Legislature(1995 - 1996)

05/02/1995 08:35 AM FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
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                     HOUSE FINANCE COMMITTEE                                   
                           May 2, 1995                                         
                            8:30 A.M.                                          
                                                                               
  TAPE HFC 95-109, Side 1, #000 - end.                                         
                                                                               
  CALL TO ORDER                                                                
                                                                               
  Co-Chair  Mark Hanley  called  the House  Finance  Committee                 
  meeting to order at 8:35 a.m.                                                
                                                                               
  PRESENT                                                                      
                                                                               
  Co-Chair Hanley               Representative Martin                          
  Co-Chair Foster               Representative Mulder                          
  Representative Brown          Representative Navarre                         
  Representative Grussendorf    Representative Parnell                         
  Representative Kelly          Representative Therriault                      
  Representative Kohring                                                       
                                                                               
  ALSO PRESENT                                                                 
                                                                               
  Senator Mike  Miller; Kelly Goode,  Staff, Senator  Halford;                 
  Major   Buell  Russel,   Division  of   Fish  and   Wildlife                 
  Protection,  Department  of  Public  Safety;  Bob  Robadeau,                 
  Lieutenant Governor's Office.                                                
                                                                               
  SUMMARY                                                                      
                                                                               
  SB 21     An  Act relating  to  penalties for  violations of                 
            commercial fishing laws.                                           
                                                                               
            CSSB 21 (RES) was reported out of Committee with a                 
            "do  pass"  recommendation  and  with  three  zero                 
            fiscal notes, one  by the Department of  Law dated                 
            3/8/95, and one  by the Alaska Court  System dated                 
            3/8/95, and one by the Department of Public Safety                 
            dated 3/8/95.                                                      
                                                                               
  SB 124    An Act relating  to the  human services  community                 
            matching  grant  program;  and  providing  for  an                 
            effective date.                                                    
                                                                               
            SB 124 was  reported out of  Committee with a  "do                 
            pass" recommendation  and with a zero  fiscal note                 
            by the Department of Health & Social Services.                     
                                                                               
  SB 142    An Act  establishing  the  Alaska  Human  Resource                 
            Investment   Council   and   transferring  certain                 
            functions  of  other  entities   to  the  council;                 
                                                                               
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            establishing a planning  mechanism for  employment                 
            training  and  other  human   resource  investment                 
            needs; and providing for an effective date.                        
                                                                               
            HCS CSSB 142  (FIN) was reported out  of Committee                 
            with  a  "do  pass"  recommendation  and  a  House                 
            Finance  Committee  Letter of  Intent, and  with a                 
            fiscal impact note  by the Office of  the Governor                 
            dated 3/27/95, and with six  zero fiscal notes all                 
            dated  3/27/95  by   the  University  of   Alaska,                 
            Department  of  Education,  Department  of  Labor,                 
            Department of Health & Social Services, Department                 
            of   Commerce   and   Economic  Development,   and                 
            Department of Community and Regional Affairs.                      
  SENATE BILL NO. 124                                                          
                                                                               
       "An  Act  relating  to  the  human  services  community                 
       matching grant program; and  providing for an effective                 
       date."                                                                  
                                                                               
  SENATE MIKE MILLER, SPONSOR testified in support of SB  124.                 
  He observed  that the community match for the Human Services                 
  Community Matching Grants Program was set at 30 percent.  He                 
  observed  that the  authorizing  statute was  structured  to                 
  increase  the community  match to 50  percent in FY  96.  He                 
  stressed  that  cities  are  facing  declining  revenues  in                 
  municipal assistance and revenue sharing.  He stated that 30                 
  percent participation should  be maintained.  He  noted that                 
  most  matching  grant  programs only  require  a  30 percent                 
  match.   He  emphasized that the  legislation will  not cost                 
  additional state dollars.                                                    
                                                                               
  In response to a question  by Representative Martin, Senator                 
  Miller clarified that  communities will match $.30  cents on                 
  each  state dollar.   No  additional  state dollars  will be                 
  required.  He  reiterated that cities currently match at the                 
  30 percent level.   He noted  that the current general  fund                 
  contribution  to  the  program  is  $1.7  million   dollars.                 
  Fairbanks  and  Anchorage  contribute  approximately  $500.0                 
  thousand dollars for a total of $2.3 million dollars.                        
                                                                               
  Representative Mulder noted  that a similar bill  was vetoed                 
  by  the  Governor  in  FY  95.   Senator  Miller  could  not                 
  elaborate on why the previous legislation was vetoed.                        
                                                                               
  Representative  Kohring  MOVED  to  report  SB  124  out  of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal note.  There being NO OBJECTION, it  was                 
  so ordered.                                                                  
                                                                               
  SB  124  was reported  out  of  Committee with  a  "do pass"                 
                                                                               
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  recommendation and with a zero fiscal note by the Department                 
  of Health & Social Services.                                                 
  SENATE BILL NO. 21                                                           
                                                                               
       "An   Act  relating  to  penalties  for  violations  of                 
       commercial fishing laws."                                               
                                                                               
  KELLY GOODE, STAFF, SENATOR HALFORD  testified in support of                 
  SB 21.   She noted that SB  21 increases the  punishment for                 
  violations  of  commercial  fishing laws.    Senate  Bill 21                 
  increases  the   maximum  fine   allowable  for   third  and                 
  subsequent violations  of commercial  fishing  laws to  $9.0                 
  thousand dollars.   She noted  that similar legislation  was                 
  passed by the Senate, but did not make it to the House floor                 
  for concurrence before  adjournment.  She observed  that the                 
  previous legislation would have  placed greater sanctions on                 
  first and second violations.                                                 
                                                                               
  Co-Chair Hanley noted that the  prior legislation would have                 
  raised  the maximum penalty  for all  fines.   He reiterated                 
  that  SB 21  only raises  fines on  the third  offense.   He                 
  observed  that  the  legislation  sets  the maximum  penalty                 
  allowed and is not mandatory.                                                
                                                                               
  BUELL RUSSEL, MAJOR, ENFORCEMENT COMMANDER, DIVISION OF FISH                 
  AND  WILDLIFE   PROTECTION,  DEPARTMENT  OF   PUBLIC  SAFETY                 
  testified  in  support  of  SB  21, via  the  teleconference                 
  network.   He stated  that the  legislation would  provide a                 
  deterrent.                                                                   
                                                                               
  Representative Parnell  noted that he  represents commercial                 
  fishermen.                                                                   
                                                                               
  In response  to a  question by  Representative Navarre,  Ms.                 
  Goode stated  that Senator  Halford chose  to introduce  new                 
  legislation.                                                                 
                                                                               
  Representative Mulder MOVED to report  CSSB 21 (RES) out  of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal notes.                                                   
                                                                               
  CSSB 21 (RES) was reported out of Committee with a "do pass"                 
  recommendation and with three zero fiscal notes, one  by the                 
  Department of Law dated 3/8/95, and  one by the Alaska Court                 
  System  dated  3/8/95, and one  by the Department of  Public                 
  Safety dated 3/8/95.                                                         
  SENATE BILL NO. 142                                                          
                                                                               
       "An   Act  establishing   the  Alaska   Human  Resource                 
       Investment Council and  transferring certain  functions                 
                                                                               
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       of  other  entities  to  the  council;  establishing  a                 
       planning mechanism  for employment  training and  other                 
       human resource  investment needs; and providing  for an                 
       effective date."                                                        
                                                                               
  BOB ROBADEAU, OFFICE OF THE LIEUTENANT GOVERNOR testified in                 
  support of SB  142.  He  noted that similar legislation  was                 
  vetoed by Governor Hickel.  He stressed that SB 142 attempts                 
  to  address concerns  by agencies  that  were raised  by the                 
  previous  legislation.   He  observed  that the  legislation                 
  consolidates  three   federally  mandated  councils.     The                 
  Governor's Council  on Vocational Education, the  Alaska Job                 
  Training  Council  and  the   Employment  Security  Advisory                 
  Council would  be combined  into the  Alaska Human  Resource                 
  Investment Council.  He noted that  the bill requires no new                 
  general fund dollars.   He observed  that federal funds  are                 
  directly  earmarked for  the  councils.   He noted  that the                 
  councils are needed to garner federal funds.  He stated that                 
  the new  Alaska Human  Resource Investment  Council will  be                 
  housed in the  Office of the  Governor.  He emphasized  that                 
  the Council can be used as an economic development tool.                     
                                                                               
  Representative Therriault questioned the need for section 1,                 
  Legislative Findings  and Purpose.   Mr.  Robadeau spoke  in                 
  support of retaining section 1.                                              
                                                                               
  Representative Parnell noted  that there is a  fiscal impact                 
  note for the Office of the Governor.  Mr. Robadeau clarified                 
  that  interagency   transfer  dollars   would  be  used   to                 
  consolidate oversight by  the Office of  the Governor.    He                 
  emphasized  that  a  savings will  be  realized  by reducing                 
  members from 40  to 23.  He added that the Council will also                 
  save money by reducing the number of meetings from 12 to 4 a                 
  year.                                                                        
                                                                               
  Representative Brown  queried how  existing members will  be                 
  transitioned.    Mr.  Robadeau explained  that  a  six month                 
  sunset will  allow private industry representatives  to plan                 
  their   own  consolidation.      The  Governor   hopes  that                 
  consolidation can occur  through attrition.   He noted  that                 
  specific  seats are  mandated by  federal law.   He stressed                 
  that the existing  councils can  recommend members of  their                 
  own councils that meet  the criteria outlined.   He observed                 
  that the existing councils support the legislation.                          
                                                                               
  Representative  Brown  asked what  can  be done  to increase                 
  resident  hire.    Mr.  Robadeau  emphasized that  it  makes                 
  economic sense to  hire Alaskans  if they are  trained.   He                 
  observed that the  infrastructure to train Alaskans  exists.                 
  He stressed  that the  Council will  be  represented by  the                 
  private sector  consumers.  He  emphasized that some  of the                 
  largest employers in the State are involved.  He stated that                 
                                                                               
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  employers  want to identify jobs  and develop a mechanism to                 
  train Alaskans.   He pointed out that  Congress approved the                 
  consolidation of councils in 1993.   Since then, twenty  one                 
  states have consolidated.                                                    
                                                                               
  Representative  Therriault   MOVED  to  delete   section  1,                 
  Legislative   Findings   and   Purpose.       Representative                 
  Grussendorf OBJECTED.   He  emphasized that council  members                 
  will be from  the public and could benefit  from legislative                 
  direction.                                                                   
                                                                               
  Representative Therriault  MOVED to  amend his  amendment to                 
  delete  (a),  page  1,  line  7  through page  2,  line  13.                 
  Representative Grussendorf OBJECTED.                                         
                                                                               
  Representative Parnell noted that the purpose  section could                 
  be included in a sponsor statement or other direction to the                 
  Council.                                                                     
  A  roll  call vote  was  taken on  the  MOTION to  amend the                 
  amendment.                                                                   
                                                                               
  IN FAVOR: Brown,  Grussendorf,   Navarre,  Kelly,   Kohring,                 
  Martin,        Mulder, Parnell, Therriault                                   
  OPPOSED:  (none)                                                             
                                                                               
  Co-Chair Hanley  and Co-Chair  Foster were  absent from  the                 
  vote.                                                                        
                                                                               
  The MOTION PASSED (9-0).                                                     
                                                                               
  A  roll call  vote was  taken on the  main MOTION  to delete                 
  section 1 (a).                                                               
                                                                               
  IN FAVOR: Kelly,   Kohring,    Martin,   Mulder,    Parnell,                 
  Therriault OPPOSED: Brown, Grussendorf, Navarre                              
                                                                               
  Co-Chair Hanley  and Co-Chair  Foster were  absent from  the                 
  vote.                                                                        
                                                                               
  The MOTION PASSED (6-3).                                                     
                                                                               
  Representative Navarre MOVED  to incorporate  section 1  (a)                 
  into  a  House Finance  Committee Letter  of Intent.   There                 
  being NO OBJECTION, it was so ordered.                                       
                                                                               
  Representative Parnell MOVED  to report  HCS CSSB 142  (FIN)                 
  out  of  Committee  with  individual  recommendations,   the                 
  accompanying fiscal notes,  and the House  Finance Committee                 
  Letter  of  Intent.   There being  NO  OBJECTION, it  was so                 
  ordered.                                                                     
                                                                               
  HCS CSSB 142 (FIN) was reported out of Committee with  a "do                 
                                                                               
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  pass" recommendation and a House Finance Committee Letter of                 
  Intent,  and with a fiscal impact  note by the Office of the                 
  Governor dated 3/27/95, and with  six zero fiscal notes  all                 
  dated 3/27/95  by the  University of  Alaska, Department  of                 
  Education,  Department  of  Labor, Department  of  Health  &                 
  Social  Services,   Department  of  Commerce   and  Economic                 
  Development,  and  Department  of   Community  and  Regional                 
  Affairs.                                                                     
  ADJOURNMENT                                                                  
                                                                               
  The meeting adjourned at 9:15 a.m.                                           
                                                                               
                                                                               
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