Tom Chappelle, Project Manager, Permitting Group,                 
  Air  Component,  Department  of Environmental  Conservation;                 
  Robert Reges, Assistant Attorney General, Department of Law;                 
  Tom  Stahr, Anchorage  Municipal  Light and  Power  Company;                 
  Clayton Hurless,  Copper Valley  Electric Association;  Dana                 
  LaTour, Department of Corrections.                                           
                                                                               
  SUMMARY INFORMATION                                                          
                                                                               
  HB 119    "An Act authorizing a sentencing court to impose a                 
                                                                               
                                1                                              
                                                                               
                                                                               
            sentence of a  day fine instead  of a sentence  of                 
            imprisonment  on   a  defendant  convicted   of  a                 
            misdemeanor; directing the Alaska Supreme Court to                 
            develop and  implement a day  fine plan; requiring                 
            the  Department of  Corrections to  report to  the                 
            legislature  on  the use  of  day fines;  amending                 
            Alaska  Rule   of  Criminal   Procedure  32;   and                 
            providing for an effective date."                                  
                                                                               
            CSHB 119 (JUD) was reported  out of Committee with                 
            a  "do  pass"  recommendation  and  with  a fiscal                 
            impact  note by  the  Alaska  Court System,  dated                 
            3/12/93; and  with two  zero fiscal  notes by  the                 
            Department  of  Administration, dated  4/9/93; and                 
            with three zero fiscal notes  by the Department of                 
            Public  Safety,  dated 4/8/93;  the  Department of                 
            Law, 3/12/93; and Department  of Health and Social                 
            Services.                                                          
                                                                               
  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.                                      
                                                                               
  HB 167    "An Act relating  to air  quality control and  the                 
            prevention,   abatement,   and   control  of   air                 
            pollution;   relating   to   civil  and   criminal                 
            penalties,  damages,  and other  remedies  for air                 
            quality   control   violations;   clarifying   the                 
            definition  of  `hazardous  substance' to  include                 
            releases   and   threatened   releases    to   the                 
            atmosphere; amending the lien  provisions relating                 
            to  the   oil  and  hazardous   substance  release                 
            response   fund;   relating   to  inspection   and                 
            enforcement   powers   of   the    Department   of                 
            Environmental Conservation; and  providing for  an                 
            effective date."                                                   
                                                                               
            CSHB 167 (FIN) was reported  out of Committee with                 
            a  "do pass"  recommendation  and  with  a  fiscal                 
            impact  note by  the  Department of  Environmental                 
            Conservation and with a fiscal  impact note by the                 
            Department of Law.                                                 
                                                                               
  SB 100    "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."                                  
                                                                               
                                2                                              
                                                                               
                                                                               
            SB 100 was HELD in Committee.                                      
  HOUSE BILL NO. 119                                                           
                                                                               
       "An  Act  authorizing a  sentencing  court to  impose a                 
       sentence  of  a  day  fine  instead of  a  sentence  of                 
       imprisonment on a defendant convicted of a misdemeanor;                 
       directing  the  Alaska  Supreme  Court  to develop  and                 
       implement a day fine plan;  requiring the Department of                 
       Corrections to report to the  legislature on the use of                 
       day fines;  amending Alaska Rule of  Criminal Procedure                 
       32; and providing for an effective date."                               
                                                                               
  REPRESENTATIVE FRAN ULMER spoke  in support of HB 119.   She                 
  explained that HB  119 gives the  courts another option  for                 
  criminal penalties.   She stressed  that there are  over 200                 
  misdemeanors  waiting to serve  their time.    Only property                 
  crimes would be affected.  She clarified that the sentencing                 
  judge will determine if day fines are used.                                  
                                                                               
  Co-Chair  MacLean  asked  for  an  explanation of  day  fine                 
  calculations.  Representative Ulmer referred to page 4, line                 
  26.   She noted  that the maximum  fine is  set for  class A                 
  misdemeanors  not  to exceed  365  day fine  units;  class B                 
  misdemeanors not to exceed 90 day fine units.                                
                                                                               
  Co-Chair  MacLean  asked  if  seasonal employment  could  be                 
  considered.                                                                  
                                                                               
  ARTHUR  H.  SNOWDEN,  III,  ADMINISTRATIVE DIRECTOR,  ALASKA                 
  COURT SYSTEM assured  her that seasonal employment  could be                 
  considered.   He discussed  the Alaska  Court System  fiscal                 
  note.  He asserted that day fines are an effective penalty.                  
                                                                               
  Representative Navarre MOVED to report CSHB 119 (JUD) out of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal notes.  There being NO OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
  CSHB 119  (JUD) was  reported out  of Committee  with a  "do                 
  pass" recommendation  and with a  fiscal impact note  by the                 
  Alaska Court System, dated 3/12/93; and with two zero fiscal                 
  notes by the Department of Administration, dated 4/9/93; and                 
  with three  zero fiscal  notes by the  Department of  Public                 
  Safety, dated 4/8/93;  the Department  of Law, 3/12/93;  and                 
  Department of Health and Social Services.                                    
  HOUSE BILL NO. 167                                                           
                                                                               
       "An  Act  relating  to  air  quality  control  and  the                 
       prevention, abatement,  and control  of air  pollution;                 
                                                                               
                                3                                              
                                                                               
                                                                               
       relating to  civil and criminal penalties, damages, and                 
       other remedies  for  air  quality  control  violations;                 
       clarifying the  definition of `hazardous  substance' to                 
       include  releases  and   threatened  releases  to   the                 
       atmosphere; amending  the lien  provisions relating  to                 
       the  oil and hazardous substance release response fund;                 
       relating to inspection  and enforcement  powers of  the                 
       Department of Environmental Conservation; and providing                 
       for an effective date."                                                 
                                                                               
  House Bill  167 was  in a  subcommittee consisting  of chair                 
  Representative Therriault with Representatives Hanley, Brown                 
  and  Parnell.    Members  were  provided  with  a  Committee                 
  Substitute for HB 167, Work Draft 8-LS0492\R (Attachment 1).                 
  Representative Hanley explained  that several amendments had                 
  been  offered  to  the Committee  during  the  4/15/93 House                 
  Finance Committee meeting.   He  noted that four  amendments                 
  were  held from the  4/15/93 meeting (Amendments  15, 16, 17                 
  and 19).                                                                     
                                                                               
  CLAYTON  HURLESS, COPPER  VALLEY ELECTRIC  ASSOCIATION asked                 
  that utilities  be allowed to pass additional administrative                 
  costs assessed by  the state  on to consumers  on a  monthly                 
  pass  through basis.  He stressed  that a rate case would be                 
  costly.                                                                      
                                                                               
  TOM STAHR,  ANCHORAGE  MUNICIPAL  LIGHT  AND  POWER  COMPANY                 
  testified   in   favor  of   a   monthly  pass   through  of                 
  administrative costs assessed by the state.                                  
                                                                               
  Representative Hanley MOVED to  ADOPT Work Draft 8-LS0492\R.                 
  There being NO OBJECTION, it was so ordered.                                 
                                                                               
  Representative Brown discussed  CSHB 167  (FIN).  She  noted                 
  that  several of  her  concerns have  been addressed  in the                 
  Committee Substitute.                                                        
                                                                               
  ROBERT REGES, ASSISTANT ATTORNEY  GENERAL, DEPARTMENT OF LAW                 
  discussed sections  .010  and .015.   He  observed that  the                 
  Department's  fiscal concerns  have  been  addressed in  the                 
  Committee  Substitute.    He noted  that  the  definition of                 
  "facility" has been further clarified.                                       
                                                                               
  Representative   Hanley  noted  that   fees  paid  by  small                 
  businesses  will  be paid  under  emissions fees  not hourly                 
  charges.                                                                     
                                                                               
  TOM  CHAPPELLE,  PROJECT   MANAGER,  PERMITTING  GROUP,  AIR                 
  COMPONENT, DEPARTMENT OF  ENVIRONMENTAL CONSERVATION  stated                 
  that the Department feels that concerns of the Environmental                 
  Protection Agency (EPA) have been addressed by the Committee                 
  Substitute.                                                                  
                                                                               
                                4                                              
                                                                               
                                                                               
  Representative Hoffman asked how rural power  utilities will                 
  be affected.    Mr. Chappelle  stated that  permits will  be                 
  required of many rural power utilities  that have not had to                 
  obtained permits  previously.  He  added that they  will not                 
  necessarily  be   required  to  install   pollution  control                 
  equipment at current  facilities.   He emphasized that  many                 
  small villages will not  be required to obtain permits.   He                 
  clarified that rural  inspections will sample three  or four                 
  villages a year.                                                             
                                                                               
                                                                               
  Representative Brown  referred to  page  31, line  20.   She                 
  noted that the word  "may" was deleted by the  Subcommittee.                 
  She MOVED to delete "may" on page 31, line 20.   There being                 
  NO OBJECTION, it was so ordered.                                             
                                                                               
  Representative Brown asked if all of EPA's concerns had been                 
  addressed.    Mr. Regis  replied  that the  only outstanding                 
  issue is addressed in Amendment 17 by the Department of Law.                 
                                                                               
  Representative   Hanley   MOVED   to   ADOPT  AMENDMENT   17                 
  (Attachment 2).  Mr. Regis explained that Amendment 17 would                 
  allow penalties  to be  assessed on  a daily  basis.   There                 
  being NO OBJECTION, it was so ordered.                                       
                                                                               
  Representative Brown MOVED to ADOPT AMENDMENT 15 (Attachment                 
  3).   She explained  that the  Amendment would clarify  when                 
  interest would be accrued when a fee is not paid.  A penalty                 
  for nonpayment of the  fee is established in section  (b) of                 
  Amendment 15.  There being NO OBJECTION, it was so ordered.                  
                                                                               
  Representative Brown MOVED to ADOPT AMENDMENT 16 (Attachment                 
  4).  She explained that harm to persons or property would be                 
  taken into  account when assessing  damage.  There  being NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  Representative   Navarre  MOVED   to   ADOPT  AMENDMENT   18                 
  (Attachment 5).  He explained that the amendment would add a                 
  criminal penalties section to CSHB 167 (FIN).  The  criminal                 
  penalties would be addressed  by class of felony.   He noted                 
  that criminal penalties were originally  included in HB 167.                 
  He maintained that  the criminal  penalties would  act as  a                 
  deterrent.                                                                   
                                                                               
  (Tape Change, HFC 93-109, Side 1)                                            
                                                                               
  Mr. Regis noted that page 2, subsection (h) "offense" should                 
  be changed to "violation".  Co-Chair Larson MOVED to  delete                 
  "offense"  and  insert  "violation"   where  it  occurs   in                 
  Amendment 18.  There being NO OBJECTION, it was so ordered.                  
                                                                               
                                                                               
                                5                                              
                                                                               
                                                                               
  Mr.  Regis  suggested  that  "certified"  be  deleted.    He                 
  stressed that the  intent is  not that the  notice be  given                 
  through certified mail.  He  added that "send, by  certified                 
  mail,  a copy"  be deleted and  "provide written  notice" be                 
  inserted.   Representative Navarre MOVED to  AMEND Amendment                 
  17:    Delete "send,  by  certified  mail, a  copy,"  Insert                 
  "provide written notice."   Mr. Chappelle further  explained                 
  the amendment.                                                               
                                                                               
  Representative  Hanley  requested  that   the  amendment  be                 
  divided  to  allow the  section  concerning notice  to stand                 
  separately.    Mr. Regis  stated that  if  the intent  is to                 
  separate misdemeanors from felonies then subsections (b) and                 
  (c)  should  be   segregated.     In  addition,  the   words                 
  "knowingly" and "recklessly" would be deleted from (i).                      
                                                                               
  Representative   Navarre   suggested  that   a  conceptional                 
  amendment  be  adopted  to  divide  the  portions  regarding                 
  misdemeanors from  the portions  regarding felonies.   There                 
  being NO OBJECTION, it was so ordered.                                       
                                                                               
  Representative  Hanley  MOVED  to  ADOPT portions  regarding                 
  misdemeanors.   Mr. Regis  stated that different substantive                 
  crimes will not be  created by the amendment as  divided and                 
  moved.                                                                       
                                                                               
  Representative  Hanley  MOVED  to  RESCIND  the  Committee's                 
  action in dividing  Amendment 18.  There being NO OBJECTION,                 
  it was so ordered.                                                           
                                                                               
  Mr. Regis observed  that Amendment 18  should be amended  to                 
  read:  "(g) The  department shall provide written notice  of                 
  this section to an  owner operator who applies for  a permit                 
  under this chapter or who request assistance in applying for                 
  a permit  under this chapter.   For purposes of  (a) of this                 
  section,  a person is considered to have received the notice                 
  if  the  person certifies  in  writing that  the  notice was                 
  received by a  representative, employee, or employer  of the                 
  person."                                                                     
                                                                               
  Co-Chair  Larson MOVED  to  AMEND Amendment  18:   "(g)  The                 
  department shall provide  written notice of this  section to                 
  an  owner  operator  who applies  for  a  permit under  this                 
  chapter  or who request assistance in  applying for a permit                 
  under this chapter.  For purposes of  (a) of this section, a                 
  person  is considered  to have  received the  notice  if the                 
  person certifies in writing that  the notice was received by                 
  a representative, employee, or employer of the person."                      
                                                                               
  Representative  Navarre  MOVED  to  ADOPT  AMENDMENT  18  as                 
  amended.  Representative  Therriault OBJECTED.  A  roll call                 
  vote was taken on the motion.                                                
                                                                               
                                6                                              
                                                                               
                                                                               
  IN FAVOR: Brown, Grussendorf, Hoffman, Navarre                               
  OPPOSED:  Foster,  Hanley,   Martin,  Parnell,   Therriault,                 
                 MacLean, Larson                                               
                                                                               
  The MOTION FAILED (4-7).                                                     
                                                                               
  Mr.  Chappelle discussed  the new  fiscal  note accompanying                 
  CSHB 167 (FIN).  He noted that an additional $442.8 thousand                 
  dollars  in  authorization  is  needed   to  carry  out  the                 
  legislation in FY 94.                                                        
                                                                               
  Representative   Hanley   MOVED   to   ADOPT  AMENDMENT   19                 
  (Attachment    6).       Representative    Brown   OBJECTED.                 
  Representative Hanley  stated that the amendment would allow                 
  utilities  to  pass  through  fees   without  a  rate  case.                 
  Representative Brown  felt that  the amendment  would remove                 
  the incentive to  control emissions.   A roll call vote  was                 
  taken on the motion to adopt Amendment 19.                                   
                                                                               
  IN FAVOR: Foster,   Hanley,   Hoffman,    Martin,   Parnell,                 
                 Therriault, Larson                                            
  OPPOSED:  Brown, Grussendorf, Navarre, MacLean                               
                                                                               
  The MOTION PASSED (7-4).                                                     
                                                                               
  Representative Navarre MOVED to report CSHB 167 (FIN) out of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal notes.  There being NO OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
  CSHB 167  (FIN) was  reported out  of Committee  with a  "do                 
  pass" recommendation  and with a  fiscal impact note  by the                 
  Department of Environmental  Conservation and with  a fiscal                 
  impact note by the Department of Law.                                        
  SENATE BILL NO. 100                                                          
                                                                               
       "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."                                       
                                                                               
  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."                                       
                                                                               
  Members were presented with a  comparison, dated 3/16/93, of                 
  CSHB  135  (FIN)   Work  Draft   \J,and  CSSB  100   (FIN)am                 
                                                                               
                                7                                              
                                                                               
                                                                               
  (Attachment 7).                                                              
                                                                               
  Co-Chair   Larson   reviewed    supplemental   appropriation                 
  differences between  the House and  Senate companion  bills,                 
  CSHB 135 (FIN) and CSSB 100 (FIN)am.  He noted that sections                 
  which contained  identical amounts  would  remain the  same.                 
  The Committee evaluated the remaining sections.                              
                                                                               
  Co-Chair    Larson   MOVED    to   ADOPT    the   Governor's                 
  recommendations regarding ANWR.                                              
                                                                               
  CHERYL FRASCA,  DIVISION DIRECTOR, OFFICE OF  MANAGEMENT AND                 
  BUDGET, OFFICE OF THE GOVERNOR explained that the Governor's                 
  amendments  would  make  a  reappropriation  from  the  ANWR                 
  appropriation to Arctic Power not  to exceed $250.0 thousand                 
  dollars.  There is  a balance before the  reappropriation of                 
  $650.0 thousand dollars.  The lapse date is being extended.                  
                                                                               
  Co-Chair  Larson  suggested that  the  Governor's amendments                 
  regarding ANWR  be considered  with  in the  reappropriation                 
  legislation.    Committee members  agreed.   Co-Chair Larson                 
  MOVED  to  AMEND   the  motion  to  delete   the  Governor's                 
  amendments regarding ANWR.  There being NO OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
  Co-Chair  Larson MOVED to ADOPT the  Senate number of $175.0                 
  thousand dollars for  the Division  of Elections, Office  of                 
  the Governor.  There being NO OBJECTION, it was so ordered.                  
                                                                               
  Co-Chair Larson  noted that  the Senate  reduced section  2,                 
  Public  Defender  from  $383.0 thousand  dollars  to  $300.0                 
  thousand dollars.   Representative Brown MOVED to  ADOPT the                 
  House  number,  $383.0  thousand dollars.    There  being NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  Co-Chair  Larson  noted  differences to  section  3, RATNET,                 
  House $200.0  thousand  dollars and  Senate $138.4  thousand                 
  dollars.  Co-Chair MacLean MOVED  to ADOPT the House number,                 
  $200.0  thousand  dollars  to  section 3.    There  being NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
                                                                               
  Co-Chair Larson  noted differences  to section 4,  Personnel                 
  Board,  House  $64.0  thousand  dollars  and   Senate  $49.0                 
  thousand dollars.   Co-Chair  MacLean MOVED  to ADOPT  $90.0                 
  thousand dollars to section 4.                                               
                                                                               
  (Tape Change, HFC 93-109, Side 2)                                            
                                                                               
  SHARON   BARTON,   DIRECTOR,   DIVISION  OF   ADMINISTRATIVE                 
  SERVICES, DEPARTMENT OF  ADMINISTRATION discussed the affect                 
  of $90.0  thousand dollars to section 4.   She noted that 10                 
                                                                               
                                8                                              
                                                                               
                                                                               
  employees  would  be laid  off  for  a  month  without  full                 
  funding.  There  being NO OBJECTION, $90.0  thousand dollars                 
  was adopted in section 4.                                                    
                                                                               
  Co-Chair Larson noted  differences to  section 5, Office  of                 
  Public  Advocacy, House  $616.4 thousand dollars  and Senate                 
  $500.0  thousand  dollars.   Representative  Brown  MOVED to                 
  ADOPT the House  number, $616.4 thousand dollars  to section                 
  5.  Representative  Martin OBJECTED.   A roll call vote  was                 
  taken on the motion.                                                         
                                                                               
  IN FAVOR: Brown,  Grussendorf,  Hoffman,   Navarre,  Hanley,                 
                 Parnell, MacLean, Larson                                      
  OPPOSED:  Foster, Martin, Therriault                                         
                                                                               
  The MOTION PASSED (8-3).                                                     
                                                                               
  Co-Chair Larson  noted differences to  section 12, Judgement                 
  and Claims, House $1,133.6 million dollars and Senate $309.8                 
  thousand  dollars.   Ms. Frasca  noted that  the Senate  had                 
  deducted the appropriation  to the Southeast Conference  for                 
  reapportionment litigation reimbursement.                                    
                                                                               
  BRUCE BOTELHO, ASSISTANT ATTORNEY GENERAL, DEPARTMENT OF LAW                 
  noted  that  additional  settlements result  in  a  total of                 
  $1.436.6 million dollars including the Southeast  Conference                 
  judgement.  Co-Chair MacLean MOVED to ADOPT the House number                 
  of  $1.436.6 million dollars.   There being NO OBJECTION, it                 
  was so ordered.                                                              
                                                                               
  Co-Chair Larson noted that CSSB 100(FIN)am has an additional                 
  section under the Department of Law, $284.5 thousand dollars                 
  for court  ordered costs  for plaintiffs:   Weiss  v. State.                 
  Mr.  Botelho explained that the appropriation will reimburse                 
  the cost of defending the settlement.  Representative Martin                 
  MOVED to ADOPT the Senate number of $284.5 thousand dollars,                 
  Department of  Law.   There being  NO OBJECTION,  it was  so                 
  ordered.                                                                     
                                                                               
  Co-Chair Larson noted  differences to  section 13, Income  &                 
  Excise,  House  $325.0 thousand  dollars  and Senate  $225.0                 
  thousand  dollars.    Co-Chair MacLean  MOVED  to  ADOPT the                 
  Senate number to section 14, $225.0 thousand dollars.                        
                                                                               
  ROD MOURANT,  ASSISTANT COMMISSIONER, DEPARTMENT  OF REVENUE                 
  explained that the  positions have not been hired.  Co-Chair                 
  Larson MOVED  to AMEND the  motion to adopt  $275.0 thousand                 
  dollars.  Representative Hanley OBJECTED.  A  roll call vote                 
  was taken on the motion.                                                     
                                                                               
  IN FAVOR: Brown, Foster, Grussendorf, Navarre, Larson                        
  OPPOSED:  Hanley, Martin, Therriault, MacLean                                
                                                                               
                                9                                              
                                                                               
                                                                               
  Representatives Hoffman and Parnell were not present for the                 
  vote.                                                                        
                                                                               
  The MOTION PASSED (5-4).                                                     
                                                                               
  Co-Chair  Larson  MOVED  to  ADOPT  in  section  14,  $375.0                 
  thousand dollars to the Department  of Revenue for increased                 
  audit activities.    There being  NO  OBJECTION, it  was  so                 
  ordered.                                                                     
                                                                               
  Representative Brown WITHDREW HER  OBJECTIONS to section 16,                 
  Ratification and amendment of prior  year expenditures.  Co-                 
  Chair Larson  MOVED to  ADOPT section  16, Ratification  and                 
  amendment  of  prior  year  expenditures.   There  being  NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  Co-Chair  Larson noted  differences  to section  22,  Public                 
  Assistance Data  Processing, House  $174.0 thousand  dollars                 
  and  Senate  zero.   He  noted  that the  Administration  is                 
  requesting that the section be deleted and reappropriated to                 
  Department of Public Safety for data processing charge-back.                 
  Co-Chair  Larson  MOVED to  ADOPT  the Senate's  deletion of                 
  section 22.  There being NO OBJECTION, it was so ordered.                    
                                                                               
  Co-Chair  Larson noted  differences  to  section 25,  Foster                 
  Care, House  $1,100.0  million  dollars  and  Senate  $600.0                 
  thousand dollars.                                                            
                                                                               
  JANET CLARKE, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,                 
  DEPARTMENT OF  HEALTH AND  SOCIAL SERVICES  stated that  the                 
  estimated cost for the Foster Care component is $1.0 million                 
  dollars.    She  emphasized that  the  component  is formula                 
  driven.                                                                      
                                                                               
  Representative Hanley  MOVED to  ADOPT the  House number  of                 
  $1.1  million  dollars,   Foster  Care.    There   being  NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  Co-Chair Larson noted differences  to section 26, McLaughlin                 
  Youth Center, House $110.0 thousand dollars and Senate $97.5                 
  thousand dollars.  Co-Chair Larson MOVED to ADOPT the Senate                 
  number of $97.5  thousand dollars  for the McLaughlin  Youth                 
  Center.  There being NO OBJECTION, it was so ordered.                        
                                                                               
  Co-Chair Larson noted differences to section 27, Post Mortem                 
  Exams,  House  $200.0  thousand dollars  and  Senate  $229.6                 
  thousand dollars.  Co-Chair Larson MOVED to ADOPT the Senate                 
  number.  There being NO OBJECTION, it was so ordered.                        
                                                                               
  Co-Chair Larson noted differences to section  27, Bloodborne                 
  Pathogens, House  $145.3 thousand  dollars and  Senate zero.                 
                                                                               
                               10                                              
                                                                               
                                                                               
  Co-Chair Larson MOVED  to ADOPT  $115.3 thousand dollars  to                 
  Bloodborne Pathogens.   There being NO OBJECTION,  it was so                 
  ordered.                                                                     
                                                                               
  Ms. Clarke noted that  a new section was added in the Senate                 
  to  reduce  $157.5  thousand  dollars  to Family  and  Youth                 
  Services Northern Region,  Department of  Health and  Social                 
  Services.  She  indicated that the  funds are lapsing.   Co-                 
  Chair Larson  MOVED  to ADOPT  the  Senate to  reduction  of                 
  $157.5  thousand  dollars  to   Family  and  Youth  Services                 
  Northern Region,  Department of Health  and Social Services.                 
  There being NO OBJECTION, it was so ordered.                                 
                                                                               
  Co-Chair MacLean MOVED  to DELETE the new  section contained                 
  in  CSSB 100  (FIN)am  regarding a  language  change to  the                 
  Northern  Forum.   She  stated that  this section  should be                 
  considered in  reappropriation legislation.  There  being NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  Co-Chair  Larson noted  that the  Senate did  not adopt  the                 
  House number, $90.0  thousand dollars for the  Department of                 
  Military  and Veterans  Affairs, Death  Gratuity.   Co-Chair                 
  MacLean MOVED  to ADOPT the  House number of  $90.0 thousand                 
  dollars.  There being NO OBJECTION, it was so ordered.                       
                                                                               
  Co-Chair  Larson  noted  differences  to  section  34,  Land                 
  Selection  Program, House $641.0 thousand dollars and Senate                 
  $391.0 thousand dollars.                                                     
                                                                               
  NICO  BUS, DIRECTOR,  DIVISION  OF ADMINISTRATIVE  SERVICES,                 
  DEPARTMENT OF  HEALTH AND  SOCIAL SERVICES  stated that  the                 
  Senate number does not fund the salaries for the Division of                 
  Water  employees and  overtime in  the Information  Resource                 
  Management Section,  space fixed  costs  and publication  of                 
  land selections.  Members discussed section 34.                              
                                                                               
  Co-Chair  Larson MOVED to ADOPT  the Senate number of $391.0                 
  thousand  dollars for  state  land  selection activities  in                 
  section 34.  He indicated his intent to fund the full amount                 
  adopted by the House.  He suggested that the additional cost                 
  for  publication  and  personal services  be  included  in a                 
  separate amendment.   There being  NO OBJECTION, the  Senate                 
  number of $391.0 thousand dollars was adopted.                               
                                                                               
  Co-Chair Larson noted differences to section 36, Division of                 
  Boards,  House $492.0  thousand  dollars and  Senate  $292.0                 
  thousand dollars.  Ms. Frasca  explained that the Board will                 
  not meet  in June if the Senate number is adopted.  Co-Chair                 
  MacLean  MOVED  to ADOPT  the  House number  to  section 36.                 
  There being NO OBJECTION, it was so ordered.                                 
                                                                               
  Co-Chair Larson MOVED to ADOPT section  37, Ratify and Amend                 
                                                                               
                               11                                              
                                                                               
                                                                               
  Prior Year Expenditures.  He noted that  there is a net zero                 
  in  both  the  House  and  Senate  bills.   There  being  NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  (Tape Change, HFC 93-110, Side 1)                                            
                                                                               
  Co-Chair  Larson  noted differences  to  section  40, offset                 
  unrealized federal receipts, House $137.4 thousand  dollars,                 
  Fish and Game Fund and Senate zero.                                          
                                                                               
  MARY LOU BARTON, FISCAL ANALYST, DEPARTMENT OF FISH AND GAME                 
  explained that $134.7 thousand dollars in Fish and Game Fund                 
  receipts will be used to offset federal funds which were not                 
  realized.  Representative  Navarre MOVED to ADOPT  the House                 
  number,  $137.4  thousand  dollars.   Representative  Martin                 
  OBJECTED.  A roll call vote was taken on the motion.                         
                                                                               
  IN FAVOR: Brown,  Grussendorf,  Hoffman,   Navarre,  Foster,                 
                 Hanley, Parnell, Therriault, MacLean, Larson                  
  OPPOSED:  Martin                                                             
                                                                               
  The MOTION PASSED (10-1).                                                    
                                                                               
  Co-Chair Larson  noted differences  to section  41, Contract                 
  Jails,  House  $690.4  thousand  dollars  and  Senate $500.0                 
  thousand dollars.  Co-Chair MacLean spoke in support  of the                 
  House number.   Co-Chair  MacLean MOVED to  ADOPT the  House                 
  number, $690.4 thousand  dollars to section 41.  There being                 
  NO OBJECTION, it was so ordered.                                             
                                                                               
  Co-Chair Larson  noted differences  to section  42, Criminal                 
  Records and  Id., House  $90.6 thousand  dollars and  Senate                 
  zero.    Representative  Parnell MOVED  to  ADOPT  the House                 
  number of $90.6 thousand dollars to section 42.  There being                 
  NO OBJECTION, it was so ordered.                                             
                                                                               
  Co-Chair Larson noted differences to section  43, Bloodborne                 
  Pathogens, House  $126.7 thousand  dollars and  Senate zero.                 
  Co-Chair Larson MOVED  to ADOPT  $100.0 thousand dollars  to                 
  section 43.  There being NO OBJECTION, it was so ordered.                    
                                                                               
  Co-Chair  Larson  noted differences  to section  44 Prisoner                 
  Transportation,  House  $125.0 thousand  dollars  and Senate                 
  zero.    Representative  Parnell MOVED  to  ADOPT  the House                 
  number.                                                                      
                                                                               
  KENNETH E.  BISCHOFF, DIRECTOR,  DIVISION OF  ADMINISTRATIVE                 
  SERVICES,  DEPARTMENT  OF PUBLIC  SAFETY  explained that  at                 
  capacity   correctional   facilities  will   cause  prisoner                 
  transportation to increase.                                                  
                                                                               
  There being NO OBJECTION, the  House number, $125.0 thousand                 
                                                                               
                               12                                              
                                                                               
                                                                               
  dollars was adopted to section 44.                                           
                                                                               
  Co-Chair Larson noted  differences to section 44,  Civil Air                 
  Patrol,  House $125.0  thousand  dollars and  Senate  $100.0                 
  thousand dollars.  Representative Foster  MOVED to ADOPT the                 
  House  number,  $125.0  thousand dollars.    There  being NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  Co-Chair  Larson noted that  section 47  Arbitrator's Award,                 
  $539.6  thousand  dollars was  HELD  open.   Co-Chair Larson                 
  MOVED to ADOPT $539.6 thousand dollars in section 47.                        
                                                                               
  Co-Chair  Larson  noted  that section  48  Dalton  Highway -                 
  $1,222.9 million  dollars was  HELD open.   Co-Chair  Larson                 
  MOVED  to ADOPT  $6611.5 thousand  dollars.   Representative                 
  Therriault OBJECTED.   A  roll call  vote was  taken on  the                 
  motion.                                                                      
                                                                               
  IN FAVOR: Brown,  Grussendorf,  Hoffman,   Navarre,  Foster,                 
                 MacLean, Larson                                               
  OPPOSED:  Martin, Therriault                                                 
                                                                               
  Representatives Hanley and Parnell were  not present for the                 
  vote.                                                                        
                                                                               
  The MOTION PASSED (7-2).                                                     
                                                                               
  Co-Chair Larson noted that the Senate added a new section to                 
  add  $720.0  thousand  dollars  for  uncollectible   airport                 
  landing/leasing revenues, legal costs.  Ms. Frasca explained                 
  that  the  ability  to collect  the  fees  were successfully                 
  challenged  in  court.   The  state  was  also  found to  be                 
  charging an excessive rental rate.                                           
                                                                               
  Representative Hoffman did  not support  inclusion of  $70.0                 
  thousand  dollars  for  legal  fees.    He  noted  that  the                 
  legislature did not support the institution of landing fees.                 
                                                                               
  RON  LIND, DIRECTOR,  DIVISION  OF ADMINISTRATIVE  SERVICES,                 
  DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES explained                 
  that the FY  94 operating budget  is based on collection  of                 
  the fees.   He stated  that the Department  anticipates that                 
  the fees will be reinstated by July 1, 1994.                                 
                                                                               
  Representative Hoffman MOVED to  ADOPT $650 thousand dollars                 
  for the Department of Transportation and Public  Facilities,                 
  uncollectible     airport      landing/leasing     revenues.                 
  Representative Navarre OBJECTED.  A roll call vote was taken                 
  on the motion.                                                               
                                                                               
  IN FAVOR: Brown,  Grussendorf,   Hoffman,  Foster,   Hanley,                 
                 Martin, Therriault, MacLean                                   
                                                                               
                               13                                              
                                                                               
                                                                               
  OPPOSED:  Navarre, Parnell, Larson                                           
                                                                               
  Representative Foster MOVED to ADOPT section 51, Seafood and                 
  Sanitation  Activities -  $351.2  thousand dollars.    There                 
  being NO OBJECTION, it was so ordered.                                       
                                                                               
  Representative  Martin  MOVED  to  ADOPT section  52,  Water                 
  Quality Standards Advisory Group  - $41.4 thousand  dollars.                 
  There being NO OBJECTION, it was so ordered.                                 
                                                                               
  Co-Chair Larson MOVED  to RESCIND the Committee's  action in                 
  adopting section 34.   He  noted that section  34 should  be                 
  included in  reappropriation legislation.    There being  NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  Co-Chair Larson noted  that a new  section was added to  the                 
  Department of Environmental Conservation for Klawock  sewage                 
  treatment.  He suggested that the section be included in the                 
  reappropriation legislation.  The section was not adopted.                   
                                                                               
  Co-Chair  Larson  noted differences  to section  56, Federal                 
  Grant  Repayment, House  $48.5 thousand  dollars  and Senate                 
  zero.  Representative Martin MOVED to ADOPT the House number                 
  of $48.5 thousand dollars.  There being NO OBJECTION, it was                 
  so ordered.                                                                  
                                                                               
  Co-Chair  Larson  observed  that  the  Senate  added  a  new                 
  section, Rural Development Grants, lapse  dates which should                 
  be included in reappropriation legislation.  The section was                 
  not adopted.                                                                 
                                                                               
  Co-Chair Larson noted differences to section 57a, Department                 
  of Corrections, Administration and Support, operating costs,                 
  House   $66.5    thousand   dollars    and   Senate    zero.                 
  Representative Navarre MOVED to ADOPT the House number $66.5                 
  thousand  dollars to section 57a.  There being NO OBJECTION,                 
  it was so ordered.                                                           
                                                                               
  Co-Chair Larson noted differences to section 57b  Department                 
  of Corrections,  statewide operating  costs, House  $6,812.9                 
  million dollars and  Senate $4.7  million dollars.   Members                 
  were   provided  Amendment   1   by  Representative   Barnes                 
  (Attachment 8).  Section 57b was HELD open.                                  
                                                                               
  Co-Chair Larson noted  differences to  section 58, UAF  Snow                 
  Removal,  House $375.0  thousand  dollars and  Senate $275.0                 
  thousand dollars.  Representative  Therriault MOVED to ADOPT                 
  the Senate number,  $275.0 thousand  dollars to section  58.                 
  There being NO OBJECTION, it was so ordered.                                 
                                                                               
  Co-Chair Larson  noted that  the Senate  had added  $1,150.0                 
  million dollars for the  University of Alaska, Dix et  al v.                 
                                                                               
                               14                                              
                                                                               
                                                                               
  University settlement.                                                       
                                                                               
  ALISON  ELGEE,  DIRECTOR  OF BUDGET,  UNIVERSITY  OF  ALASKA                 
  clarified  that  the settlement  has  been reached  with the                 
  plaintiff and the University and agreed to by the court.  If                 
  the supplemental request  is not funded a  judgement will be                 
  issued in September 1994.   The first $300  thousand dollars                 
  has been  paid by  the University's  insurance and  deducted                 
  from  the  request.   The  settlement  is  the  result of  a                 
  sledding accident on University property.                                    
                                                                               
  Representative  Parnell MOVED  to ADOPT  the Senate  number,                 
  $1.15 million dollars to the University of Alaska.  Co-Chair                 
  Larson MOVED to AMEND the motion  to adopt the House number,                 
  zero.  Representative  Parnell WITHDREW  HIS MOTION.   There                 
  being  NO  OBJECTION, it  was so  ordered.   Co-Chair Larson                 
  MOVED to ADOPT the  House number, zero to the  University of                 
  Alaska, Dix settlement.  There being NO OBJECTION, it was so                 
  ordered.                                                                     
                                                                               
  Co-Chair  Larson  noted  that  section  59  was  HELD  open.                 
  Representative  Martin  MOVED  to ADOPT  section  59, Alaska                 
  Court  System,  $19.9  thousand  dollars.   There  being  NO                 
  OBJECTION, it was so ordered.                                                
                                                                               
  Co-Chair Larson discussed section 60, stale-dated  warrants.                 
  Representative  Martin  MOVED to  ADOPT  the Senate  number,                 
  Department of Military  and Veterans Affairs, $1.4  thousand                 
  dollars in section 60.  There being NO  OBJECTION, it was so                 
  ordered.                                                                     
                                                                               
  CSSB 100 (FIN)am was HELD in Committee.                                      
  ADJOURNMENT                                                                  
                                                                               
  The meeting adjourned at 4:45 p.m.                                           
                                                                               
                                                                               
                               15                                              

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